History of Deepak Nitrite Ltd.

YEAR EVENTS 1970 - The Comp. was Incorporated 9th March at Baroda. The Company was promoted by C.K. Mehta & S.S. Aggarwal. The company's objects is to manufacture sodium nitrite, sodium nitrate, and other allied chemicals, hexamethylene tetramine, dyes & dyes intermediates.

- 2,25,000 No. of equity shares issued to promoters, etc. 2,25,000 No. of equity & 15,000 pref. shares issued to public in July, 1971.

1977 - 3,60,000 Bonus equity shares issued in prop. 4:5.

1979 - The plant for production for formaldehyde for captive consumption in the DNPT was commissioned. By installing balancing equipments, the capacity of sodium nitrite/nitrate plant was increased from 11,700 to 15,000 tonnes per annum.

- The second phase of increasing the capacity of ammonium nitrate plant from 6,000 tonnes to 10,000 tonnes per annum was also taken up.

1980 - 8,10,000 Bonus equity shares allotted during July/August 1980 in prop. 1:1.

1981 - The Comp. obtained a letter of intent for manufacture of 10,000 tonnes of slurry explosives per annum in a backward district of Gujarat State. The Comp. also applied for a licence to manufacture 3.6 lakh tonnes of di-ammonium phosphate per annum at Hazira, near Surat in Gujarat State.

1982 - Installation of balancing equipments in sodium nitrite plant was taken up to improve the facility in operations.

- Pref. shares redeemed on 10.8.83.

1984 - 15% non-convertible debentures of Rs.100 lakhs were privately placed with financial institutions.

1985 - Production & sales of Pune Unit was affected due to large imports of Resorcinol & subsequently the plant remained closed for some time during 1986.

- The plant to manufacture 3,000 tonnes per annum concentrated nitric acid went on stream while the hexamine plant was commissioned in October.

- The Comp. installed a plant to manufacture 900 tonnes of guanidine nitrate & 600 tonnes of hydroxylamine sulphate at Nandesari.

- The Comp. revalued major portion of assets of its Nandesari unit as on 31st October. The net surplus of Rs. 9,86,73,150 arising out of this was credited to revaluation reserve.

- Nova Synthetics Ltd., is a subsidiary of Company.

- Shareholders of Deepak Nitrite, limited were allotted from promoters quota, on a firm basis, 1 equity share of Deepak Fertilisers & Petrochemicals Corporation, limited for every 3 equity shares held by them.

- 8,10,000 Bonus equity shares issued in prop. 1:2.

1986 - Output of sodium nitrite, sodium nitrate & nitric acid showed improvement while that of ammoinium nitrate & DNPT was restricted due to market constraints.

- Transport division of Comp. was affected due to problems in fertiliser industry.

1988 - The guanidine nitrate plant was commissioned in November belatedly due to strike at Nandesari plant & the subsequent redeployment of commissioning team of vendors. Technical collaboration for project was selected & the Comp. was in the process of finalising its plans for financing of project.

- Technical Collaborator for project was selected & the Comp. was in the process of finalising its plans for the financing of project. During 1989-90 necessary Govt. approvals were received.

1989 - The transport division performance was affected by problems at the receiver end. The dyes division at Pune started yielding results due to improvements carried out therein.

- New Products like Guanidine Nitrate [GNs] & Hydroxylamine Sulphate [HASs] were well received in the market. The transport division performance was affected by problems at the receiver's end.

1991 - During March, the Comp. issued 24,30,000 - 12.5% secured redeemable partly convertible debentures of Rs.80 each on rights basis in the prop. of 1 debenture : 1 equity share held. Additional 3,64,500 debentures were allotted to retain oversubscription.

- Another 1,21,500 - 12.5% partly convertible debentures were offered to the employees. Only 62,850 debentures were taken. The balance 58,650 debentures were allotted to Mutual Funds/Financial Institutions.

- Part A of Rs.50 of each debenture was converted into 1 equity share of Rs.10 each at a premium of Rs.40 per share at the end of 6 months from the date of allotment.

- Part B of Rs.30 of each debenture was to be redeemed at par between the end of 7th & 10th years from the date of allotment.

- Simultaneously, the Comp. offered 24,30,000 - 14% secured redeemable non-convertible debentures of Rs.100 each on rights basis in the prop. of 1 debenture: 1 equity share held. Only 8,177 debentures were taken. The remaining 24,12,823 debentures devolved on the underwriters.

- Each debenture of Rs.100 was to be redeemed at a prem. of 5% in three annual instalments of Rs.35, Rs.35 & Rs.35 at the end of 6th, 7th & 8th year respectively.

- 29,16,000 shares allotted [prem. Rs.40 per shares] on part conversion of debentures.

1992 - The phase-I of Nitroaromatics project was commissioned in February.

1994 - Modernisation of Nitrite/Nitrate plants are debottlenecking in the dry intermediate plants were taken up & a new hydrogenation plant was set up at Taloja based on the company's own developments which will add value to the Nitroaromatic products.

- On 30th July, the Comp. has, against 5% upfront payment, allotted to 22,50,000 Warrants to the promoters group, carrying a right to convert the same into equity shares within a period of 18 months at a price of Rs.54 per share.

1995 - 4,04,000 No. of equity shares of Rs.10 each allotted against warrants to the promoters.

2000 - The Comp. has considered the proposal of acquisition of majority stake in equity capital of Aryan Pesticides limited and decided to enter into agreement with the promoters of APL to acquire 34,57,300 No. of equity shares of Rs. 10/- each representing 68.76% of outstanding equity share capital of APL at a price of Rs. 15/- per share.

2006

-Deepak Nitrite, NCL sign MoU for research