BrilliA Inc. Shares Skyrocket 87% on Dividend News
The intimate apparel firm's decision to return capital to shareholders sparks a massive after-hours rally, reversing a year-long decline.
Shares of BrilliA Inc. (BRIA), a Singapore-based intimate apparel solutions provider, surged a staggering 86.73% in after-hours trading on Wednesday. The dramatic rally followed the company's announcement of a cash dividend, signaling a significant return of capital to its shareholders and reversing the stock's recent downward trend.
The company declared a , amounting to a total payout of approximately $2.99 million. The dividend is scheduled for payment on September 30 to shareholders of record as of September 15. This move was met with immediate investor enthusiasm, catapulting the stock from its closing price of $2.56 to $4.78 in the extended session.
In a statement, CEO Kendrew Hartanto said the dividend “reflects the Company’s strong fundamentals and disciplined approach to growth.” He emphasized management's confidence in its ability to execute its strategy and generate sustainable cash flows for investors. The announcement marks a pivotal moment for the company, which, prior to the surge, had seen its share value decline by 36% over the past year.
BrilliA Inc. operates as a comprehensive service provider for over 30 intimate apparel brands globally, partnering with major retailers like Fruit of the Loom and Hanes Brands Inc. Despite its global reach, the company trades with a relatively small market capitalization of $78.40 million and has an average daily trading volume of just 2,760 shares. This low liquidity may have contributed to the outsized price movement following the news.
The significant after-hours rally places BrilliA's stock well above its 52-week high of $4.38. Investors will now be watching closely to see if the stock can maintain these gains when the market opens and whether this dividend signals a new chapter of growth and shareholder value for the firm, which .