Ram Leather Exports

Shree Pacetronix SHREE PACETRONIX is taking to manufacturing cardiac pacemakers, after having traded in them since the year 1989. Technology for the manufacturing operations is being provided by Bio-Pace Technology of the USA, which is a pioneer like Bio- Control Technology and Cardio-Puce Medical in the manufacture of cardiac pacemakers. BPT will be manufacturing the pacemakers for the Indian market. The project is appraised by State Bank of Indore to cost Rs 3.78 crore. Of this Rs 1.15 crore is the technical know-how fee payable to BPT. Expenses on foreign technicians are estimated at Rs 1.21 crore. BPT will be having a 6.7 per cent stake in the Indian company, which is issuing equity shares worth Rs 2.09 crore to the public in 10-rupee shares at par. The issue opens on June 8 with State Bank of Indore and CRB Capital Markets acting as the lead managers. The company is also issuing 38,000 shares to NRIs. The promoters are contributing Rs 80 lakh. The Wt of the financing of the project is to he done with a term loan of Rs 59 lakh from the Madhya Pradesh Audyogic Vikas Nigam and capital subsidy of Rs 10 lakh. The project at Pithampur, MP will have a capacity of 4,800 numbers of cardiac pacemakers. Trial runs have been taken in May and production is to start in June. The company will be manufacturing nonprogrammable pacemakers and programmable pacemakers. The non-programmable ones will be available at a price of Rs 11,000 and the programmable ones at Rs 22,000. The cost of the imported machines comes respectively to Rs 20,000 and Rs 35,000. Demand in India during 1993-94 is estimated at 8,000 machines. BPT is to buy up 30 per cent of Shree ftcetronix's annual production for a period of five years. The company will work at 50 per cent capacity in 1993-94, at 60 per cent in 1994-95 and at 70 per cent in 1995-96. It will have sales worth Rs 3.30 crore, Rs 3.96 crore and Rs 4.62 crore respectively for the three years with expected profit after tax at Rs 44,03 lakh, Rs 56.38 lakh and Rs 1.11 crore and EPS