Ashnoor Textile Mills Rights Issue Details 2024

Ashnoor Textile Mills Limited was incorporated in January 1984. The company is primarily engaged in the manufacture of terry towels for the hospitality industry. It also manufactures colored towels to meet the demand in the target market and all the activities of the company revolve around this main business as a single entity. Further, there are no geographical segments as the company operates exclusively in India.

As of June 30, 2023, the company has produced over 845 tons of terry products. The company constantly strives to maintain high standards in all areas, be it combing the yarn or shipping towels overseas. More than 90% of export sales are to the USA. The products are sold to wholesalers in the USA, who sell them on to hotels, which are essentially the end consumers.

The entire production infrastructure for manufacturing terry towels is available in the company’s modern production facility. India is a cotton yarn surplus country, which coupled with cheap labor gives a competitive advantage to the Indian terry towel industry. These macro factors enable the company to offer its products at competitive prices in the export markets. The company sells its products to the US based wholesalers who resell them to the hotel chains who are basically their end consumers.