Vardhman Textiles Limited (VTXL) has transferred its threads business to one of its subsidiary companies, Vardhman Yarns and Threads Ltd (VYTL), through a scheme of arrangement, re-organisation and demerger as sanctioned by the Punjab and Haryana High Court, with effect from April 1. The holding of VTXL in VYTL as on the said date was more than 98 pc. The threads business of the subsidiary company, viz. VYTL, comprises four manufacturing units located at Hoshiarpur and Ludhiana (Punjab), Perundurai (Tamil Nadu) and Baddi (Himachal Pradesh). According to Sachit Jain, Executive Director, VTXL, the company entered into a joint venture in VYTL with M/s American & Efird, Inc (A&E), one of the world’s largest global manufacturers and distributors of industrial sewing threads, embroidery threads and technical textiles, with A&E’s initial holding of 35 pc. Recently, A&E has acquired additional 14 pc equity shares of the joint venture company, VYTL, from Vardhman Textiles Limited and thus holds 49 pc equity shares. The joint venture company however continues to be a subsidiary of Vardhman Textiles Limited, whose shareholding is now 51 pc.
