Andhra Paper Ltd share Price

Andhra Pradesh Paper mills, currently a L N Bangur group company was originally set up by a private entrepreneur and changed hands twice in the pre-independence period because of losses. Later in the year 1953, the company was taken over by the Indian Government. Pursuant to an agreement between the Government of Andhra Pradesh and G D Somani, an Industrialist, the Andhra Pradesh Paper Mills, as we know it today, came into being. It was incorporated as one of the first Joint-Sector Companies in India. Somani later transferred his rights and obligations to the West Coast Paper Mills of the current owner L N Bangur. Currently L.N.Bangur Group is holding around 68% of the total investment. It`s manufacturing units is situated at Rajahmundry and Kadiam in East Godavari District of Andhra Pradesh. The Company is one of the top ten leading integrated pulp and paper manufacturer`s in India Production was increased to 100 tpd in 1970 and to 250 tpd in 1977.The company went through a bad patch in the mid-`80s with capacity utilisation much below than installed and with accumulated losses reaching Rs 7 cr. The company launched vigorous HRD programme to stop labour unrest, modernised mill processes and equipment, and commissioned a 10.5-MW turbo-generator for its power requirements. This measures strengthened the bottom line from 1988 onwards. Having commissioned its coating plant to manufacture value-added coated papers and also having installed an on-line process computer control system on its third machine, it further modernised by replacing the recovery boiler and bleach plant in Sep.`94. During the year Chlorine Dioxide Generation Plant & Rebuild of Paper Machine no.3 alongwith Rewinder of Paper Machine No.3 were commissioned. Besides this, it is actively considering rebuilding one of the paper machines to improve quality and production. During Mar.`97, APML commissioned the core making machinery and lime sludge reburing system to control pollution, conserve mineral resources and improve fuel utilisation. For the year 1997, the company received a Rolling Trophy for Energy Conservation and Management from the Confederation of Indian Industry in recognition of outstanding achievement in the field of Energy Conservation. During 1999-2000, the Company allotted 561900 equity shares of Rs 100/- each on rights basis to the shareholders of the Company in the ratio of 1:1. The Company has completed a substantial part of the Phase-I of Mill Development Plan and the balance portion is expected to be completed by the Close of Financial Year 2000-01. In Dec 2000, the company acquired 71% Equity Shares of Coastal Papers Ltd, thus Coastal papers become a subsidary of APPM. On January 31, 2001 the Board of Directors of APPM decided to amalgamate the Coastal paper with APPM in the ratio of 1:3( one shares of APPM for 3 shares of Coastal Papers). This scheme of amalgamation was subsequently approved by the shareholders of both the companies on March 26, 2001 and Hon`ble High Court of AP has also sanctioned the amalgamation with effect from 1st October,2000. Digvijay Investmetns Ltd, a promoter company has entered into an agreemtn with Govt. of Andhra Pradesh to acquire its 25.36% stake in the company at Rs.130.95 per share on Dec 12, 2003. As on March 2004, installed capacity is grown from 3000 to 1,53,500 TPA in over last 40 years. The Company has embarked 554 crore modernisation and expansion programme. The Company proposes to install a new pulping line and to upgrade paper making machines. The Company received ISO 9001: 2000 (Certificate for Quality Management System) and 14001 (Certificate for Environment Management) by DNV, Netherlands for its Rajahmundry Unit. The Company is also received OHSAS 18001: 1991 (Certificate for Occupational Health and Safety Assessment Series) from DNV, Netherlands.