Textile group Ramco has gained control of Thanjavur Textiles through subsidiaries Rajapalayam Mills and Ramco Industries after the completion of a preferential issue of equity shares.

The paid up capital of the company, which stood at Rs 1.20 crores on March 31, 1999, increased to Rs 2.70 crores after completion of the issue on September 30, 2000.

Ramco Industries and Rajapalayam Mills now have a stake of 27.78 per cent each, with Mr P. R. Ramasubrahmaneya Rajha owning 0.73 per cent - taking the total stake of Ramco group to 56.29 per cent. (The Ramco group's stake was 1.65 per cent in the earlier capital of Rs 1.20 cores).

To reflect the business's core activity, it is proposed to change the name of the company to Thanjavur Spinning Mill and the company is seeking the shareholders' agreement at the annual meeting to be held on December 20.

Plant and machinery from the company's redundant Tiruttani unit are being shifted to the Thanjavur plant and the relocation is expected to improve the company's finances.