Suryavanshi Spinning Mills Ltd Company Summary

Suryavanshi Spinning Mills Ltd Summary

Suryavanshi Spinning Mills Ltd (SSML) was established in Dec.78. Promoted by L N Agarwal and B N Agarwal & Associates, the Company started its operations with spinning activity in 1978 with spindle capacity of 1728 and steadily grown to a capacity of 1,00,000 by 2002. It installed Evenness Tester Machine for testing of cotton for all parameters like strength, length of the fiber, etc. Again, it diversified into textile related activities and set up Knitting and Processing Plant under the same management. We have also entered into manufacturing of fashionable garments in the year 1997. Surryavanshi Group, with this integrated activity of manufacturing of yarn to readymade garments has become a deep layer in the textile industry in India and also adding its share to the exports.SSML manufactured high count cotton yarn for hosiery and for weaving upto 1992-93. Later, it diversified into the production of lower count blended yarn such as millange and polyester viscose yarn. The end-user segments are hosiery, garments and textiles. Other group companies are Suryavanshi Cotton Mills and Suryalata Spinning Mills.SSML came out with a rights-cum-public issue in Aug.94. The rights issue (premium : Rs 30) aggregating Rs 6.04 cr and the Rs 6.76-cr public issue (premium : Rs 60) financed for the expansion made to the spindleage at the Rajna unit by installing 10,080 spindles; and by modernising the Bhongir unit in AP. The cost of the project was Rs 17.87 cr. The modernisation project under TUF which flagged off in year 2000 got completed. The Company set up another Garments Division near Bhongir unit situated in Nalgonda District, Andhra Pradesh with a production capacity of 5,000 pieces per day in 2003. During 2004-05, 100% Export Oriented Unit of the Company situated at Chindwara District, Madhya Pradesh was debonded and converted into Domestic Tariff Area (DTA) Unit effective 5th December, 2002.The Scheme of Arrangement by way of Demerger between Suryavanshi Spinning Mills Ltd, Aananda Lakshmi Spinning Mills Ltd and Sheshadri Industries Ltd became effective on August 21, 2014. Accordingly, Yarn Unit at Bhongir at Telangana of the Company was transferred to and vested into Aananda Lakshmi Spinning Mills Limited (ALSML) and Yarn Unit at Rajna, Madhya Pradesh and Garment Units at Aliabad and Bhongir, in the State of Telangana of the Company were transferred to and vested into Sheshadri Industries Limited (SIL). In terms of the Scheme of Arrangement, 37 equity share of Rs 10/- each fully paid up of Sheshadri Industries Ltd and 26 equity share of Rs 10/- each fully paid up of Aananda Lakshmi spinning Mills Ltd were allotted to the shareholders of the Company for every 100 equity shares held in the Company.