Chemical stock in spotlight as Ashish Kacholia reduces his stake in the company

SYNOPSIS: Fineotex Chemical Ltd, offering a diverse portfolio of over 450 specialty chemicals is in the spotlight after Ace investor Ashish Kacholia reduced his stake in the company between September and November 2025.

The shares of a Small-Cap chemical company, specialising in manufacturing over 450 types of speciality chemicals and enzymes, primarily for the textile industry, are in the spotlight after Ashish Kacholia reduced his Stake in the company

With a market capitalization of Rs. 2,824.28 Crores on Wednesday, the shares of Fineotex Chemical Ltd declined upto 2 percent, making a low of Rs. 24.59 compared to its previous closing price of Rs. 25.10.

What happened 

Fineotex Chemical Ltd, engaged in manufacturing over 450 types of speciality chemicals and enzymes, primarily for the textile industry, is in the spotlight after Ace Investor Asish Kacholia reduced the stake in the company.

As of September 2025, ace investor Ashish Kacholia held a 2.62 percent stake in the company. However, by November 2025, his stake was reduced to 2.59 percent, reflecting a decrease of 0.03 percentage.

Financials & Others 

The company’s revenue declined by 5.50 percent from Rs. 146 crore to Rs. 138 crore in Q2FY25-26. Meanwhile, Net profit declined from Rs. 32 crores to Rs. 26 crores during the same period.

The company demonstrates strong financial performance with a Return on Capital Employed (ROCE) of 23.8% and a Return on Equity (ROE) of 18.4%, indicating efficient utilisation of capital and solid profitability. Its Price-to-Earnings (P/E) ratio of 29.0 is just slightly below the industry average of 29.6, suggesting it is fairly valued compared to its peers in the sector.

Additionally, the company’s near debt-free status enhances its financial stability, reducing risk for investors. The impressive 40.0% compound annual growth rate (CAGR) in profits over the last five years further underscores its ability to consistently deliver strong earnings growth, positioning it as a potentially lucrative investment.

Fineotex Chemical Ltd was founded in 1979 by Mr. Surendra Tibrewala, Fineotex Chemical Ltd. has grown into a leading specialty chemicals manufacturer, serving a wide array of industries, including textiles, home care, hygiene, mining, garments, water treatment, leather, construction, paints, agrochemicals, and adhesives.

It has a diverse portfolio of over 450 specialty chemicals and enzymes, and it operates state-of-the-art manufacturing plants in Navi Mumbai (India) and Selangor (Malaysia). These facilities are highly flexible and capable of producing a broad range of products. 

The company’s newest plant in Ambernath, Mumbai, will further enhance production capacity to 104,000 MT per annum, enabling it to better serve clients across key international textile hubs.

Written by Sridhar J

Disclaimer

The views and investment tips expressed by investment experts/broking houses/rating agencies on tradebrains.in are their own, and not that of the website or its management. Investing in equities poses a risk of financial losses. Investors must therefore exercise due caution while investing or trading in stocks. Trade Brains Technologies Private Limited or the author are not liable for any losses caused as a result of the decision based on this article. Please consult your investment advisor before investing.

The post Chemical stock in spotlight as Ashish Kacholia reduces his stake in the company appeared first on Trade Brains.