Bombay Dyeing & Manufacturing Company Ltd

The Bombay Dyeing and Manufacturing Company Limited, established by Nowrosjee Wadia on 23rd August, 1879 is the flagship company of the Wadia Group, engaged primarily in the business of Real Estate Development, Polyester Staple Fibre and Retail. Stylish linens, towels, home furnishings, leisure clothing, kids wear and a whole blissful range of other products are now available across 350+ exclusive Bombay Dyeing Retail or 2000+ Multi-brand stores. All products come with Company's hallmark finish, great textures, detailed design to match the latest trends and fine quality which has been synonymous with Bombay Dyeing for over a century. In real estate development business, the Company enjoys the benefits of two large contiguous land parcels with clear titles, giving it a significant advantage over other real estate players. The two sites are strategically located and well connected with the commercial hub of Central Mumbai and equidistant from the commercial hubs of South Mumbai and Bandra-Kurla Complex. The plan is to develop these sites as mixed-use developments, comprising of residences, officesand luxury retail, with well-planned amenities and large open spaces. Bombay Dyeing and Manufacturing Company is one of the six producers of Polyester Staple Fibre (PSF) in the country with a market share of about 15%. The company's Bed, Bath & Coordinates retail business is operated under the Home & You brand. The Bombay Dyeing and Manufacturing Company Limited is the flagship company of the Wadia Group. One Hundred and Thirty Eight years ago, Mr. Nowrosjee Wadia nurtured an overarching vision. The vision to create an enterprise, which can stand the test of time, scale new frontiers of excellence and constantly re-invent itself to suit the changing needs of customers. Bombay Dyeing today is testimony to the strength of that vision. Bombay Dyeing is the embodiment of that vision. Respected , trusted and one of India's most endeared brands. Bombay Dyeing is one of the earliest of the Wadia Group Companies to have been listed on the Bombay Stock Exchange. The Company has extended its presence in Realty Sector, Polyester Staple Fibre and Retail-Textile to cater to the evolving aspirations of its customers and enhancing their quality of life. The Company is headed by Mr. Nusli N. Wadia, Chairman and its Managing Director is Mr. Jehangir N. Wadia. Archway Investment Company (P) Limited became a wholly owned subsidiary of the company during the incorporation year itself. The company had entered into an agreement with Tootal Broadhurst Lee Company Limited of Manchester during the year 1961 for the technical know-how and use of their patented crease resistant and minimum ironing processes under which the company was permitted to brand its goods with marks Tebilized and Tebilized Double. Subsequently, in the year 1962, the negotiations were concluded with Heberilein & Company of Wattil, Switzerland, for the right to use their Hecowa finish on processed goods. Nowrosjee Wadia Ginning & Processing Company Limited was amalgamated with the company with effect from 1st October of the year 1967. BDMCL made an agreement with Hercofina of USA during the year 1978 for the purchase of equipment and machinery and for technology and technical service. The Company also entered into a Technical Services Contract with their Indonesian company P.T. Five Star Industries Limited in the year 1979. During the year 1988, the company installed 2 open-end spinning machines, 3 auto coners, 7 high-speed combers, 1 hot air stenter and some jiggers in the processing house in Mumbai also in the same year a caustic recovery plant was installed. A year after, in 1989, 2 new Blow Room lines with cards, 7 auto coners and 48 new Air-jet Weaving machines were installed. At the processing house, in Mumbai, some Polywool processing machinery and new fusible interlining machines were also installed. During the same year 1989, BDMCL had entered into a contract with 20th Century Foods Pvt Ltd of Singapore to render technical services to Thulhiriya Textile Mills (Sri Lanka) a Government owned textile mill of Sri Lanka, having 1,30,000 spindles and 560 looms. In 1990, The Company installed a blow room line with high production cards, 6 open-end spinning machines, 16 sulzer weaving machines and 2 auto coners at its manufacturing mills. Additions to the processing machinery included a chairless mercerizer, energy efficient stenter, a soaper, a singeing machine and 3 yarn-dyeing units. The Capital Equipment installed included 72 air jet weaving machines, 8 trutschler cards, 9 draw frames, 5 open end spinning machines, 6 auto coners, 1 warping machine and 2 sizing machines during the year 1992. In 2nd December of the year 1993, the company had launched the Euro Issue in the international markets. During the period of 1995, BDMCL had increased its capacity from 1,12,000 TPA to 1,45,000 TPA. The Company introduced three new brands for Home collection in the year 1997 and also in the same year, BDMCL had introduced various projects in its mills to improve the quality of yarn and fabric and reduce rejects. The Company had signed up with fieldstone Cannon of the US to setup a 50:50 joint venture to make terry towels. In 1998, the company introduced two new brands viz Princeton and Forest Hills in Apparel and Tulip and