|Ganesh Benzoplast Limited (GBL), the flagship Company of the GANESH Group, was incorporated on May 15,1986 with the Registrar of Companies, Maharashtra at Bombay and obtained its Certificate of Commencement of Business on May 21, 1986. The Company in engaged in the manufacture of industrial chemicals viz. Benzoate Plasticizers (sold under the trade name "Benzoplast"), Benzoic Acid and Sodium Benzoate.
Ganesh Benzoplast Ltd. has set up a plant at D-5/2, MIDC, Tarapur, Maharashtra, for manufacture of Benzoate Plasticizers, Benzoic acid and Sodium Benzoate. The first phase of the project comprising of facilities for manufacture of 3600 tonnes per annum of Benzoate Plasticizers wan set up in 1988 at an outlay of Rs. 295 lacs. This was financed by equity share capital of Rs. 137 lacs, term loans of Rs. 138 lacs from SICOM & MSFC and State subsidy of Rs. 20 lacs. The project went on stream in July 1988 and has been operating satisfactorily. The second phase of
the project for manufacture of 1800 tonnes per annum of Benzoic Acid and 1800 tonnes per annum of Sodium Benzoate was taken up during 1990 at a project cost of Rs. 950 lacs. This was financed by a term loan of Rs. 500 lacs from All India Financial Institutions with ICICI in the lead and issue of partly convertible debentures, This project commenced its commercial production in August, 1992. this manufacturing facility is
located at D- 2112/2 MIDC, Tarapur, Maharashtra.
Spurred by an increasing demand for benzoate plasticizers, the Company took up an expansion in the capacity of benzoate plasticizers from 3600 tpa to 7200 tpa in the year 1994. The expansion was initiated in the same site where its facilities for manufacture of sodium benzoate and benzoic acid are located. The expansion involved an outlay of Rs. 932 lacs which was financed by a rights-cum-public issue of fully convertible debentures in January 1994. The expansion programme has been
commissioned in January '94 and commercial production has already commenced.
As a major diversification from its business of manufacture of plasticizers, sodium benzoate and benzoic acid, the Company initiated a project for setting up Liquid Chemical storage facilities of 30,000 kilo liters at Jawaharlal Nehru Port, Nhava Sheva, Bombay for class B Chemicals involving a capital outlay of Rs. 894 lacs.
The chemical industry in and around Bombay are the major consumers of class 'B' Chemicals. Large quantity of these chemicals are imported by these units through Bombay Port and Jawaharlal Nehru Port at Nhava Sheva near Bombay. Considering the special storage requirements of these chemicals and the limited facilities presently available at Bombay Port, the Company decided to set up chemical storage facilities at JNP,
Nhava Sheva, an all weather major port located close to Bombay,
The project work for chemical storage terminal commenced on schedule. However, owing to tremendous emerging potential especially with liberalized import policy for liquid petrochemicals, kerosene etc, the Company decided to increase the chemical storage facility from 30000 KL to 70000 KL. The expansion was envisaged at an additional cost of Rs. 1,385 lacs which has been financed by placement of shares with foreign
Institutional Investors to the extent of Rs.453.15 lakhs and balance by placement of shares with Corporate bodies on preferential basis.
Status of implementation of Chemical Storage tanks
The commercial operations of the tat Phase of 30,000 KL has already started in October 1994 and the 2nd Phase of 40,000 KL in expected to commence operations by April 1995.
For financing the second phase, the Company has placed 6,04,200 Equity shares of Rs.10 each for cash at a premium of Rs.65 per share aggregating Rs.453.15 lacs FIIs, the proceeds of which were received in July 1994. This placement was done pursuant to the resolution passed under Section 81(1A) by shareholders of the Company at the EGM held on 24,03,1994.
For the balance, the Company has placed 8,40,000 Equity Shares
of Rs.10 each for cash at a premium of Rs.115 per share aggregating Rs.1050 Inca, with Corporate Bodies, the proceeds of which were received in October 1994. This placement was done pursuant to the resolution passed under Section 81(1 A) by shareholders of the Company at the EGM held on 01.08.1994. The Corporate Bodies with whom the placement has been done are in no way related to the promoters. The above placement aggregate to Rs.1503.15 lacs of which Rs.1365 lacs is towards financing the second phase and the balance, is being deployed towards long-term working capital of the Company.
-Ramesh S Pilani Director of the Company has been appointed as Chairman & Technical Advisor of the Company
-The registered office of the Company will be shifted from Andheri(E), Mumbai to Marine Lines(E), Mumbai.