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| Exchange Disseminated Time 05/07/2016 15:46:08 | Bodal Chemicals Ltd has informed BSE that the Board of Directors of the Company at its meeting held on July 05, 2016, has transacted the following;
The Board of Directors has discussed about the available Environmental Clearance with the company and available various options for expansions. On the basis of that, has decided, at this stage, to expand / enhance its dyestuff production capacity at the Unit-VII situated at Village Dudhwada, Tehsil Padra, District Vadodara, Gujarat.
Key highlights of the expansion, as discussed and concluded at the meeting are as follows;
1. The Company in principle has decided to increase dyestuffs production capacity by 24,000 MTPA over a period of 3-4 years, subject to other factors.
2. In the first phase, the company will initiate expanding Dyestuff production capacity by 8,000 MTPA.
3. After completion of the first phase, total dyestuff (powder) production capacity of the Company will increase from 17,000 MTPA to 25,000 MTPA.
4. From the first phase, the Company expects an additional annual dyestuff turnover of about Rs. 145 crores.
5. For the first phase, the Company expects to incur a capex of about Rs. 28 crores and it will be totally funded out of internal accruals.
6. The expansion work will be completed in 8 to 10 months.
7. Considering the present profitability, management expects payback period of approx 2 to 3 years.
The Board Meeting was started at 12.30 p.m. and concluded at 3.25 p.m. |
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