RSWM acquires 48.17 stake in Cheslind Textiles

Bangalore, Mar 20 (UNI) RSWM Limited, a leading integrated player in the textiles sector in India, today announced that it has acquired 48.17 per cent equity stake in city-based Cheslind Textiles Limited, a 100 per cent EOU manufacturing cotton yarn, for a total consideration of Rs 278 million.

In line with the listing and SEBI guidelines, RSWM would shortly be making an open offer to the shareholders of Cheslind Textiles to acquire up to another 20 per cent equity stake at Rs 25 per share.

Should the open offer be totally successful, the company would have acquired 68.17 per cent equity stake in Cheslind Textiles at a total consideration of Rs 393 million, a release here said.

RSWM had indicated that it would like to rapidly scale up its yarn operations, keeping in view the anticipated buoyancy in the textile sector. This initiative would augment the company's objective of fast expanding its capacities across various yarn segments. Post acquisition, the company's total spindlage would increase to about 3,60,000 spindles.

UNI