Garware's stock price up by more than 5%, after company acquires Norwegian firm, OTS
By Ankur Chandra | Published at: Jun 24, 2025 01:16 PM IST
Mumbai, June 24, 2025 – Shares of Garware Technical Fibres Ltd. (NSE: GARFIBRES) jumped 5.58% to ₹909.05 by 11:53 am IST on Tuesday after the firm said it would buy Offshore & Trawl Supply (OTS), a well-known Norwegian cordage maker, for ₹110 crore. The transaction is all cash and will be paid for using money Garware has saved up. It is projected to be good for EPS and RoCE, which will help Garware’s strategic push for worldwide growth even more. Investors are happy with the acquisition since they see it as a critical step to help the company grow and expand internationally.
Stock Performance Snapshot (as of 11:53 am IST)
| Metric | Value |
|---|---|
| Previous Close | ₹861.00 |
| Opening Price | ₹877.90 |
| Intraday High / Low | ₹924.00 / ₹877.00 |
| Last Traded Price | ₹909.05 |
| % Change | +5.58% |
| VWAP | ₹906.00 |
| Traded Volume | 2.32 lakh shares |
| Traded Value | ₹21.04 crore |
| Buy Quantity | 85,790 shares |
| Sell Quantity | 40,007 shares |
| Market Cap | ₹8,966.68 crore |
| Free Float MCap | ₹4,039.15 crore |
Traders are getting ready for more gains because the stock is doing far better than the market as a whole. The acquisition has long-term strategic importance and short-term cash benefits.
Acquisition Details
- Target Company: Offshore & Trawl Supply (OTS), Norway
- Deal Size: ~₹110 crore
- Funding: 100% via internal accruals
- Expected Impact:
- EPS Accretive (positive contribution to earnings per share)
- RoCE Enhancing (Return on Capital Employed to improve)
The acquisition strengthens GTFL’s global portfolio in the marine and offshore segments, particularly in the Nordic markets where OTS has a strong presence.
Regulatory & Strategic Position
This is a cross-border strategic transaction and does not invoke SEBI’s SAST (Substantial Acquisition of Shares and Takeovers) obligations. No change in Indian shareholding or control structure is involved.
Management Insight
While detailed commentary from the management is awaited, the company described the acquisition as a value-driven global expansion that supports margin accretion and international growth.
About the Company
Garware Technical Fibres Ltd, listed since April 3, 2007, is a leading Indian manufacturer of synthetic ropes, nets, and technical textiles. It serves global industries including fisheries, aquaculture, shipping, agriculture, and infrastructure. It is part of the Nifty Total Market Index and falls under the Other Textile Products category.
REF: https://nsearchives.nseindia.com/corporate/GARFIBRES_23062025180029_PressRelease.pdf
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