Adinath Textiles Ltd

Adinath Textiles Limited was incorporated in 1979 by the Oswal Group of Ludhiana, who had promoted Mahavir Spinning Mills and Vardhaman Spinning and General Mills. It manufactures synthetic and wool-blended hosiery and, knitting yarns which are marketed under the Adinath brand name. The Company has an installed capacity of 4800 spindles. It has installed state of the art machinery from (SAVIO) Italy, NSC (France). In 1995-96, the company earned a foreign exchange of Rs 5 cr. During the year, due to the continued recession witnessed by the acrylic yarn industry, the company's margins were eroded due to increase in the cost of the raw material, restricted money supply, increase in interest rates and significant devaluation of rupee. Despite marked improvement in production, turnover and exports, the profitability of the company did not improve correspondingly. In 2003, the Company carried out majority of its manufacturing activities at Nandesari site. The Company primarily operates in spinning of worsted and spun yarn. It has manufacturing set up base in Ludhiana in the State of Punjab and Corporate Office located in Ludhiana in Punjab. The company commenced operations on a small-scale in 1979-80, at Ludhiana, with an installed capacity of 5392 worsted spindles and a combing capacity of 773 tons per annum of wool tops. It came out with a public issue in Oct.'88 to finance its long term working capital requirements. By Mar.'90, it added additional 6000 worsted spindles. Since, the acrylic market for worsted spinning units is turning into a low margin activity, the company has decided to come out of the hosiery segment by diversifying into polyester wool, pure wool and polyester viscose yarns suitable for worsted suitings.