Ice-cream maker Vadilal jumps over 14% on reports that Bain Capital is weighing stake buy
Vadilal Industries soared over 14% in intraday trade on Monday following reports that Bain Capital is looking to buy a stake in the company. The stock was last trading at Rs 3189.20, up 14.92% from the previous close on BSE. So far this year, the shares have risen nearly 19% on a year-to-date basis.
According to reports, the US-based investment firm is looking to acquire a controlling stake in the combined entity of Vadilal Industries and Vadilal Enterprises. However, there is no official communication from the company. The company's shares, which touched fresh 52-week highs earlier today, have risen over 50% in the last year period.
In the last five years, the stock has offered multibagger returns to investors, rising as much as 372%. Vadilal Industries is engaged in the business of ice-creams and desserts. The company also exports processed and frozen food products.
According to the latest shareholding pattern available with the exchanges, the company is majority promoter owned with a 64.7% stake, while the public has the rest 35.37%. Among the public shareholders, the stock is a retail favourite with over 16% stake, while both domestic and foreign institutional investors have zero holding. For the quarter ended March, the company has reported revenues of Rs 210 crore, up 20% from Rs 175 crore clocked in the March quarter of 2022.
Meanwhile, net profit for the same period stood at Rs 20.2 crore, up marginally from Rs 18.28 crore. The company reported a loss of Rs 9.35 crore in the December 2022 quarter. According to Trendlyne data, the company's shares are trading above 50-day and 200-day simple moving averages, while Beta 1 year is at 0.6, indicating very low volatility in the stock.(Disclaimer: Recommendations,
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