Pramod Gupta has been appointed as the new CFO.
Shares of Arvind Fashions declined more than 2 percent intraday on April 3 after the resignation of company's CFO.
The stock was quoting at Rs 1,026.05, down Rs 20.25, or 1.94 percent on the BSE, at 11:07 hours IST.
The company in its press release said that Kannan Soundararajan resigned as Chief Financial Officer (CFO) and key managerial personnel of the company effective from April 2.
However, Pramod Gupta has been appointed as the new CFO.
The company board has appointed Punit Sanjay Lalbhai as an additional director and Vani Kola as an independent director of the company.
Meanwhile, from March , the stock had already rallied 55 percent after demerger.
Arvind Fashion is demerged entity of Arvind Limited.
On 8th March, when it got listed, reserve price was set at Rs 311 per share much below its fundamental value and so the stock remained in the upper circuit till it reached the price above Rs 1,000, Vineeta Sharma, Head of Research, Narnolia Financial Advisors told Moneycontrol.
He said Arvind Fashion has a strong market share in men's garment across all price points. "It has an exclusive long term agreement with 11 leading global brands. Our fair value estimate of the stock is Rs 1,250."
Sameer Kalra, Founder at Target Investing also said the rally was due to the discovered price on listing was much lower than estimated price as per the valuation. "The estimated price was at Rs.1250 per share. Such difference let to continuous rally of circuits."
He further said the company is running many global and domestic brands under the JV or licences format . "Though revenue growth is 25 percent plus the margins are lower along with high debt and high inventory risk. We have sell rating on the stock with a target price of Rs 850."
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