The company made this announcement after market hours on Monday, 9 January 2012.

Meanwhile, the BSE Sensex was up 165.51 points, or 1.05% to 15,980.23.

On BSE, 6,200 shares were traded in the counter as against average daily volume of 12,867 shares in the past one quarter.

The stock hit a low of Rs 89.40 so far during the day. The stock had hit a record low of Rs 50 on 20 December 2011. The stock had hit a 52-week high of Rs 470 on 10 January 2011.

The small-cap stock had outperformed the market over the past one month till 9 January 2012, rising 15.37% compared with Sensex's 2.46% decline. The scrip had, however, underperformed the market over the past one quarter, declining 30.86% as against Sensex's 2.57% fall.

The company has an equity capital of Rs 19 crore. Face value per share is Rs 10.

The Kiri Industries stock had surged recently after the company announced after market hours on 4 January 2012 that the board will consider and approve a proposal on 9 January 2012 to raise up to Rs 300 crore for the purpose of reducing the cost of funds of the company by replacing higher cost debt with lower cost funds and also to strengthen capital base of company. The scrip had vaulted 21.4% in four trading sessions to settle at Rs 87.05 on Monday, 9 January 2012, from Rs 71.70 on 4 January 2012.

Kiri Industries said its board at a meeting held on Monday, 9 January 2012 agreed to the proposal of raising funds up to Rs 300 crore by ways of Qualified Institutional Placements (QIPs) of equity shares or domestic convertible bonds and/or non-convertible debentures with warrants or foreign currency convertible bonds (FCCBs) or global depository receipts (GDRs) or preferential allotment of equity or domestic convertible bonds and/or non-convertible debentures with warrants. Kiri Industries' board has authorised a committee of executive directors comprising Mr Pravin Kiri, Mr Manish Kiri and Mr Shanker Patel to explore various possibilities for raising of funds.

Kiri Industries reported net loss of Rs 7.15 crore in Q2 September 2011 compared with net profit of Rs 11.13 crore in Q2 September 2010. Net sales declined 4% to Rs 118.50 crore in Q2 September 2011 over Q2 September 2010.

Kiri Industries is one of the largest manufacturers and exporters of wide range of dyes, intermediates and chemicals from India.