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

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Gujarat Industries Power Company

D K Chemo-Plast DK Chemo-Plast, which S D D Rupa- rdia, H P Ponda and IC Nathwani have jointly promoted, is setting up a plant to manufacture 5,000 tonnes per annum PVC films/sheetings of 0.08 mm to 0,40 nun thickness by the calendering process at Tarapur Industrial Area in Thane district, Maharashtra, which is specified as a C category backward area. The PVC films/sheetings are used in raincoats, inflatables, and as window shades and packaging material for fruits and processed meat. The project is based on a second hand calender line imported from the US. Its cost was appraised earlier by the ICICI at Rs 8.96 crore, but which in December 1991 was revised to Rs 12.24 crore. It is to be financed with promoters' contribution of Rs 3.09 crore (Rs 65 lakh of this amount being subscribed by the SICOM) in share capital issue of Rs 5.94 crore; foreign exchange institutional term loans of Rs 1.89 crore and rupee term loans of Rs 4.20 crore, and Rs 20 lakh of state subsidy for industry in a notified backward area. The promoters are to buy back over three years the shares subscribed for by SICOM and till that time are not to pledge, dispose of or put under any charge their own shareholdings in the company. To tide over a shortage in indigenous availability of PVC resins, the company intends to import 60 per cent of its raw material requirements, while it has received from the US and the UK orders for export of 4,000 tonnes of the material on a value added basis For financing the project, which is to com mence commercial production in August this year, the company is making a public issue of Rs 2.71 crore of equity shares on July 28 under the SBI Capital Markets as the lead manager of the issue.

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