The Company was initially promoted by Shri R.L.Toshniwal and Rajasthan
State Industrial Development & Investment Corporation Limited (RIICO)
in joint sector. The company was incorporated on 5.5.1976 as a
Public Limited Company for manufacture of synthetic blended yarn. It
received certificate of commencement of business on 27th September,
1976. Later on it was converted into Private Sector. RIICO
originally subscribed to 4,69,293 shares each of Rs.10/-. In terms
of the buy-back agreement
shares dis-invested by RIICO has been bought back by the promoters,
their friends and relatives at price ranging from Rs.12/- to Rs.57/-
per share. The company is now working as private sector undertaking.
At present RIICO is holding only 12,000 shares of the Company.
The Company started its operations in April, 1978 with 12500 spindles
at Banswara (Rajasthan) which is a backward area. It generated cash
surplus in very first year of its operation. Expansion and
modernisation programme has been undertaken from time to time.
Balancing equipments were also installed. Barring year 1981-82 to
1983-84 on account of power cut in the State of Rajasthan, working of
the Company remained satisfactory. The Company's performance has
considerably improved in the year1987-88 onwards. Performance during
the year1993-94 has been excellent. The turnover of the Company has
increased substantially during 1993-94 to Rs.9453 lacs from 9100
lacs(for fifteen months) of previous year recording a annualised
growth of30%. The company in fact is one of the market leaders
infancy spun yarn.
The company is already in export market for last five years. Export
of yarn and fabric during the year 1993-94 has been to the tune of
Rs.16.16 crores compared to Rs.10.98 crores (15 months) of previous
year, showing an annualised increase of 84%. The Company has been
recognised as Export House by Ministry of Commerce for its export
achievements. The Company has established a good overseas market of
yarn and fabric. In order to increase value added exports which will
ultimately improve profitability of the company a new weaving unit in
the name and style of Toshco International has already been set up
wherein 24 Air Jet looms are working.
The Company is undertaking expansion and modernisation programmes in
phased manner. Before the commencement of this IIIrd phase of
expansion project the company has already completed 1st phase in
which 2880 spindles are installed. In IInd phase company has
installed 2880 spindles and 21 Air Jet looms taking total installed
capacity of the company before commencement of this phase to 40,260
spindles and 45 Air Jet looms with total outlay of 1175 Lacs. These
two phases were funded by term loans of Rs.610 lacs from IDBI, Rs.200
lacs by UTI and balance from internal accruals.
-Banswara Syntex Ltd has set up a trouser factory in Daman following
a number of requests from its customers to provide them a `package'
of value-added products
Banswara Syntex Ltd (BSL) has entered into a 50:50 joint venture with
Carreman Michel Thierry (CMT), France.