Pearl Global Industries Limited (PGIL) has announced a significant development in its Employee Stock Option Plan (ESOP) 2022. On November 6, 2025, the company allotted 62,150 equity shares to eligible employees, marking an important milestone in its employee incentive program.

Key Details of the Allotment

Premium Structure

The shares were issued at varying premiums, reflecting different exercise prices:

Additional Information

• The allotment was made to eligible employees of PGIL and its subsidiaries who had exercised their vested stock options under the ESOP 2022 plan.
• The newly issued shares are identical to existing shares in all respects and carry no lock-in period.
• The allotment was approved by the company's Nomination and Remuneration Committee.

This equity share allotment under the ESOP 2022 plan demonstrates Pearl Global Industries' commitment to aligning employee interests with those of the company and its shareholders. By offering shares at different premium levels, the company provides a range of incentives that may cater to various employee grades or performance metrics.

The absence of a lock-in period on these shares suggests that the company is confident in its employees' long-term commitment and allows them immediate flexibility with their newly acquired equity.

India's textile and apparel industry is bracing for a significant downturn following the United States' decision to impose a 50% tariff on imports. The move has sent shockwaves through the sector, with industry leaders warning of potentially severe consequences for Indian exporters.

Export Projections and Industry Impact

Pallab Banerjee, Managing Director of Pearl Global Industries , has sounded the alarm on the potential repercussions of this tariff hike. According to Banerjee, if the tariffs persist for three to six months, India's apparel exports to the US, currently valued at $6 billion, could see a sharp decline of 10-15%.

Pressure from US Brands

The situation is further complicated by the demands of US brands, who are putting Indian exporters in a difficult position. These brands are insisting that exporters either absorb the additional costs by reducing their selling prices by 16% or shift their manufacturing operations to other countries.

Pearl Global Industries' Position

Pearl Global Industries, a key player in the textile industry, finds itself at a critical juncture:

• The company has a 50% exposure to the US market
• India represents 25% of its total revenue
• Approximately 12.5% of the company's total revenue is at risk due to the new tariffs

However, Pearl Global Industries is better positioned than some of its competitors to weather this storm. The company has manufacturing operations in Bangladesh, Vietnam, Indonesia, and Guatemala, allowing it to potentially relocate production and mitigate some of the impact. Companies without such flexibility may face more severe business losses.

Timing and Competitive Disadvantage

The timing of these tariffs is particularly challenging as it impacts new order bookings for spring and summer products. Moreover, the tariffs place Indian exporters at a significant disadvantage compared to competitors in countries like Bangladesh, Indonesia, and Vietnam, who now enjoy a 25-30% tariff advantage over India.

Market Reaction

The news has already had a tangible impact on Pearl Global Industries' stock performance. On the National Stock Exchange (NSE), the company's shares closed 3.36% lower at ₹1,235.00, reflecting investor concerns about the potential impact of these tariffs on the company's future performance.

As the situation unfolds, the Indian textile and apparel industry will be closely watching for any developments or potential negotiations that could alleviate the pressure from these new tariffs. The coming months will be crucial in determining the long-term impact on India's textile exports and companies like Pearl Global Industries.