Pearl Global Industries Limited has announced another significant development in its Employee Stock Option Plan (ESOP) 2022. On December 19, 2025, the company allotted 47,600 equity shares to eligible employees, following its earlier allotment of 62,150 shares on November 6, 2025.

Latest Allotment Details

The Nomination and Remuneration Committee approved the latest share allotment under Regulation 30 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The key details of the December 19 allotment are:

Premium Structure for Latest Allotment

The December 19 allotment included shares at three different premium levels:

Previous ESOP Activity

The company had previously allotted 62,150 equity shares on November 6, 2025, under the same ESOP 2022 plan. That allotment featured four different premium levels ranging from Rs. 145.00 to Rs. 715.00 per share.

Key Features

• The allotment was made to eligible employees of Pearl Global Industries 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
• No lock-in period applies to these shares
• The shares were issued under the Employee Stock Option Plan 2022, originally filed with stock exchanges on September 6, 2022

These consecutive ESOP allotments demonstrate Pearl Global Industries' continued commitment to employee participation in the company's growth. The company's approach of offering shares at multiple premium levels provides flexibility for employees at different levels while maintaining alignment between employee and shareholder interests.

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.