Alok Industries looks multibagger penny stock after Reliance takeover

[David]

Hello Friends how are you all doing.

I am very bullish about Alok Industries, a penny stock quoting at Rs. 11. It is a textile manufacturer with good quality products.

As you may all be aware, Reliance Industries has bought 37.7 percent stake in Alok Industries Ltd for Rs 250 crore.

Reliance had jointly with JM Financial Asset Reconstruction Co Ltd bid for acquiring Alok Industries that was auctioned under the insolvency and bankruptcy law by lenders to recover their unpaid loans.

Reliance plans to raise about Rs 4,550 crore through bank loans while infusing Rs 500 crore equity in the company.

Alok Industries, incorporated on March 12, 1986, is an integrated textile manufacturer headquartered in Mumbai with interests in the polyester and cotton segments.

It has a product suite comprising of cotton yarn, apparel fabrics, bed linen, terry towels, embroidery, garments and polyester yarn.

The company has representative offices for sales promotion in Sri Lanka and Bangladesh. It posted a profit of Rs 2,283.82 crore on a turnover of Rs 3,128.76 crore in 2018-19.

Friends, it is obvious that Reliance will turn around the fortune of Alok Industries and change the penny stock into a multibagger.

So, i request you to take it seriously and if you are convinced, you can buy the stock.

If you have any questions, you can ask me for more information.

Thanks,
David

[RKD]

Good pick and good information.

As you rightly say, as Alok Industries is now under the control of Reliance Industries, its fortunes are bound to change rapidly. We can buy the stock fearlessly because it cannot go bankrupt now.

[RKD]

I saw this interesting message on MMB message board by a user named TJ20 and am copying it here:

Alok Industries

Why one should invest in Alok Industries:

1) Reliance Tag: Reliance with 37.7% stake. It will increase to 72% after 15 months.

2) High Quality Products: weaving, knitting, processing, home textiles, ready made garments and polyester yarns.

3) Current Products Manufacturer: PPE Kits & N95 Masks (produce 1 lakh products per day). PPEs are approved by DRDO as well. SO they will be used by Medical staff.

4) Export: exports 26% of its products to over 90 countries in the US, Europe, South America, Asia and Africa.

5) Clients: Adidas, Capital, H&A, Lee etc.

6) Online & Offline platforms: Ajio, Reliance Trends, Walmart, H&A, Facebook, Ajio Mart, Store 21 etc.

7) Dept Status: Almost dept free company

8) Return: Positive return since last 5 years.

9) Long Term: Considered to be Super Multibagger

10) Achievements: From 2008 to 2015 continue awards winner.

11) Promotion: Reliance sales and marketing team.

12) Employees: More than 25K

13) Subsidiaries: More than 20 subsidiaries. (Domestic and International)

[Shivarama Karkala]

David Bhai, Alok Industries has hit another upper circuit even though whole market is bleeding. Shows the power of your stock pick. Congrats