Incorporated in the year 1982 as a Private Company under the name JBF Synthetics, it became a Public Limited Company in the year 1986, and in the year 1989 the name was changed to JBF Industries Limited. The Company has shown consistent growth and till 1999 has a record of uninterrupted divident payment since beginning. The Company is listed on BSE and other major stock exchanges. JBF has established itself as an industry leader in the "Texturising" business and one of the top 5 players in POY Industry, having a storng brand and one of the highest operating margins in the industry. Backward intergration into manufacturing of "polyester Chips" has ensured timely availablity of quality raw matggerial and better profitability compared to the industrial average. BUSINESS ACTIVITIES: * YARN DIVISION: Texturing POY spinning * POLYESTER CHIPS: YARN DIVISION: Texturising:- The texturising facilities of the Company are situated at Silvassa, which is the heart of the texturising business. With the modest beginning in 1987 with a capacity of 3,000 tpa, the Company has consistently increased the manufacturing facilities to 4,800 tpa in 1993, 6,000 tpa in 1994, 9,000 tpa in the year 1996, and to 12,000 tpa in the year 1997. At present the company has texturising capcity of about 9,000 TPA as some of the old and inefficient machines have been discarded and sold. Today, JBF is one of the large texturising unit in India. The texturised yarn of the Company has its own brand image and is highly competitive in terms of the quality and price. The customers are small to medium size weavers situated at Bhiwandi, Surat and Ludhiana. Most of these customers are with the Company for long time and have been serviced through about 20 dealers, who are responsible for the timely collection of funds. Partially Oriented Yarn(POY):- The POY Units is also situated at Silvassa and is in the nature of backward integration for the Company. This plant had capacity of 18,000 tpa, and was constructed in a record time of about 15 months without any major cost overrun. The commercial production was started in June, 1996 and there after the plant is running at an average capacity of 100%. The quality is well accepted in the market and is considered among top few in the industry. Encouraged with the performance of the POY Division, the Company had increased the production capacity of POY from 18,000 TPA to 27,000 TPA in the month of July, 1998. At this stage, the Company had captive consumption of about 50% of the production and the balance quantity was sold in the local market. By August 1999, the company had added some balancing equipment and with some changes in the layout of the equipment increased production capacity to 36,000 tpa with marginal investment. This exercise has helped the company to reduce the cost of Production of POY. The Company is continuously trying to increase the productivity and reduce cost of production with some more technical changes. The company has now achieved production capacity of 40.000 tpa by adding balancing equipments. Shortly the company will be in position to achieve production capacity of 60,000 tons per annum. Since the company is situated in Silvassa, which is the major consumption center of POY, it has crucial advantages over the competitors. Some of these advantages are:- 1. Location: The users of POY are located in Silvassa and Surat, resulting in easy access and lower packing and transportation cost. 2. Captive Consumption: The Company has texturizing capacity of 9,000 tpa which ensures higher capacity utilization and better negotiation capability. 3. Lower Cost of Produciton: The latest technology with "auto winders" ann the efficient production ensures one of the lowest power consumption, lower wastage as compare to industry norms and lower cost of production as compare to the industry average. 4. Lower Capital Cost: Low capital Cost of about Rs. 8 crores per 1,000 ton for the original project, as compare to average capital cost of about Rs. 13 crores per 1,000 ton of the Industry results into low fixed cost of running the plant. 5. Captive Power Generation: The Company has in-house power generation capacity of 9 MVA and is not dependent on the Government supply of power for uninterrupted production. The company has recently set up 66 KVA power facility, which will ensure continuous and cheap power to the company. 6. Flexibility: The POY Plant has in built facility to produce wide varieties of yarn at short notice. Thus, it is possible to respond to the change in the market demand in the shortest possible time. 7. Exports: As the products match international quality, it can cater to the export market whenever international prices are more attractive. POLYESTER CHIPS With an object to become self sufficient for the availability of "quality and consistent" supply of "PCT Chips", the Company has set up production facility with a capcity of 80,000 TPA. This backward integration has enabled Company to provide "POY" of some merge number on consistent basis. It has also resulted in improvement in the profitability of the Company. 2004 - The preferential allotment of Equity shares of the company would be given to the promoters of the company based on guidelines issued by SEBI in connection with creeping acquisition upto 5% of the share capital of the company, for each financial year 2007 - Jbf Industries Ltd. has appointed Mr.N Balasubramanian, as an Additional Independent Director on the Company's Board . 2008 - The Company at its meeting held on November 18, 2008, inter alia, has recommended dividend @ 15% i.e. Rs 1.50 (Rupees One and Paise fifty only) per share. 2009 - The Company's Registrar and Transfer Agent (RTA) has informed the Company of the change in their name from "Intime Spectrum Registry Ltd" to "Link Intime India Pvt. Ltd". 2010 - Jbf Industries Limited has informed regarding resolution passed by the Committee of the Board of Directors for Qualified Institutional Placement of Equity Shares of Face value Rs.10.00 each aggregating to upto Rs.300 crores to Qualified Institutional Buyers (QIBs) by JBF Industries Limited under Chapter VIII of SEBI (Issue of Capital and Disclosure Requirements) Regulations, 2009 at their meeting held on September 15, 2010. - The Company has signed MOU with Oman Oil Company (part of Oman Refinery) owned by Government of Oman for setting up a 1.2 Million (12 Lacs) Tonnes per annum Purified Terephthalic Acid - PTA plant at Oman as a Joint Venture, at an approximate cost of USD 680 Million. Project envisages to consume PTA's raw material - Paraxylene produced by Oman Oil Company. The project will be co-located in the premises of Oman Aromatics to enable transportation of Paraxylene to the PTA plant by a dedicated pipeline. 2011 - The Company at its meeting held on May 26, 2011 has recommended dividend @ Rs.8/- Per share on Equity shares of Rs.10/- each for the financial year 2010-11. - The Company has decided to set up project of Purified Terephthalic Acid (PTA) having manufacturing capacity of 1.12 Million Tonnes per annum at (SEZ) Mangalore. 2012 - BP and JBF Petrochemicals (a wholly owned subsidiary of JBF Industries Ltd. of India) have inked a contract for licensing BPâs latest generation purified terephthalic acid (PTA) technology. - The Company is entering into a partnership with The Coca Cola Company to set up production facility for Bio-Glycol (MEG) in Brazil. - JBF Petrochemicals Ltd , subsidiary of JBF Industries, has entered into an agreement with BP to license its latest generation Purified Terephthalic Acid (PTA) technology. - Buoyed by the news that the company has entered into a partnership with the Coca Cola Company to set up production facility for Bio-Glycol (MEG) in Brazil, shares of JBF Industries gained nearly 5 per cent on the Bombay Stock Exchange. - JBF Industries Ltd today said it has entered into a derivative contract for an ECB loan in terms of Japanese currency, for an amount equivalent to USD 20 million to hedge the foreign exchange and interest cost. 2013 -JBF has recommended dividend on equity share capital @ Rs. 6/- per equity share of Rs. 10/- each. 2014 -JBF has recommended dividend on equity share capital @ Rs. 2/- per equity share of Rs. 10/- each 2017 -Commissioning of PTA project by JBF Petrochemicals Limited at Mangalore, SEZ |
Disclaimer: This is 3rd Party content/feed, viewers are requested to use their discretion and conduct proper diligence before investing, GoodReturns does not take any liability on the genuineness and correctness of the information in this article