Sri Nachammai Cotton Mills Ltd

Sri Nachammai Cotton Mills Ltd

Sri Nachammai Cotton Mills Limited (SNCM) was incorporated in March 1980 as a wholly owned subsidiary of Jawahar Mills Limited. The assets of the Chettinad unit of the Jawahar Mills Limited was transferred to SNCM in May 1980. A Transfer Deed for the above transfer was executed and registered in March 1982. It ceased to be a subsidiary of The Jawahar Mills Limited with the allotment of the said 46000 shares on 9.8.1982. In September 1984 the Company issued 50000 equity shares of Rs.10/- each for cash at par to the existing shareholders as Right Shares. Since then the Company has made five Bonus Issues.The Company's spinning mills are situated at Chettinad Sivaganga District. The Company has two units there. The Company has taken another unit called 'C' Unit from M/s. Supreme Yarn Spinners Limited on lease in 5.5.1995 situated at Veeranam Village Salem. The Company manufactures combed carded and compact cotton hosiery and hank yarn of counts ranging from 10's to 80's which are used by manufacturers to convert the same into fabric or garments for dyeing and export. The Company has issued 1110000 Equity shares of Rs.10/- each at a premium of Rs.60/- per share to the public in 1995. Presently it has been expanding and modernizing its plant over the years. All expansions and modernisation schemes completed so far were funded from internal accruals and Long-term borrowings. The Company has expanded its spindlage from 16120 spindles in 1980 to the present level of 53664 spindles and 504 Rotors. It further manufactures combed and carded cotton hosiery yarn of counts ranging from 20s to 40s which are used to convert the same into fabric or garments for exports. It markets the bulk products to units in Tirupur an active business centre known internationally for its exports of knitted garments and hosiery.