Faze Three, one of the leading manufacturers of home textile products, continued to attract strong investor interest during Thursday’s session on February 5, even after back-to-back upper circuit limits, with the stock gaining another 2% to hit a two-month high of ₹540.40 apiece.
In the previous trading session, the stock locked in a 20% upper circuit limit for the second time, triggered by optimism over the India–US trade deal, taking the three-day cumulative gain to 47%. The run-up also boosted the stock’s one-year return to 27% and its five-year return to a massive 650%.
Textile stocks have been among the hardest hit in recent months, as the sector, which is heavily dependent on the US market, faced steep tariffs of up to 50%, with analysts warning that sustained higher duties could hurt demand and margins.
However, the long-stalled trade agreement was finally sealed after US President Donald Trump earlier this week announced a reduction in duties on Indian-made goods to 18% from the earlier 50%. This move also makes domestically manufactured products more competitive compared with other large textile-exporting countries such as China, Bangladesh, and Vietnam.
For Faze Three, the announcement came as a major relief, as the company derives nearly 90% of its revenue from exports to the US, the UK, and Europe, as per the company’s recent annual report.
India is among the top textile-exporting countries globally, accounting for around 4% of global textiles and apparel exports. The key export destinations for Indian textile products are the United States, the European Union, and the United Kingdom, which together account for over 50% of total textile and apparel exports, according to media reports.
Notably, India has free trade agreements (FTAs) and bilateral trade agreements (BTAs) with all three regions.
Ashish Kacholia holds a 5.42% stake in Faze Three
Ashish Kacholia, known as the “Big Whale” of Dalal Street, held a 5.42% stake in Faze Three at the end of the December quarter. According to Trendlyne shareholding data, he has been holding a stake in the company since September 2021.
The majority of the stake is owned by promoters, accounting for 58%, followed by general shareholders with a 40.7% stake.
Faze Three is engaged in the manufacturing and exporting of superior quality, high-end home textile products, supplying top retailers across the globe. It offers a diversified product line, with its main products including bathmats, bath rugs, chair pads, blankets, rugs, throws, floor coverings, bedspreads, patio mats, and seat covers.
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