Future Initiatives - Tecoya Trend 27 January 2018
SAAM plans IPO
SAAM Textiles has been scaling new export heights every year. On the eve of SRTEPC export award function, Mr. Mukesh Bhargava, Founder and Chairman, SAAM Textiles, ina tete-a-tete talks about his company's futire plans. Following are the excerpts:
Tecoya Trend: Is it true that SAAM is planning an IPO? If yes, can you share the IPO details.
Mr. Mukesh Bhargava: yes, we are happy to share that SAAM Textiles is on expansion mode and we are currently in the process of various discussions with venture Capitalists, Financial Advisors, Banks, CA/CFA teams for a possible IPO launch in the coming Financial year.
Tecoya Trend: What are your plans for venturing into men's wear fabric market in the U.K ?
Mr. Mukesh Bhargava: Fortunately, we are working with all big names in retail in U.K and this gives us a launch pad to access their other product segments, primarily the Menswear and the Ladieswear.
So our venture to Menswear is a natural growth stemming from the solid foundation, business practices and relationship with the brand and the retailers.
These are the same retailers with whom we have been working on the schoolwear and kidswear side of business.
We are setting up our third weaving factory, with construction in full swing and nearly completion. This division will boast of an integrated world class design studio taken care of by a very efficient and experienced design teampicked from the corporate sector and will churn out the best fabric designs suitable for Menswear.
Tecoya Trend: Is SAAM also planning to venture into North and South American Markets ?
Mr. Mukesh Bhargava: As an individual and MD of SAAM, I feel proud to introduce my next generation into the business and my elder son Armaaan Bhargava after completing his Masters in USA, has come back for good and strengthened the company.
So he and our President Marketing/Sales have been assigned to tap the fabric business from the North and South market which we clearly see as a massive opportunity for the growth of SAAM in years to come and since my elder son has lived in US for a long time, he understands the US culture, and will surely use this experience to increase sales from the region.
Tecoya Trend: What are your expansion plans - Both forward and backward integration ?
Mr. Mukesh Bhargava: We are also extremely proud to announce the joining of my younger son Shaurya Bhargava into business and he would be leading our backward integration into another world class weaving facility to boost our production capacity.
With the funds raised from the planned IPO and our vision to go completely vertical, we would be setting up a fully automated new spinning plant in next couple of years and this will be a big step towards making SAAM as a leading textile company.
We will take one step at a time, and subsequent to establishing the spinning division, we plan to expand and set up a world class green finishing mill.
Tecoya Trend: What are your plans on the wind power front ?
Mr. Mukesh Bhargava: SAAM always had a long-term vision and a clear thought to remain environment friendly and contribute positively towards sustainability by offering a product which has been manufactured using the green energy.
SAAM along with other 4 co-owners, have setup our own Wind Mill Power Plants with the capacity of 8.4 MGW in desert city of Jaisalmer in Rajasthan. The electricity generated by the wind plants is used to provide power to our factories and also provide electricity to the textile park where our factory is located.
Due to our efforts to generate green energy, the government has provided our textile park a dedicated sub-station with uninterrupted supply of electricity which all leads to produce a green, efficient and on-time product.
Tecoya Trend: What is your outlook of SAAM in the next 5 years ?
Mr. Mukesh Bhargava: With clear goals insight and our established plan for product and market expansion, we surely see ourselves as one of the most renowned and leading textile company in the next 5 years. We also have an insight the domestic market and once we have set ourselves up with above, we will launch our own brand in India.