ISSN (Print) - 0012-9976 | ISSN (Online) - 2349-8846

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Satguru Agro Industries

Dyna Lamps and Glass DYNA LAM PS AND GLASS WORKS is one more venture by P Obul Reddy in electricals field, after he successfully established Indo National and Dyanavi- siOn, besides Apollo Hospitals, Indo Matsushita Carbon Company and Indo Matsushita Appliances, all of them having now turnovers amounting in some crores. His latest venture Reddy is establishing jointly with the Tamilnadu Industrial Development Corporation at the Sipcot industrial complex in Chengal- pet district, Tamil Nadu. With Rs 18.72 crore of an estimated Rs 46.25 crore outlay having been expended already, the project is scheduled to go into commercial production in the third quarter of this year. The project is ambitious in both extent of production and length of financing for which a debt-equity ratio of 1.2:1 is envisaged while the company is availing of a foreign currency loan of Rs 13.74 crorc. Production is to cover manufacture of 9.8 million of fluorescent tube lamps, 22 million glass tubes, 26 50 million gas lighting system lamp shells and 8.6 million general lighting system lamps. There is an expoit commitment of about 24.6 per cent of the turnover in four years to allow the company to avail of the concessional 25 per cent customs duty on import of capital goods. The project is expected to earn a net profit in 1993-94. It is being set up in technical collaboration with Corning Engineering of the US and Sale Tilney Technology (Badalex Division) of the UK, Corning is providing 'Velio' technology, which will be brought into use for the first time in the country, for the manufacture of glass tubing. The UK company's Badalex Division is providing high speed lamp assembly system for the manufacture of quality lamps. Plant and machinery claims Rs 30.06 crore of the project outlay of Rs 46.25 crore, while the means of finance include Rs 18.30 crore of share capital, Rs 11.21 crore of rupee term loans, Rs 13.74 crore of foreign currency loan, Rs 25 lakh by way of state subsidy, and the balance Rs 2.75 crore by way of retention of 15 per cent of excess subscription for the capital issue of 65.05 lakh equity shares of Rs 10 each at par made presently. The Issue opens on March 30 and is scheduled to close the earliest on April 3.

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