Harmony in the home collection segment almost seven years after the launch of its Vivaldi brand. The Company had won the SRTEPC and TEXPROCIL Gold Trophies for its outstanding export performance for poly cotton blended fabrics and made-ups for the year 1998-99. BDMCL made a terry towel joint venture project with the US-based Fieldcrest Cannon in 1999. The Jamnagar Spinning unit of the company, which was situated in Gujarat, closed down with effect from July 29th of the year 2000. The Company had acquired the 51% of stake in Proline India for a sum of Rs.4 cr during the year 2002 and changed its Readymade Garment Business to the same Proline India Limited. Bombay Dyeing unveiled 150 new designs in bed and bath linen and home towel category in the same year of 2002. BDMCL made tie up with Nickleodeon for a merchandising arrangement in the year 2005. The real estate division of the company had commenced the development of the two properties Spring Mills, Dadar and Textile Mills, Worli during the year 2005-06. The DMT Plant operations had been suspended from 6th March of the year 2006 to enable implementation of the Polyester Stable Fibre (PSF) in the same site of the company. In January 2007, commissioning of PSF plant in sections commenced and by 31st, 2007, part of the plant was under operational testing. The Company committed a major part of the total capital expenditure of Rs.206 crores in 31st March of the year 2007 for a new state-of-the-art processing unit along with in-house stitching facilities at Ranjangaon. During the financial year ended 31 March 2014, export turnover of Bombay Dyeing and Manufacturing Company's textiles division rose 45% to Rs. 73.40 crore, due to significant marketing efforts which led to an increase in the customer base and introduction of Chief Value Cotton (CVC) products. To cater to premium consumers, the company has launched 600 Tread Count printed bed sheets for the first time, the ultimate product for luxury loving consumers. The issue of land handover that was holding up the development project of Bombay Dyeing and Manufacturing Company has been resolved with the Order passed by the High Court, Mumbai in November 2013. Work on the two towers i.e. One ICC and Two ICC is now expected to commence shortly. With regard to the company's Polyester Staple Fibre division, coal boiler project implementation has been completed and is operational in Q1 of 2014-15 resulting in greater cost competitiveness. During the financial year ended 31 March 2015, Bombay Dyeing and Manufacturing Company's real estate development projects were affected due to the regulatory environment in India. The year 2014-15 was a year of recovery from the polyester business perspective. Improving demand and sustained efforts on the part of the company to achieve higher capacity utilization have yielded positive results. During the financial year ended 31 March 2016, Bombay Dyeing and Manufacturing Company's real estate development projects were adversely affected due to legal and regulatory delays. The shareholders of Bombay Dyeing and Manufacturing Company through postal ballot in June 2015, had approved to sell/dispose of its textiles processing unit at B-28, MIDC Industrial Area, Ranjangaon, Maharashtra, (Undertaking) to Oasis Procon Pvt. Ltd., New Delhi (Oasis) together with all specified tangible and intangible assets in relation to the Undertaking (excluding its brand name and the specific liabilities), on a slump sale basis as a going concern and on an 'as is where is' basis for a consideration of Rs. 230 crore. The net proceeds from the sale of the Undertaking was to be utilized to repay loans and reduce the interest burden of the company. As per the terms and conditions reflected in the agreed Term Sheet, the prospective buyers were obliged to complete the transaction not later than 31st July, 2015. However, they failed to make the requisite payments under the contract and the sale deed could not be completed. The company is in the process of finding a new buyer for the said unit. During the year ended 31 March 2017, Archway Investment Company Ltd. (Archway) became wholly owned subsidiary of Bombay Dyeing and Manufacturing Company. Thereafter, Bombay Dyeing and Manufacturing Company applied for amalgamation of Archway with it which was duly sanctioned by the National Company Law Tribunal, Bench at Mumbai vide its order dated 20 June 2017. Bombay Dyeing and Manufacturing Company entered into an Agreement to Sale (ATS) of the Ranjangaon Processing Unit's MIDC Land & Building thereon for a total consideration amount of Rs. 168.85 crore. The company also entered into an agreement to sell the Plant & Machinery situated at Ranjangaon for Rs. 36.25 crore. In 2019, the Scheme of Arrangement between Scal Services Limited and the Company was given effect from 1st July, 2018. As per the Scheme of Arrangement 3 (Three) fully paid up 8% Redeemable Non-convertible Non-Cumulative Preference Shares of Rs 100 each of the Resulting Company were to be issued and allotted for every 1 (One) equity share of Rs 100 each held in Scal Services Limited. Accordingly, 3,88,800, 8% Redeemable Non-Convertible NonCumulative Preference Shares of Rs 100 each fully paid up were issued and allotted to the shareholders of Scal Services Limited. The Board also approved the dividend of 8% on Preference Shares for FY 2019-20.