Singer India stock rises 8% in two sessions; here’s why

Shares of Singer India have gained 8% in two sessions after board of the company approved the allotment of 7.48 million shares worth Rs 57 crore to various investors at Rs 76 per share. The preferential issue is subject to various approvals, including from the company’s shareholders.

Singer India shares rose 3.28% to Rs 84.95 today against the previous close of Rs 82.25 on BSE. The stock has gained 7.84% this week (considering the intraday rise) on board’s nod to raise funds.

Singer India shares are trading higher than 5 day, 20 day, 50 day, 100 day and 200 day moving averages. Stock of Singer India has gained 30.37 per cent in a year and risen 36.66 per cent in 2022. 

The share is trading 1.67% away from the 52-week high of Rs 85.20 hit on September 12, 2022. The stock touched a 52-week low of Rs 38.10 on June 20, 2022.  

Total 1.04 lakh shares of the firm changed hands amounting to a turnover of Rs 87.65 lakh on BSE. Market cap of the firm climbed to Rs 451.48 crore in early trade today. 

The preferential issue is subject to various approvals including from the company's shareholders. The funds from the issue, if approved, will enable the company to strengthen its brand and distribution channels, fulfil its additional working capital requirements for expansion of its businesses and enable investments in product design upgradation and system technology upgradation among others.

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Rajeev Bajaj, MD of Singer India said, "We are extremely happy to welcome our new set of investors in the Company. I take this opportunity to also express gratitude to our existing investors for the confidence and support they have shown over the years. The development will go a long way in strengthening Singer brand presence as an international brand in India and provide impetus for future growth."

Singer India is engaged in the business of trading / manufacturing of sewing machines, related accessories and in trading of domestic appliances. The company operates through two segments: sewing machines and related accessories, and domestic appliances.