Coimbatore based Mill gets huge investment from Blue River Capital

Blue River Capital, along with partners Brandot Investments and Argonaut Private Equity, has invested Rs 1050 million in Coimbatore-based KPR Mill. KPR Mill is a Rs 4500 million integrated textile and apparel company, which owns spinning, knitting and garment making facilities in the southern city, reports Economic Times.

The deal also marks the foray into India of Martin Trust, one of the best known investors in the textile and apparel space, through his investment company Brandot Investments. The promoters of KPR Mill along with its new investors are now working out the details for the company`s IPO.

KPR will use part of the funds to finance its Rs 5 billion expansion plans. The rest has been raised through a loan under the Technology Upgradation Fund Scheme (TUFS). The company is doubling its spinning capacity from the existing 1,10,000 spindles. It will also set up a new garment making facility in Coimbatore, which is expected to boost its Rs 1.4 billion export business.

``With our expansion plans in place we hope to grow the company to Rs 10 billion in the next two years and exports will constitute Rs 4 billion. We will also set up a processing facility so we can complete the entire value chain in textile and garment manufacturing,`` said P Nataraj, managing director, KPR Mill.

Source: Myiris.com