Rich Knits beats the stock market blues

Richa Knits Limited (RKL) a leading Gurgaon based manufacturer of knitted fabric and readymade garments has been able to meet its objective of expansion of company’s capability in all the existing segments ie Knitting, Dyeing & Processing and Garment manufacturing and has completed the fully automated state-of-the-art manufacturing unit at Kawnra, Faridabad, within the timeframe specified at the time of its IPO.

The Company had entered the capital market in 2006 with an initial public offering through a fixed price issue for a Rs. 63 Crores expansion project. The issue price was Rs.30, it was listed at the Bombay Stock Exchange at Rs.40 per share and is today being traded in the range of Rs.70-Rs.74. Today when most stocks are traded below issue price, RKL is one of the Companies, which has come up to the expectation of the investors which is reflected in their stocks that is showing an upward trend.

The Company registered a turnover of Rs 62 crs in the first 9 months of the financial year and is set to surpass the double-digit figure at the close of the year. In 2006 (Pre-IPO), the turnover of the Company was Rs.45 crs, which today is close to Rs.100 cr. With the commissioning of the plant at Faridabad, RKL has become one of the largest processors in Indian Market.

The current capacity of the plant is 6000 kg per day for Greige knitted fabric RKL serves some of the best global brands and exports to markets like USA, Canada & UK besides catering to the leading domestic players.  

Sourced From: Concept Public Relations India Pvt. Ltd