Alok Industries Ltd Company Summary

Alok Industries Ltd Summary

Alok Industries Limited is an integrated textile manufacturer with operations in both cotton & polyester value chain. The Company is primarily engaged in the business of textile manufacturing including mending and packing activities. It has global retailers, brands, reputed garment manufacturer and traders. Apart from this, it has 4 manufacturing locations in Silvassa, Vapi, Navi Mumbai and Bhiwandi. It is also exporting to over 90 countries across USA, Europe, Latin America, Asia and Africa.Alok Industries Ltd. was incorporated on 12th March, 1986 with the name Alok Textile Industries Pvt. Ltd. The Company commenced their activities with the manufacture of texturised yarn by setting up manufacturing facilities at Silvassa. In the year 1991, they commenced weaving operation at Bhiwandi in Thane. In the year 1993, they became a puiblic limited company. In the year 1994, the company expanded the weaving capacity to 50 cimmco looms in Thane and texturising capacity of 3 Nos Texturising machines in Silvasaa.In the year 1995, they made a technical collaboration with Grabal, Albert Grabher Gesellshaft mbH & Co of Austria for manufacture of embroidered products through a joint venture company named Grabal Alok Impex Ltd. In the year 1996, they set up Knitting Division at Silvassa with 8 Machines and state-of-the-art eco-friendly Process House at Navi Mumbai with 3 Stenter.In the year 1998, the company modernised and expanded the weaving division with 24 Sulzer Projectile Looms at Silvassa and in the next year, they further expanded to 28 Sulzer Projectile Looms. Also they completed the modernisation and expansion of weaving project with 88 Air Jet/ Rapier Sulzer Looms at Silvassa in the year 2002, and the processing project with 2 Stenters at Vapi in the year 2003. In the same year, they set up a Garment Unit at Navi mumbai with 100 Stitching Machines.In the year 2004, the company expanded the Texturising capacity to 30 machines, Knitting capacity to 40 machines and Weaving capacity to 170 Air Jet/ Rapier Looms. Also they forayed into Home Textiles for direct export. In the year 2006, they set up a new plant for knitted fabric at Vapi in Gujarat and Partially Oriented Yarn plant at Silvassa.The company was awarded Silver Trophy for fabric exports and Bronze Trophy for made-ups exports by Texpocil for the financial year 2006. Also they got award from the All India Exporters Chambers in recognition of role played by the company in the development of exports of made ups. They have got Certificate of Excellence by Kohis Department Stores for partnership and teamwork. They have also got Supima license for use of their cotton in manufacture of woven and knitted fabrics.The Company had 3 subsidiaries, Alok Industries International Ltd. (AIIL): incorporated in the British Virgin Islands; Alok Infrastructure Private Ltd (AIPL) and Alok Inc.: incorporated in the state of New York, USAIn the year 2007, the company has acquired 60% stake in Mileta a s, a company based in the Czech Republic for manufacturing high end yarn dyed shirting fabrics, handkerchiefs, table linen, batistes and damasks. The company has signed an exclusive license agreement with AISLE 5 LLC, for their portfolio of lifestyle brands like aworld, cotton + clay and natural worth. They started operations in the retail segment namely H&A. The range of products includes fabrics, garments, embroidered fabric, saris and terry towels. The company is also in the process of setting of textile SEZ at Silvassa through a wholly owned subsidiary. The company has entered into Trademark License Agreement with Peacock Alley Inc, USA, to sell their licensed products in India. The Company has entered into a Tripartite Memorandum of Understanding with Union Nationale Des Producteurs De Cotton Du Burkina Faso (UNPCB) and MAS Intimates (Pvt) Ltd for supply of finished fabrics made out of organic and fair trade cotton for supply of lingerie goods to a super brands on the USA. The company had bid for Joint Ventures with National Textile Corporation Limited (NTC) for the revival of the textile mills located at the New City of Bombay Manufacturing Mills, Mumbai and Aurangabad Textile Mills, Aurangabad and for development of textile related infrastructure therein.In September 2007, the company has entered into an MOU with Zameen Organic Pvt Ltd for developing and promoting organic fair trade cotton. This will ensure Fair price of seed cotton to the marginal cotton growers in Vidarbha and Adilabad. It contracted to acquire commercial property at Lower Parel admeasuring 6,14,999 sq. ft. in real estate subsidiary, Alok Infrastructure Limited.Company, through its wholly owned subsidiary, Alok Industries International Limited (AIIL), signed an agreement with Aisle 5, LLC with its portfolio of brands like aworld, Cotton + Clay etc. for distribution of home textile products to the US supermarket chains in year 2008. It acquired stake in UK retail Store Twenty One.I It began Phase IV expansion of Rs. 1,180 crore under TUFs.The Terry Towel project, which was part of Phase I & II, was commissioned during the year 2009. During the year 2010, company incurred a capital expenditure of Rs. 1522.90 crore towards Phase III and Phase IV expansions, which were fully completed, setting up of second Continuous Polymerization (CP) Plant at Saily (Silvassa), expansion of Texturising and regular capex. It signed a Joint Venture Agreement with National Textile Corporation (NTC) for the development and revival of New City Mills at Mumbai and Aurangabad Textile Mills at Aurangabad which was progressed satisfactorily. The Company commenced expansion of Polyester production from 600 tons/day to 1400 tons/day in 2011. In 2012, the Honble High Court, Bombay, sanctioned the Scheme of Amalgamation between Alok Industries Limited and Grabal Alok Impex Limited with appointed date of 1 April 2011. It also completed the expansion of polyester production from 900 tons/day to 1400 tons/day in year 2012.Pursuant to a Scheme of Amalgamation sanctioned by the Bombay High Court vide its Order dated 11 October 2013, some of the Wholly Owned Subsidiaries / Step-down Subsidiaries viz. Alok Relators Private Limited, Alok Land Holdings Private Limited, Alok H&A Limited, Alok Retail (India) Limited and Alok Apparels Private Limited (transferor Companies) got merged with Alok Infrastructure Ltd., a wholly owned subsidiary of the Company and resulting to this, the said Scheme was effective from 15th November 2013.As on 31st March, 2016, the Company had 10 subsidiaries (Direct), and 4 step down subsidiaries, 2 Joint Venture companies and 2 Associate Companies. As on 31st March 2019, the Company had 9 subsidiaries (direct or step down), and was joint venture partner in two companies, New City of Bombay Manufacturing Mills Limited and Aurangabad Textiles and Apparel Parks Limited.