The Hindu Business Line : Beeyu Overseas plans to raise Rs 10 cr from public issue

The company plans to mobilise up to Rs 10 crore through this public issue, needed for expanding manufacturing capacity of CTC and Orthodox teas from 3 million kg to 9 million kg per annum by 2006 at its Ooty factory.

The issue is scheduled to open on May 26 and close on June 3.

The company proposes to list its equity shares on the stock exchanges of Mumbai, Kolkata, Kochi and Coimbatore.

The Chairman and Managing Director, Mr B.P. Singh, said that Beeyu is eyeing Rs 54 crore sales turnover in the current fiscal, up from Rs 37 crore in the previous one.

"The first phase of the company's expansion programme envisages setting up of one CTC and one Orthodox tea factory and these will become operational by September this year, doubling existing production capacity to 6 million kg per year.

The second phase of expansion programme involves setting up another CTC and Orthodox factory which will be commissioned by September next year and will take up our total manufacturing capacity to 9 million tonnes per year," Mr Singh said.

Of the Rs 13 crore investment needed for this proposed capex, the company has already been sanctioned Rs 3 crore as a term loan by the State Bank of India.

Besides tripling total production capacity, this plan will enable Beeyu to lower the cost of conversion of green leaf to black leaf by Rs 4 per kg to bring it to Rs 8 per kg.

Article E-Mail :: Comment :: Syndication :: Printer Friendly Page

Stories in this Section
Pitti plans EGM for pref offer

The spirited recovery after a crash

Matrix Labs plans $200-m global offering

Bull domination

RPG Life Science up on takeover talk

Small reversal likely in Tata Motors, SBI

Blackstone Group to invest $1 b in India

Auto stocks in top gear; metals shine

Beeyu Overseas plans to raise Rs 10 cr from public issue

Blazeflash announces IPO for 2006

Private equity funds upbeat on healthcare cos