Interestingly, there were no indicators to this development in the offer document to the ongoing public issue. It may be recalled that Shree Krishna Polyester is currently mobilising Rs 25 crore by way of a public issue which opened on February 16.

When contacted, Pravin Tayal, group chairman declined to comment on the grounds that SEBI regulations prohibit the company from talking about the venture while the public issue is on offer.

Analysts though have been skeptical. The main bone of contention being the group's reputation in the marketplace and its competencies. According to an analyst: "The software venture may be a desperate bid to infuse some amount of confidence in the company."

A spokesperson for the company said that these perceptions are unfortunate because the group has a healthy track record of paying out dividends. The company had roped in a consultancy firm to suggest fresh names for the group companies, ostensibly to alter perceptions in the markets that it is focussed on textiles and commodities.