RIGHT ISSUE ALERT

Gujarat Cotex Ltd. Issue Price: Rs. 5 FV: Rs. 5 CMP as on 28.04.2026: Rs. 11.25 BSE Code: 514386 NOTE: The Right Issue opens on Apr 10, 2026 and closes on May 8, 2026, with renunciation of Rights Entitlements permitted up to May 5, 2026. Highlights of the Issue: -Gujarat Cotex is an Indian micro-cap company based in Surat, Gujarat. It is primarily involved in trading textile fabrics, including cotton, polyester, and blends, alongside manufacturing, bleaching, and printing services. -The company has diversified into real estate trading and hospitality, serving domestic markets -The company is engaged in the purchase and sale of non-agricultural land and plots, as well as in hospitality services -The Rights Issue comprises 8,54,64,000 fully paid-up Equity Shares of face value Rs. 5 each, aggregating to Rs. 42.73 crore. Proceeds from the issue will be used to support company’s expansion plans and strengthen the company’s financial position. The Rights Issue is being offered in the entitlement ratio of 6:1 (6 rights shares for every 1 equity share held) -The company proposes to utilize the issue proceeds aggregating to Rs. 42.73 crore towards strategic growth and expansion initiatives. An amount of Rs. 9.60 crore will be deployed for the completion of its upcoming premium hotel project near Sarangpur Hanuman Mandir, comprising 55 rooms and 10 dormitory accommodations, aimed at catering to the rising demand for quality hospitality services in the region -Further, Rs. 2.13 crore will be utilized for the purchase of a new registered office, strengthening the Company’s operational infrastructure. A significant portion of Rs. 19.30 crore is earmarked to meet the Company’s working capital requirements, supporting business scalability across its diversified segments. The remaining Rs. 10.68 crore will be allocated towards general corporate purposes, enabling overall business growth and operational flexibility -For the nine months of financial year 2026 ended December 2025, company achieved revenue from operations of Rs. 29.86 crore, rise of 54.7% Y-o-Y as compared to the revenue of Rs. 19.30 crore in the corresponding period of FY 2024-25. Net profit also rose to Rs. 82.6 lakh for nine months of FY26 as against net profit of Rs. 45.96 lakh in the 9MFY25, a 79.7% Y-o-Y growth -Last Date for On Market Renunciation will be 5th May 2026