By Pravin PrashantChemical, August 02, 2020
Atul's sales potential to reach Rs. 5,400 crore
Company's robust expansion plans will help in increasing the revenue potential.
Atul Limited said that it's planned capex of Rs. 487 crore is underway in companies such as Atul Bioscience, Anaven, Amal and DPD which is inclusive of a few projects which started in FY 2018-19.
Once all these projects are commissioned, the company will have a sales potential of Rs. 5,400 crore says Sunil Siddharth Lalbhai, Chairman and Managing Director, Atul Limited.
Atul Bioscience, a 100% subsidiary company, will complete its first phase of investment of Rs. 110 crore at Ambernath site by the end of the second quarter. Once operational, the company will have a sales potential of Rs. 270 crore consisting mainly of active pharma ingredients and their intermediates.
Anaven, a 50-50 JV partnership with Nouryon, will commence its first phase of manufacturing facility of monochloroacetic acid (MCA) built with an investment of Rs. 195 crore in the second half of this fiscal. The ultimate objective is to have the capacity required to meet the entire demand of MCA in India and thus make India self-sufficient.
Amal (formerly Piramal Rasayan) in which Atul holds 50% of the equity share capital, has brought down its carried forward loss from Rs. 56 crore to Rs. 9 crore by consistent improvement and is looking forward to wiping out the remaining carried forward loss soon. The company is now evaluating a new project to reasonably grow its business.
DPD, a 98% subsidiary company, completed an investment of Rs. 17 crore to double its capacity and now has sales potential of Rs. 50 crore. Atul Rajasthan Date Palms, a 74:26 public private partnership JV company, with the Government of Rajasthan, is taking longer to stabilise its production operations, but has commenced sales in a small way.