Siddhi Cotspin Ltd (NSE SME)

IPO Details

Company Financials (In ₹Crore)

About Company

Established in 2015 and based in Dholi, Ahmedabad (Gujarat, India), Siddhi Cotspin is a prominent manufacturer specializing in a wide array of high-quality cotton yarns. The company has carved a niche for itself by focusing on both standard and innovative value-added yarns, catering to the discerning needs of the textile industry.

Core Business
Siddhi Cotspin is engaged in the manufacturing and sale of:

• Standard Cotton Yarns: Carded and Combed yarns.

• Value-Added & Specialty Yarns: A diverse portfolio including:

  • Compact Yarns (Carded & Combed for Hosiery/Weaving)

  • Eli Yarns (KW & CW)

  • Slub and Siro Slub Yarn

  • Lycra-Core Spin Yarn (Spandex)

  • TFO Double Yarn: A key specialty product that enhances strength and durability.

Manufacturing Capabilities
The company's strength is underpinned by a significant and modern production facility:

• Location: Dholi, Ahmedabad, Gujarat.

• Spindle Capacity: 29,376 spindles.

• Production Capacity:

  • Cotton Yarn: ~9,011,850 kg per annum.

  • Value-Added Yarns: ~27,035,550 kg per annum.

• Infrastructure: Equipped with state-of-the-art automated machinery, ensuring high productivity and consistent quality.

Quality and Sustainability

• Quality Control: A skilled technical team employs modern technology and implements stringent quality control measures at every stage of the spinning process, from raw material selection to the final product.

• Sustainability: The company is committed to sustainable manufacturing by minimizing waste, conserving energy, and reducing its environmental impact.

Strength

Commitment to Quality: The company maintains high product and process standards, holding GOTS (Ver 6.0) certification and consistently adhering to customer-prescribed quality norms, strengthening its brand reputation.

Strong Supplier Network: With established relationships across major cotton-producing states, the company ensures reliable sourcing of quality raw materials, supporting stable production and growth.

Efficient Resource Utilization: Continuous process improvements, employee skill upgrades, and modernization of machinery enable optimal use of resources, ensuring smooth and efficient operations.

Weakness

Pending Legal Proceedings: Ongoing cases involving the company, promoters, directors, and group companies could negatively impact business, operations, and financial condition if decided adversely.

Demand & Consumer Preference Risk: Fluctuations in cotton yarn demand and shifts in consumer preferences may adversely affect the company’s business, operations, and financial condition.

Dependence on Key Suppliers: Heavy reliance on a few suppliers for raw materials exposes the company to supply disruptions or price fluctuations, affecting operations and financials.