Vijay Textiles Ltd

Vijay Textiles Ltd

Originally incorporated in Feb.'90 as a private limited companyHyderabad based Vijay Textiles subsequently became public in Jun.'94. Initially the company was in the business of trading. The major activities consisted of purchase of polyester yarn from Reliance Industries converting the yarn into grey cloth at Bhiwandi through job contracts and converting the grey cloth into finished fabrics through textile processors. The fabrics were marketed under the Vijay brand name throughout India.In Jun.'93 the company ventured into full-fledged manufacture of processed textiles by acquiring a running mill at Khattedan (near Hyderabad) from S K Textile Industries. The installed capacity is 172 lac mtr pa which comprises 96 lac mtr pa of printed polyester shirting and 76 lac mtr pa of dyed polyester shirting. The company went public with its maiden issue in Mar.'95 (premium: Rs 80) to augment the long-term working capital as well as to part-finance the cost of balancing equipment a diesel generator set and a waste water recycling plant. The company is selling its output to the lower sections of the society.During the year 1998-99 the Company changed its growth strategy by placing more thrust on manufacturing of larger portion of high value added products by installing new machineries.The company made a tremendous export turnover of Rs.128.16 lakhs in the year 1999-2000 along with increase in its turnover of Rs.4183.88 lakhs as compared to Rs.3527.55 lakhs in the previous year registering a growth of 18.60%.The company has sub divided its equity during November 2004 from 3327200 shares of Rs.10 each into 33272000 shares of Re.1 each.Consequently the Face Value of Equity has come down from Rs.10 to Re.1.The company plans to open three more retail outlets in Andhra Pradesh with an investment of around Rs.50 crores in the next two years.The company is also looking at having three franchise stores in the USA before October 2005.The first of the stores would be come up in New Jerseyfollowed by one in Chicago and Atlanta.