Andhra Petrochemicals Ltd Share Price

History of Andhra Petrochemicals Ltd

Incorporated on 18 Apr.'84, Andhra Petrochemicals Ltd (APL) was jointly promoted by Harish Chandra Prasad of The Andhra Sugars Ltd. (ASL) and The Andhra Pradesh Industrial Development Corporation (APIDC). The Company is manufacturer of Oxo-Alcohols, that consist of the Products viz., 2 Ethyl Hexanol, Normal Butanol and Iso Butanol. It is an Associate of The Andhra Sugars Ltd., at Venkatarayapuram, Tanuku. M/s APL was established with a capacity to produce 30,000 MTPA of Oxo Alcohols at Visakhapatnam, Andhra Pradesh, India. The Plant has undergone an Optimization & Modernization Scheme to increase the capacity to 73,000 MTPA. The Plant employs the latest State of Art of Technology from M/s JM Davy, London, U.K., with total capital investment of around Rs. 497 Cr. The Company commenced Co ...mmercial Production in February 1994 and later modernized its technology on 1st May, 2010. With a capacity of 30,000 tpa, the Rs 150-cr project planned to manufacture oxo-alcohol, was set up with a licence from Davy McKee, London. The project went on stream in Oct.'93 with a cost overrun of Rs 45 cr. To finance this, the company came out with a rights issue in Jan.'93. 1994-95 was its first full year of operations. 2-ethyl hexanol of the family of oxo-alcohol, finds application in the manufacture of plasticisers which are used as additives to PVC, and also in stabilisers, acrylates, finishing compounds for printing inks, emulsion paints, tube additives and surfactants. N-Butanal of the family of oxo-alcohol is used in rubber, chemicals, printing inks, resins and urethane catalysts, adhesives and varnishes, pharmaceuticals and in dyes and pesticides. During the year 1996, major replacement was undertaken to improve plant performance. As per conversion of term loan into equity shares, the company has converted a sum Rs 13 cr out of loans into fully paid up equity shares at par on Mar'96. The Andhra Sugars Ltd. (Promoter Company) contributed Rs 13 cr under financial restructuring plan and 88,73,720 equity shares were issued at a premium of Rs 4.65 per share under preferential allotment on Jun'96. The installed capacity of Oxo Alcohols increased by 6000 MT during 2000-2001. During 2007-08, the Company installed and commissioned 2400 KVA Uninterrupted Power Supply System, which went into operation from Sep'06 to Mar'07 resulting in power cost reduction to Rs.8 crores per annum Modernisation-cum-Optimisation of the expanded OxoAlcohols Plant commenced commercial production effective 1st May, 2010. After expansion the installed capacity of the Plant increased to 73,000 MTPA from the existing capacity of 39,000 MTPA.