Fine Organic Industries Ltd

Fine Organic Industries Ltd

Fine Organic Industries is a pioneer and the largest producer of oleochemical-based additives in India and a key producer globally. The Company produces a wide range of specialty plant derived oleochemicals-based additives used in the foods polymers plastic cosmetics personal care paint ink coatings feed nutrition and other specialty application in various industries. It is the first largest producer of to introduce slip additives in India. Its facilities are located at Ambernath Badlapur and Dombivali producing over 450 specialty additives.The Company has a dedicated research and development (R&D) centre located in Mahape Navi Mumbai. The Company provides specialised products and technical services to the end-user industry reinforced by inhouse manufacturing and design/engineering facilities well equipped R&D and a techno-commercial approach. As at 31st March 2023 the Company had a range of over 470 different products sold under the Fine Organics' brand and 850+ direct customers (i.e. end-users) and over 180 distributors (who sold its products to more than 5000 customers) from more than 80 countries.Ramesh Maganlal Shah and Prakash Damodar Kamat founded `Fine Organic Industries' in early 1970 at Mumbai which was registered in 1973 as a partnership firm under the Indian Partnership Act 1932. It commissioned its first facility in Dombivli MIDC Industrial Area in 1973 i.e. the Dombivli Facility which carried out processing and supply of food additives in Gujarat and Maharashtra. In 1975 Mukesh Maganlal Shah joined the partnership firm and expanded the business across India. Thereafter in 1982 then existing partners incorporated a private limited company at Mumbai under the name of `Smoothex Chemicals Private Limited' for further expansion of the business. In 1988 the partnership firm had set up a production facility of various specialty additives i.e. the Second Ambernath Facility. Subsequently Smoothex Chemicals expanded the production facilities in Malaysia and Thailand in 1990 and 1993 respectively. Further the then existing partners founded another partnership firm in the name of `Olefine Organics' for enhancing the capacity in order to meet the market demands. In 1995 the then existing promoters incorporated another private limited company under the name of Oleofine Organics (India) Private Limited for expanding the capacity for polymer additives. Fine Organic Industries Limited (FOIL) was originally incorporated as a private limited company on May 24 2002 at Mumbai under the name 'Fine Organic Industries (Mumbai) Private Limited'. The Company got converted into a public limited company and the name of Company was changed to Fine Organic Industries Limited with effect from November 2 2017.A plot of MIDC land of 39412 square metre at Additional Ambernath was procured under a lease for 95 years. In 2003 then existing promoters incorporated another private company under the name of 'Fine Research & Development Centre Private Limited' for undertaking dedicated research and development in their existing products and established the Research and Development Centre in Navi Mumbai. In the First Ambernath Facility the company commissioned a fatty acids esters facility in 2006. In 2008 the company commissioned a polymer additives unit at its First Ambernath Facility. In January 2009 the name of the Company was changed to Fine Organic Industries Private Limited for a better depiction of the nature and scale of operations and the business of the Company which is not limited to Mumbai only as contained in the original name with effect from February 16 2009. In 2010 polymer additives capacity was expanded at the company's First Ambernath Facility. Pursuant to the order passed by the High Court of Bombay on June 17 2011 Oleofine Organics (India) Private Limited was amalgamated with the Company. In 2012 the company commissioned additional food and polymer additives unit at its First Ambernath Facility. In 2013 the Company incorporated its wholly owned Subsidiary at the United States of America. In 2014 the Company established Joint Venture with Zeelandia International at Mumbai to manufacture food premixes and to maximize the benefits of synergies. In 2015 the company commissioned additional food and polymer capacity at its First Ambernath Facility. In 2016 the Company incorporated its wholly owned Subsidiary in Europe. Pursuant to the order passed by the National Company Law Tribunal Mumbai on June 19 2017 Fine Speciality Surfactants Private Limited a company incorporated on August 19 1987 and engaged in the manufacture distribution and production of speciality chemicals and Fine Research & Development Centre Private Limited were amalgamated with the Company. