Shiva Texyarn is a textile company that turned a commodity - cotton yarn - into a technology platform, using it to build everything from biodegradable banners to nuclear-biological-chemical warfare suits. It started as a spinner in 1989, went public even earlier in 1985, and made its defining move in 2005-2006 when it brought India’s first Reactive Polyurethane lamination line to Coimbatore, Tamil Nadu. The pattern ever since has been the same: take a core material technology, push it into a niche where the product is hard to copy, and power the whole operation with captive wind and solar energy to keep costs predictable. # Business segments Three engines built on one material backbone - a spinning mill that feeds itself cheap green power, a technical-textiles platform that turns fabric into high-performance products, and a defence-garment unit that sells to the Indian Army at margins most textile makers never see. ## 1. Spinning: the quality-first yarn mill that runs on its own wind **This is the legacy engine - 52,416 spindles making cotton yarn for hosiery - but it competes on quality, not price, and its entire electricity bill is shielded from the grid.** - **Takes more waste to raise quality** - the mill deliberately extracts extra noil (short fibres) during combing, which lifts the yarn grade above the industry average and creates stronger customer loyalty in the medium-count hosiery segment. - **Powered by 55 windmills** - every unit of electricity the spinning unit consumes comes from the company’s own 13.195 MW wind fleet across Tamil Nadu, at a cost at least one rupee per unit cheaper than grid or exchange power, so energy inflation does not eat the margin. - **Global cotton basket** - raw cotton is bought from selected ginners in India and from origins in West Africa, Australia, and the US, giving the mill flexibility when one region’s crop is weak or expensive. - **Cuts production when markets turn** - in August 2022 the board idled significant capacity for two months until market conditions normalised, showing a willingness to protect value rather than run spindles for volume. ## 2. Technical textiles: the coating-and-lamination platform that decommoditises fabric **Three factories - coating, lamination, and processing - take plain fabric and give it properties like waterproof breathability, fire retardance, or complete biodegradability, serving everything from mattress brands to the Kerala government.** - **Three coating lines with a million-metre monthly capacity** - acrylic, PU, and digital-canvas coatings are applied with finishes that include fire retardant, water repellent, anti-microbial, anti-static, and oil resistance, so the same base fabric can become an art canvas or a truck cover. - **Processing for performance fabrics** - the Perundurai plant handles 900,000 metres a month and specialises in high-fastness, moisture-wicking finishes on delicate fabrics like nylon knits, microfiber, and seamless garments for premium customers. - **Biodegradable banners - a regulation-driven niche** - the division makes a cotton-based banner material, certified by SITRA, that degrades completely within three months of burial; it became the leader in Kerala, where the business ran at roughly Rs.1.5 crore a month in normal times, and capacity has been expanded ahead of other states banning non-biodegradable flex. - **Raw-material risk passed through in B2B** - in the coating business, the company buys nearly six months of raw material in one go and passes the cost on to customers, so it is a conversion-fee business rather than a commodity bet. ## 3. Quick Dry and consumer brands: the dry-sheet category the company invented **A branded B2C business built on lamination technology, anchored by Quick Dry dry sheets - a product category the company created roughly fifteen years ago and still leads in India.** - **Invented the market** - the company introduced the dry-sheet segment to India and remains its market leader, innovator, and largest player, with a brand portfolio that now includes Quick Fit mattress protectors, Q Club baby products, and Smiley reusable masks. - **10,000-retailer reach** - products move through more than 200 distributors and over 10,000 retail outlets across India, supported by a 90-person on-ground sales team, with exports to the Middle East and South-East Asia. - **Price stability as a market-share weapon** - unlike the B2B coating business, the consumer division absorbs raw-material cost increases rather than passing them on, using stable shelf prices to gain share while competitors fluctuate. - **Patent-pending fabric diaper** - the Paw-Paw brand reusable diaper uses a proprietary Rapi-Soak Technology with a laminated layer, side-tank absorbent system, and ergonomic T-shape; it is awaiting a patent and comes in three sizes from newborn to toddler. ## 4. Defence garments: the NBC-suit maker with 30% margins **This division stitches extreme cold-weather clothing, nuclear-biological-chemical suits, and load-carrying gear for the Indian Armed Forces - products where the company is often the sole or one of very few qualified suppliers.** - **Single vendor for the NBC Haversack** - the complexity of the product means the company is the only supplier in India, and it earns EBITDA margins of about 33% on this item alone. - **Protection down to -50°C** - the factory makes specialised three-layered suits for super-high-altitude mountaineering and extreme cold-weather clothing systems, products that very few companies globally can manufacture. - **Defence orders are large and recurring** - recent contracts include Rs.53.86 Crores for 26,667 NBC suits, Rs.27.28 Crores for 80,250 NBC Haversacks, and a multi-year order for 26,574 extreme cold-weather suits for delivery through January 2026. - **Contract manufacturing for global brands** - the same facility makes backpacks for international brands and has supplied insulation wirings to Decathlon, diversifying the order book beyond government contracts. ## 5. Bags: carrying gear from schoolyards to camera trips **A smaller division that makes school bags, girls’ ranges, and professional photography bags, sharing the company’s expertise in load-carrying products with the defence garment unit.** - **100% polyester and nylon construction** - every bag is stitched with nylon bonded thread, using the same material know-how that runs through the rest of the company. - **Photography range for niche users** - the line includes camera bags, long-lens bags, tripod bags, and messenger bags, targeting a specialised consumer rather than mass retail. # Captive power: the green-energy shield **A fleet of 55 windmills and a growing solar stake supply the spinning mill with power that is cheaper and more predictable than the grid - a structural cost advantage embedded in the business model.** - **13.195 MW of wind capacity** - the windmills are spread across seven locations in Tamil Nadu’s Coimbatore, Tirupur, and Erode districts, and every unit generated is consumed captively at the spinning unit. - **Captive-generator model extended to solar** - in April 2022 the company acquired a 26% stake in wind-power generator L K Distributors Private Ltd, whose entire 42.14 lakh units of annual output are consumed by Shiva Texyarn under a captive-user arrangement; in May 2025 the board approved an 11.50% stake in a solar-power generator, Finecot Spinning Mills, to replicate the model with solar energy. # Group structure and partners **A tightly held, promoter-led public company with no subsidiaries, a single associate for captive power, and a Managing Director who chairs India’s technical-textiles industry body.** - **74.04% promoter holding** - the holding company is Vedanayagam Hospital Private Ltd, which held 72.17% as of February 2022; the equity base is 1,29,62,713 shares of Rs.10 face value, listed on BSE and NSE. - **No subsidiaries, one associate** - the 2017 demerger separated legacy spinning assets into Shiva Mills Ltd; today the company has no subsidiaries and its only associate is the captive wind-power entity L K Distributors Private Ltd. - **Managing Director embedded in the industry** - S.K. Sundararaman is an MBA from Cambridge Judge Business School and serves as Chairman of the Indian Technical Textiles Association, placing the company at the centre of policy and standards conversations for the sector. - **CARE BBB rating with Rs.206.88 Crores in bank facilities** - rated facilities include Rs.96.88 Crores of long-term debt at CARE BBB (Negative) and Rs.110 Crores of long/short-term and short-term facilities, reflecting a cautious leverage profile.