The stock was trading at ₹2,275.70 on the NSE in afternoon trade, up 7.4%, after touching an intraday high of ₹2,279.
The rally came after the company disclosed that it had entered into an Asset Purchase Agreement (APA) with Reynolds Pens India Pvt Ltd and other entities of the Newell Brands group to acquire assets and liabilities related to the manufacture and sale of pens, markers, highlighters and school supplies under the Reynolds brand.
The transaction involves an upfront consideration of $3.7 million (around ₹31 crore), excluding inventory value.
As part of the deal, DOMS will acquire plant and machinery, moulds, contracts and social media assets from Reynolds Pens India, along with trademarks, copyrights, domain names, patents and designs associated with the Reynolds business. The transaction also covers relevant contracts, employees and intellectual property tied to the brand.
The acquisition is expected to broaden DOMS’ product portfolio and strengthen its market presence across writing instruments and school supplies, segments where Reynolds has historically enjoyed strong brand recall among Indian consumers.
The deal comes at a time when DOMS is pursuing an aggressive expansion strategy. As of March 31, 2026, the company had a cash balance of ₹61.8 crore and generated ₹254.3 crore in operating cash flow during FY26.
Management has guided for a ₹250-275 crore capital expenditure programme in FY27 and has indicated that the company will remain in a high-capex cycle for the next three years as it develops its 45-acre manufacturing facility and newly acquired land.
The Reynolds acquisition follows a strong FY26 performance. DOMS reported a 17.2% year-on-year rise in fourth-quarter net profit to ₹56.7 crore, while revenue increased 18.7% to ₹604 crore.
Also Read: DOMS Q4 Results | Pencil maker’s net profit, revenue rise; declares dividend
For the full year, revenue from operations rose 21.6% to ₹2,326.4 crore, exceeding the company’s guidance range and underscoring continued demand across its product categories.
Investors appeared to view the Reynolds acquisition as a strategic addition that could complement DOMS’ existing portfolio while providing another avenue for growth in the branded stationery and writing instruments market.
