Meenakshi (India) Ltd, a Chennai-based apparel exporter, is preparing for a direct listing on the Bombay Stock Exchange (BSE) in June to enhance its visibility and position for future growth, despite ongoing challenges in global textile markets.
The nearly four-decade-old firm, which produces casual bottoms, shorts, and jackets for premium international retailers including Nordstrom and brands such as GANT, Lyle & Scott, and John Varvatos, is currently listed on the Calcutta Stock Exchange, where trading activity has remained limited.
“We are technically already a listed company. This is a direct listing and not an IPO,” said Ashutosh Goenka, Chairman and Managing Director of the company. He stated that there are no plans to dilute the promoter stake or raise fresh capital through the market at this time.
The promoters hold approximately 71% of the company’s shares, while the remaining ownership comprises public investors, corporates, and high-net-worth individuals. Meenakshi (India) Ltd maintains a largely debt-free status, only relying on working capital borrowings, most of which are currently unutilized.
The upcoming BSE listing coincides with challenging conditions for apparel exporters, grappling with uncertainties related to U.S. tariff policies, high freight costs, and slow demand recovery in Europe.
Originally founded in 1982 as a textile trading and fabric distribution company, Meenakshi transitioned into apparel manufacturing in 1991, opening its first factory in Ambattur, Chennai. Operations were later consolidated in Salem to benefit from labor availability and sourcing efficiencies.
Currently, the company operates three manufacturing facilities in Salem, equipped with around 1,000 machines and integrated garment washing facilities. It specializes in premium casual wear, producing items such as washed pants, shorts, and jackets for U.S. and European markets, including brands like Marc O’Polo.
For the fiscal year ending in 2025, the company reported a turnover of approximately ₹190 crore, with exports accounting for over 99% of its revenues. However, management has indicated that growth has slowed due to tariff-related disruptions in the U.S. market and weak demand in Europe.
In anticipation of export growth, Meenakshi India had expanded capacity by adding two production lines, but recent higher U.S. tariffs have hampered the full utilization of these facilities as they affected sourcing decisions among international buyers.
Looking ahead to FY27, the company has conservatively projected revenues around ₹176 crore and capacity utilization at about 70%, reflecting ongoing uncertainty in global trade policies and delays in implementing the proposed India-European Union free trade agreement.
Despite immediate challenges, the management remains optimistic about the long-term prospects for Indian apparel exporters if tariff disadvantages compared to countries like Bangladesh and Pakistan are addressed through trade agreements.
Additionally, Meenakshi has entered the direct-to-consumer market with its homegrown menswear brand, SHORTSTOP, which focuses on men’s shorts.
The article was published on May 15, 2026.
