Faze Three Shares Reach Record High Amid Strong Textile Demand

Faze Three's stock has reached a record high of ₹694, up 7% on the BSE, and has more-than-doubled from its 52-week low of ₹318. Investor Ashish Kacholia holds a 5% stake in the company. The stock surge is driven by India's emergence as a preferred textile manufacturing destination, with the Free Trade Agreement between India and the UK set to boost textile exports.

Faze Three, a small-cap textile company, has seen its stock price soar to a record high of ₹694 on the BSE, up 7% from its previous day's close. This marks a significant increase from its 52-week low of ₹318, representing a more-than-doubling of its value [1].

The stock's performance is attributed to several key factors. India's emergence as a preferred textile manufacturing destination, driven by a skilled workforce, robust infrastructure, and rising investment in sustainability and innovation, has bolstered the sector's prospects [1]. Additionally, the upcoming Free Trade Agreement (FTA) between India and the United Kingdom is expected to significantly boost India's textile exports to the UK [1].

The FTA, set to be operational in CY2026, is projected to double India’s apparel and home textiles trade with the UK over the next 5-6 years, with export volumes growing at a compounded annual rate of ~13% [1]. This agreement is anticipated to raise the UK's share in India's textile exports from 7-8% to 11-13% by CY2027 [1].

Investor Ashish Kacholia holds a 5% stake in Faze Three, adding to the company's credibility and investor confidence [1]. The company's major customers include global retailers such as Walmart, Costco, Target, and Sainsbury, which are expected to result in high repeat orders and increasing wallet share, supporting revenue visibility [1].

Prime Minister Narendra Modi is expected to visit the United Kingdom by the end of July or early August to formally sign the India-UK free trade deal, further underscoring the strategic importance of this agreement [2]. The visit is also expected to focus on strengthening bilateral cooperation in defence and security.

Faze Three's outlook for FY26 and FY27 is promising, with the company estimating revenue growth of at least 22-25% [1]. The company caters to the high-end home textiles segment, with a majority of its revenue derived from the international market.

References:
[1] https://www.business-standard.com/markets/news/ashish-kacholia-portfolio-stock-hits-record-high-zooms-118-from-march-low-125071400638_1.html
[2] https://economictimes.indiatimes.com/news/india/pm-modi-likely-to-visit-uk-by-month-end-to-seal-free-trade-deal-boost-defence-ties/articleshow/122327148.cms