Home  »  Company  »  Southern Online Bio Technologies Ltd.  »  Quotes  »  Company History
Enter the first few characters of Company and click 'Go'

Southern Online Bio Technologies Ltd. Company History and Annual Growth Details

Southern Online Bio Technologies Limited was originally incorporated as
Southern Online Services Private Limited vide certificate of
incorporation no. 01-30463 dated November 9, 1998 with Registrar of
Companies, Andhra Pradesh at Hyderabad and subsequently converted into
a Public Company on January 4, 2000. The name of the Company has been
changed to Southern Online Bio Technologies Limited on March 31, 2004.
The name of the Company has been changed to reflect the new line of
business in which the Company is venturing. The Company is promoted by
C. M. Ramesh, N. Satish Kumar, K. Radha Krishna, B. Sreedhara Reddy and
B.H.R. Balaji. The Company made an Initial Public Offer of 13,40,300
shares of Rs. 10 each at par on May 5, 2000 and was listed on the HSE
and BgSE.

The Company entered into an Agreement with the Government of India,
Ministry of Communications and Information Technology, Department of
Telecommunications and the Telecom Commission vide License Agreement
no. 820-75/98- LR dated December 10, 1998 and License Agreement no.
820-75/2002/LR dated June 4, 2002 for providing VOIP services.


The aforesaid License entitles the Company to provide Internet and
other specified services in the Andhra Pradesh circle which constitutes
the state of Andhra Pradesh. The Company was exempt from paying any
License fees up to October 31, 2003 and pays a nominal License fee of
Re. 1 per annum since the said date. The Company has also furnished a
performance bank guarantee for providing the internet and specified
services. The License as specified within the aforesaid License
Agreement is valid for a period of 15 years extendable on request of
the Company for a minimum period of 5 years or longer period based on
the discretion of the Licensor. The Company was one of the first ISPs
to commence operations in the State of Andhra Pradesh. The Company
provides internet services such as Dialup service, Lease lines, web
hosting services, dedicated and collocated servers, FTP services.

The Company has more than 10,000 dial-up customers and around 120
corporate customers to its database. Valued customers include Osmania
University, JNTU, , A. P. State Anti-Corruption Bureau, AP Forensic
Lab, Society for elimination of Rural Poverty, , Value Labs, Talluri
Technologies, Brigade Corporation, Northgate BPO, Navionics
Technologies Ltd etc. to name a few. In spite of recession in IT & IT
enabled market, Southern Online has achieved a decent turnover of
around Rs.332.12 lacs, Rs.309.04 lacs, Rs.307.10 lacs & Rs.310.44 lacs
with a net profit of Rs.64.24 lacs, Rs.5.97 lacs, Rs.4. lacs & Rs.4.64
lacs for the Financial Years 2000-01, 2001-02, 2002-03 & 2003-04
respectively. The ISP business witnessed significant competition in the
year 2002, consequently the tariffs declined significantly vis--vis
2001. The decline in profits was steep from Rs. 64.24 lacs in FY01 to
Rs. 5.96 lacs in FY02. The Company has achieved a turnover of Rs.400.19
lacs with a PBT of Rs.24.97 lacs for FY2005 when compared to turnover
of Rs. 309.94 lacs with PBT of Rs.5.03 lacs for FY2004. The Company
has entered into strategic technical and business tie-ups with leading
Companies like HCL Info systems, CMC Ltd, Intel ISP, Global Telecom
Ltd., RIL, Bharati, etc. with a view to take advantage of the current
market scenario and penetrate into new market segments. The Company
has executed application projects for Idea Cellular Ltd. (erstwhile
TATA Cellular Ltd.) and also has a tie-up with CMC Ltd., and executed a
billing software project for their ISP operations. Apart from that it
has team of experts in web designing who has executed various projects
for customers. However, considering the opportunities in the field of
manufacture and supply of alternative fuels to petroleum based fuels,
the promoters have decided to diversify into manufacture and supply of
bio - diesel. Bio - diesel is an alternative fuel which is derived from
non edible vegetable seed oils such as Pongamia, Jatropha, etc. The
Company has acquired the entire share capital of Southern Biofe
Biofuels Pvt. Ltd. recently to execute this project.



Major events in the history of the Company is given below:
Year Event
1998-99 Launched ISP services
2000 IPO
2002 Started research on Bio Diesel
2003 MD Visited World Bank to attend the Development Market
Place Competition and Knowledge Exchange at the World Bank
Headquarters, in Washington D.C
2004 Acquisition of Southern Biofe Biofuels Pvt. Ltd.
Agreement entered with ICRISAT for technical assistance
for plantation of Jatropha & Pongamia. Approval received
from the Ministry of Environment & Forests, Government of India, New
Delhi for sale of Carbon Emission Reductions (CERs).
2005 Foundation stone laid at the bio diesel manufacturing
facility at Nalgonda district Grant of 380,000 Euro received
from the Government of Federal Republic of Germany Agreement
entered with Sustainable Transformations Private Limited,
Bangalore for supply of 400 tons of Pongamia,Jatropha, etc.
Trial runs using 20% Bio Diesel blend commenced with APSRTC
using one local transport bus on June 5, 2005
 
Subscribe now to get personal finance updates in your inbox!