Shares of this textile and apparel firm have been on a tear over the last couple of weeks, and figures among the top performers of 2022. The Kochi Tusker, who usually roots for small caps, was so impressed that he tweeted about the stock’s gains, while in the same breath running down a recently listed rival. Tusker’s new found love boasts of one of the oldest and best known garment brands, but most institutional investors crinkle their nose at the mention of the stock. That is because the promoter is said to have shortchanged minority shareholders in the past, something even Tusker tacitly referred to in his tweet. Having realised the importance of market capitalisation, even if belatedly, the promoter is said to have embarked on a charm offensive and is personally meeting fund managers and high networth individuals.
Besides pitching the growth story, core business focus, stuff and such, he has also promised them of more respectful treatment in future. Chatter in market circles is that this firm is close to selling one of its verticals, in which it owns around 50 percent. Institutional investor holdings in the stock have risen over the last one year, but are way below levels seen three years back. Remains to be seen if more fund managers will buy the ‘reform’ story. Watch this space for more..
