Bangalore-based Indus Fila, a company engaged in fabric weaving and apparel manufacturing, has acquired the fabric division of Sai Lakshmi Industries based at Mysore, for a cash consideration of Rs 90 crore. | |
| According to Nitin Mandhana, vice-chairman and managing director, Indus Fila Limited, the company acquired total assets, which includes 63.29 acres of land, 4.70 lakh sq ft building, plant and machinery along with required utilities, current assets and liabilities on a going concern basis. |
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| The acquired unit is a fully integrated weaving, processing and finishing unit with a capacity of 50,000 metres per day and a co-generation power plant of 6.5 mw. |
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| "The acquisition will add about Rs 120 crore to Indus Fila's turnover besides improving the bottomline on account of backward integration for its shirting dyeing and finishing," said Mandhana. |
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| Sai Lakshmi Industries is a part of Sainath Group of Companies, Indonesia, which is a known name in apparel exports out of far-east besides having interests in yarn spinning and apparel in India. |
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| Mandhana further said, "We are now planning to double the capacity of this acquired unit to 1,00,000 metres per day, as utilisation efficiency of the utilities installed would be optimised, which in turn would help in bringing down the costs." |
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| "The acquisition of the fabric division of Sai Lakshmi Industries fits like a missing piece in our vertical integration plans. We have saved ourselves 2-3 years time frame which would be required to implement such a state-of-the-art facility. It gives us a very strong head start in achieving our vision to be a dominant player in the area of fashion textiles and apparel by focusing on product innovation, design leadership and superior service," he added. |
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| Indus Fila Limited is part of the 80-year-old Indus Mandhana Enterprises, a player in the textile and apparel industry. |
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