Linen Club Fabrics, the premium brand of Rs 25,000-crore Aditya Birla Nuvo Limited's textile arm Jaya Shree Textiles, is proposing to invest Rs 250 crore in expanding its linen and yarn production capacity in the next two years, said its CEO (domestic textiles) S Krishnamoorthy.
“Our linen capacity at our facility at Rishra in West Bengal has now reached 10 million metre a year, as against seven million metre last year. Our intent is to take this up to 13 million metre a year. The expansion also includes doubling the yarn capacity from the present 3, 000 tonne a year, in the next two years,” he told Business Standard.
Linen Club contributes Rs 650 crore to Jaya Shree’s revenues of Rs 1, 200 crore. Krishnamoorthy said the company was expected to contribute Rs 1,100 crore to Jaya Shree’s revenues, which would touch Rs 2,000 crore by March 2017.
“The growth will primarily be driven by the domestic market,” he said, adding the company garnered 75 per cent of its business from over-the-counter retail sales.
