Epigral Ltd

Epigral Ltd

Meghmani Finechem Limited was incorporated in 2007 as a subsidiary of Meghmani organics ltd under the provisions of Companies Act 1956. The Company at present is primarily engaged in manufacturing and selling of Chlor Alkali & its Derivatives. The Company is also engaged in Trading of Agrochemical products.The Hon'ble National Company Law Tribunal (NCLT) Ahmedabad Bench vide its order dated 3 May 2021 (the Order) has approved the Scheme of Arrangement (the Scheme) to demerge the Agrochemicals and Pigments Division of Meghmani Organics Limited (MOL) alongwith its investment in Optionally Convertible Redeemable Preference Shares (OCRPS) of Meghmani Finechem Limited (MFL) and transferred to the Company as a going concern. The certified true copy of the Order issued by NCLT Ahmedabad Bench on 05th May 2021 filed with The Ministry of Corporate Affairs (the MCA) Registrar of Companies (ROC) Gujarat Dadra Nagar and Haveli on 10th May 2021. The Scheme is effective from 10th May 2021. By this Meghmani Finechem Limited was demerged from Meghmani Organics in FY 2020-21 to empower the Company grow its Chlor-Alkali business. The demerged Company is now being driven by the second generation of the promoter family that came on the Board of the Company in 2016. The Company's Chlor-Alkali business was commissioned in 2009 growing from an installed capacity of 188000 TPA in 2015 to 315000 TPA at the close of FY 2020-21. The Company is now among the leading players in India's chlor alkali industry.The Company grew its business following the commissioning of new plants (Caustic Soda Hydrogen Peroxide and the 36 MW Captive PowerPlant). The timely commissioning of the plants represented the faith of the management in the long-term potential of the sector and country. The Caustic Soda capacity was expanded by 127000 TPA to 294000 TPA and commissioned in June 2020. The Captive Power Plant capacity was increased by 36 MW to 96 MW commissioned in June 2020. The Company commissioned a 60000 TPA Hydrogen Peroxide plant in July 2020. The complement of these manufacturing capacities will broadbase the Company's manufacturing foundation strengthen integration moderate the cost structure and provide a platform for value-addition. The payback from these investments is likely to be recovered in 4-5 years validating the Company's commitment to profitable growth.During the year under review 2020-21 the Company announced the implementation of a manufacturing facility for Epichlorohydrin (ECH) and Chlorinated Polyvinyl Chloride (CPVC) which are expected to add attractively to the Company's volumes and profitability across the future. The ECH project will be the first time that the product will be manufactured in India. The 50000 TPA facility will be based on glycerin feedstock that is obtained from 100% renewable resources addressing the need for cost-effectiveness and moderated carbon footprint. The project is likely to be commissioned during the first quarter of the next financial year. The CPVC Resin project of 30000 TPA at a cost of H190 Cr is likely to be commissioned in the second quarter of FY 2022-23.