A portable electric sewing machine for sewing material, buttons or the like with a chainstitch. The mechanism for looping the thread to form the chain of the stitch includes a reciprocating pair of spreadable, parallel arms positioned beneath the material and work surface. As the needle passes through the material, a loop of thread is retained by the parallel arms. The loop positioned by the arms for passage of the needle through the loop on the next successive stroke of the sewing needle.