Balkrishna Industries

YEAR                       EVENTS
 1961 - The Company was incorporated on 20th November, at Mumbai. 
 The
        Company carries out the manufacture of pulp and paper and
        processing of synthetic fabrics.
 
 1963 - Allotted 450 shares to directors and 12,050 shares to friends
 of
        directors.  12,500 shares offered at par to the public in
 March
        1962.  Only shares offered at par to the public in March
 1962.
        Only 7,500 shares subscribed for.
 
 1971 - With effect from 17th May, the name of the company was
 changed
        from Papchoni Corporation Ltd., to Balakrishna Paper Mills
 Ltd.
        It was again changed to the present one on 29th October,
 1987.
 
 1978 - 50 tonnes per day paper machine was installed in October,
 which
        enhanced the installed capacity of the paper plant to 7,200
 per
        annum.
 
 1979 - 10,000 Shares issued at par as Rights in prop. 1:2.
 
 1984 - 30,000 Rights equity shares issued in 1982-83 (Prem. Rs 100
 per
        share; prop. 1:1).
 
 1985 - 60,000 Bonus equity shares issued in prop. 1:1 and allotted
 on
        4.3.1986.
 
 1986 - The Company privately placed with UTI 1,50,000-15% secured
        redeemable non-convertible debentures of Rs 100 each.
 
 1987 - The Company undertook modernisation of Synthetic Textile
        Processing Division by addition of latest sophisticated
 machines.
 
      - The Company undertook to set up a plant with an installed
        capacity of 18 lakhs automobile tyres at Waluj, Aurangabad
        district, a notified backward area.
 
      - During October/December, the Company offered at par
 96,000-14%
        secured redeemable convertible debentures (Series-IV) of Rs
 170
        each in the proportion 2 convertible debentures to every 25
 No.
        of equity shares held and 2,88,000-14% secured redeemable
        non-convertible debentures (Series-V) of Rs 100 each in prop.
 6
        non-convertible debentures to every 25 No. of equity shares
 held,
        to the then existing shareholders.
 
      - Out of the convertible debentures, only 76,847 debentures
 were
        taken up by shareholders and their nominees.  The balance
 17,593
        debentures were allotted privately.  Out of the
 non-convertible
        debentures, only 1,301 debentures were taken up by
 shareholders
        and their nominees.  The balance 2,86,699 debentures were
        allotted to UTI under a stand-by arrangement.
 
      - In addition, 4,800 convertible debentures of Rs 170 each and
        14,400 non-convertible debentures of Rs 100 each were offered
 to
        the employees (including Indian working directors)/workers of
 the
        Company.  All the non-convertible debentures and only 1,560
        convertible debentures were taken up.
 
      - As per the terms of offer, the convertible portion of Rs 70
 of
        each debenture (Part-B) was to be compulsorily and
 automatically
        converted into one equity share of the Company at a premium of
 Rs
        60 per share at the expiry of six months from the date of
        allotment.
 
      - The non-convertible portion of Rs 100 of each debenture
 (Part-A)
        under both cumulative and non-cumulative interest schemes
 shall
        be redeemed in three equal instalments between 6th and 8th
 year
        from the date of allotment of the convertible debentures.
        Subsequently, 97,560 shares were issued during June/July 1988
 in
        conversion of debentures.
 
      - The non-convertible debentures of Rs 100 each under both
        cumulative and non-cumulative interest scheme shall be
 redeemed
        in three equal instalments between the 6th and the 8th year
 from
        the date of their allotment.  A premium of 5% on redemption
 shall
        be payable along with the instalment falling due on the 7th
 year.
 
 1989 - The tyre division introduced various sizes of 4 wheeler tyres
 for
        light commercial vehicles, jeep, tractor (front), railers,
 etc.
 
      - Various sizes of 4 wheelers tyres for LCV, Jeep tractor
 front,
        trailers & animal drawn vehicles etc., were introduced during
 the
        year.  However, the margins of the division were affected by
        increase in costs of inputs, uneconomic sales realisation and
        low capacity utilisation.
 
 1990 - The Company undertook further modernisation cum balancing
 scheme
        at the paper plant to increase the capacity to 26,400 TPA.
 
 1991 - Operations at the paper division were suspended for 10 days
 due
        to a fire in the electrical installation.  The margins of
 this
        division continued to be affected by increase in cost of
 inputs.
 
      - 12,97,560 Bonus equity shares issued in prop. 1:1.
 
 1992 - The paper plant was shut down for 13 days for the purpose of
        replacement of ACB panel, which was burnt in a fire in
 September,
        1991.
 
      - The Company undertook phase-II of the
 expansion-cum-modernisation
        scheme.
 
 1993 - The Company issued 2,00,000-18% secured redeemable
        non-Convertible debentures of Rs 200 each to UTI on private
        placement basis.  These debentures are to be redeemed in
 three
        equal annual instalments from 3rd November, 1995.
 
 1994 - Under the modernisation-cum-expansion scheme, the plant to be
        installed was to have modern finishing equipment for
 processing
        polyester viscose fabrics enabling the synthetic textile
        processing division to enter premium segments.
 
      - The Company undertook to set up a division named Balakrishna
        Poly Packs at Murbad, a backward area in Maharashtra, for the
        manufacture of 15 million woven sacks of HDPE/PP.  This
 project
        was to be financed by a rights issue of non-convertible
        debentures not exceeding Rs 240 lakhs, internal accruals and
        loans from financial institutions.
 
      - The Company allotted 25,95,120 Bonus Shares in the ratio of
 1:1
        to the existing shareholders.  Pursuant to the resolution the
        Company allotted 10 lakh shares to Unit Trust of India at a
        premium of Rs 200 per share on private placement basis.
 
 1995 - The Company undertook to implement a further
        modernisation-cum-expansion of Scheme No. V.  After the
        completion of the Scheme the plant capacity will increase to
        48,000 tpa from 30,000 tpa and the scheme also includes the
        setting up of a captive power plant of 3.3 Megawatt capacity.
 
 2000 - Following as illegal and unjustified agitation by the workmen
 at
        the Paper Plant the company was forced to declare a lock out
        w.e.f. 23rd October, 1999 and the lock out was lifted on 18th
        May, 2000, following an amicable settlement.