Lovable Lingerie shares rallied nearly 6 per cent on Thursday, following Reliance Mutual Fund's purchase of shares in the women's inner-wear maker from open market yesterday.
In a filing to the Bombay Stock Exchange, Reliance Nippon Life Asset Management Limited said that Reliance Capital Trustee Company acquired 7,94,937 shares or 4.73 per cent stake in Bangalore-based Lovable Lingerie.
Post the acquisition, Reliance Mutual Fund's stake in Lovable Lingerie has risen to 5.03 per cent.
Lovable Lingerie shares are up over 18 per cent since the company reported that its standalone net profit more than doubled to Rs 3.17 crore in the March quarter.
Meanwhile, AUM Capital in a note to its client says that the company has entered into a distributorship agreement with Hanes Italy and acquired non-exclusive third-party right to import, distribute, promote and sell certain of its products under the 'Lovable' trademark within India for a period of 3 years. Which will improve its business growth going forward.
Aum Capital recommends 'buy' on Lovable Lingerie for target price of Rs 343.
Shares of Lovable Lingerie ended 2.14 per cent higher at Rs 276.
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