The Board of Directors of Lagnam Spintex Limited has announced capacity expansion to satisfy increased demand, new market entry and product mix, new client base, competitive cost advantage, and competitive advantage.
The company’s current capacity is 1920 rotors with a daily capacity of approximately 16.5 tonnes cotton yarn and 25,536 spindles with a daily capacity of approximately 18.6 tonnes cotton yarn.
The company currently intends to add a capacity of 41,472 Nos. Spindles with a production capacity of about 34.35 tonnes cotton yarn per day, bringing the total capacity utilisation to 95 percent.
The capacity expansion would cost Rs. 212 crores, which will be paid for by term debt and internal accruals.
