Vishal Fabrics Limited , a textile company listed on the Bombay Stock Exchange (BSE), has seen a significant change in its shareholding structure. Elysian Wealth Fund, formerly known as Silver Stallion Limited, has increased its stake in the company through a preferential allotment of shares.

Warrant Conversion and Share Allotment

Vishal Fabrics allotted 80,67,176 equity shares to Elysian Wealth Fund through the conversion of warrants. Each equity share has a face value of Rs. 5.00. This strategic move has resulted in Elysian Wealth Fund's shareholding in Vishal Fabrics rising from 3.31% to 6.89% of the company's total paid-up equity share capital.

Impact on Vishal Fabrics' Share Capital

Following this transaction, Vishal Fabrics' total equity share capital has increased to Rs. 123,80,50,015.00, divided into 24,76,10,003 equity shares. This represents a significant expansion of the company's capital base.

Regulatory Compliance

In compliance with the Securities and Exchange Board of India (SEBI) regulations, specifically Regulation 29(1) of the SEBI (Substantial Acquisition of Shares and Takeovers) Regulations, 2011, Elysian Wealth Fund has submitted the necessary disclosures regarding this acquisition.

Elysian Wealth Fund's Position

It's important to note that Elysian Wealth Fund is not part of the promoter group of Vishal Fabrics. The fund's increased stake represents a substantial investment in the company, potentially signaling confidence in Vishal Fabrics' future prospects.

Market Implications

This development may be of interest to market watchers and investors in the textile sector. The increased stake by an institutional investor like Elysian Wealth Fund could be seen as a positive sign for Vishal Fabrics, potentially influencing market sentiment towards the company.

Vishal Fabrics Limited , a prominent player in the textile industry, has released its financial results for the first quarter ended June 30, alongside a corrigendum to correct a typographical error in its consolidated financial results disclosure.

Q1 Financial Performance

The company reported a standalone revenue from operations of Rs. 397.17 crore for Q1, showing a slight increase from Rs. 391.46 crore in the previous quarter. The profit for the period stood at Rs. 8.08 crore, up from Rs. 4.88 crore in the preceding quarter.

Consolidated Results and Corrigendum

Vishal Fabrics issued a corrigendum to rectify a typographical error in the Limited Review Report of Consolidated financial results, specifically concerning unreviewed financial information of three associates. The corrected figures show:

• Group's share of profit after tax: Rs. 9.16 crore
• Total comprehensive income: Rs. 9.18 crore

These figures pertain to the quarter ended June 30 and are based on unaudited financial information of the associates.

Key Financial Highlights

Other Notable Points

1. Warrant Conversion: During the quarter, the company converted 1,19,32,824 warrants into equity shares upon receipt of the balance 75% of the issue price from allottees.

2. Associates: The consolidated results include unreviewed financial information from three associates: Chiripal Textile Mills Private Limited, Nandan Industries Private Limited, and Quality Exim Private Limited.

3. Segment: Vishal Fabrics Limited operates in a single segment, namely Textile.

4. Equity Share Capital: The paid-up equity share capital (face value Rs. 5 each) increased to Rs. 104.77 crore as of June 30, from Rs. 98.81 crore in the previous quarter.

The financial results were reviewed by the Audit Committee and approved by the Board of Directors at their respective meetings held on August 8. The company's performance reflects resilience in the textile sector, with a notable improvement in profitability compared to the previous quarter.

Investors and stakeholders should note that these results are prepared in compliance with Indian Accounting Standards ("Ind-AS") as notified by the Ministry of Corporate Affairs.