Nitin Spinners, a Rajasthan-based cotton yarn manufacturer at the board meeting got approval of Rs 300 crore for expansion project to widen the range of its cotton products and to establish leadership position in the market.

The Board of Directors of the Company have approved expansion project for additions in the capacity of Ring Spinning & Rotor Spinning facilities at the existing location, The new plant would come into operations in second half of FY16, Nitin Spinners' said in a BSE filing.

The project is proposed to be financed partly through term loan and partly through internal accruals.

The expansion project is eligible for interest subsidy on term loan for capital expenditure under Technology Upgradation Fund Scheme (TUFS) of Central Government and Rajasthan Investment Promotion Scheme, 2014.

Nitin Spinners reported a good first quarter performance with a topline growth of 48 percent and margins around 19-20 percent. The domestic business contributed around 35 percent of the revenues and rest was exports for the quarter gone by.

Today, it has combined installed capacity of 150000 Spindles and 3000 Rotors, Manufacturing 40000 tons of Yarns and Threads per annum, the company has carved a niche for itself on the textile map of the country.

Their Fabric Unit has also shown an upward growth trend since its inception. Today, with the production and supply of 8000 tons of fabric per annum, their top quality fabric is already making its presence felt in the global textile industry.