Aastha Spintex Announces Capital Increase, Bonus Issue and Pivotal Move into Grey Fabric Manufacturing

Aastha Spintex Announces Capital Increase, Bonus Issue and Pivotal Move into Grey Fabric Manufacturing​

Aastha Spintex Limited has approved significant corporate changes, including a substantial increase in authorized share capital, the recommendation of a final dividend, and the initiation of a bonus issue. Furthermore, the company is strategically advancing its operations by moving up the textile value chain to manufacture grey fabric.

The Board of Directors announced these decisions following a meeting held on July 23, 2026.

Share Capital Increase and Bonus Issue Details​

The company has approved altering the Capital Clause (Clause 5) of its Memorandum of Association. The authorized share capital is set to increase from ₹45,00,00,000/- (Rupees Forty-Five Crore only) to ₹100,00,00,000/- (Rupees One Hundred Crore only), pending approval by the members at an ensuing General Meeting.

Concurrently, the Board approved a Bonus Issue, offering one new fully paid-up equity share of Rs. 10/- each for every one existing fully paid-up equity share held by eligible shareholders. This bonus issue is set to be executed through the capitalization of the company's reserves and surplus.

The details of the share capital pre and post bonus issue are presented below:


The bonus shares are being issued through the capitalization of free reserves, with approximately Rs. 44,14,21,900/- required for implementing the issue. The company reported available funds including Securities Premium of Rs. 3140.91 lakhs and Retained Earning of Rs. 8960.92 lakhs as of December 31, 2025.

Final Dividend Recommendation​

The Board recommended a Final Dividend of Re. 0.10 (Ten paise only) per equity share, which represents one percent (1%) of the face value for the financial year ended March 31, 2026. The dividend is subject to approval by shareholders at the Annual General Meeting.

The company noted that the Record Date for both the Bonus Issue and the Final Dividend will be announced shortly.

Strategic Expansion into Grey Fabric​

Aastha Spintex is making a strategic move to enhance its position in the textile industry by integrating into grey fabric manufacturing, signifying a movement up the value chain. This decision follows previous capacity expansion achieved after the Falcon acquisition, which increased the company's capacity from 7,700 MT to 17,457 MT per annum—a 127% jump.

The Board resolution confirmed that Aastha will now engage in manufacturing and trading of grey fabrics to serve domestic and international customers. This new integrated model means:

• Aastha will work with grey fabric manufacturers using its high-quality cotton yarn.
• The company will trade grey fabric to both domestic and international buyers.
• All resulting fabric products will carry Aastha's proprietary in-house brand.

This initiative allows the company to leverage its raw materials, manufacturing expertise, and the Gujarat textile ecosystem to deliver higher value-added products.

AASTHA Stock Price Movement​

At 1:52 PM, shares of Aastha Spintex Limited shed 0.09%, trading at ₹103.15 as the live market continues to trade. The decline is severe, seeing the stock plummet to its 52-week low amid a day marked by high volume, with over 13.25 million shares traded so far.