Rakesh Jhunjhunwala Raises His Stake In VIP Industries

Reportedly, Billionaire investor Rakesh Jhunjhunwala, acquired 375,000 shares of VIP Industries representing 1.3% equity stake on 22nd June 2010.

Following this acquisition, his stake in the company has increased to 5.8132% of the total issued and paid up capital from earlier 4.5%.

VIP Industries, incorporated in 1968, is engaged in the business of manufacturing of luggage bags. The company's manufacturing facilities are located at Nashik, Nagpur, Jalgaon, Satara and Sinnar in Maharashtra and Haridwar in Uttaranchal. It is also engaged in manufacturing of moulded furniture.

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The company had reported a net profit of Rs 50.1 crore for the year ended March 31, 2010 against Rs 8.9 crore for the year ended March 31, 2009, up by whopping 462.92%.

This investment in VIP Industries from Rakesh Jhunjhunwala shows up his confidence in company and faith in company's future growth.