Tiruppur-based SP Apparels (SPAL) has finalized a fresh equity investment of Rs 6.02 crore ($650,000) into its wholly-owned Sri Lanka-based subsidiary, SP Apparels International. Completed on April 9, 2026, this capital infusion marks the second significant round of funding for the unit within six months, following a Rs 4.35 crore infusion in late 2025. The move is designed to leverage Sri Lanka’s specialized manufacturing landscape and competitive labor costs to optimize SPAL’s global supply chain. By scaling up this overseas facility, the company aims to enhance its export agility, particularly for its core infant and childrenswear categories, which demand high-precision knitting and finishing capabilities.

Scaling toward the Rs 2,000 crore revenue milestone

The strategic expansion in Sri Lanka aligns with SPAL’s ambitious ‘Vision 2027’ roadmap, which targets a consolidated revenue of Rs 2,000 crore. Current financial data underscores a robust trajectory; the company reported a 6.6 per cent revenue growth in Q3 FY26, supported by the successful integration of Young Brand Apparel - an intimate wear specialist acquired for Rs 223 crore. Analysts suggest, diversifying production across regional hubs allows SPAL to mitigate the impact of fluctuating artisanal production costs and domestic yarn volatility. With the garment division now exporting nearly 19 million pieces quarterly, the Sri Lankan unit is positioned as a critical lever for maintaining the company's competitive edge in the high-volume UK and US retail markets.

Global manufacturing and retail profile

SP Apparels is a leading Indian manufacturer specializing in knitted garments for infants and children for global retailers. The company manages a diverse portfolio including the Crocodile menswear brand and Natalia women’s wear. With integrated facilities in Tamil Nadu and expanding hubs in Sri Lanka, SPAL is targeting Rs 2,000 crore in revenue by FY27 through aggressive capacity scaling and international DTC growth.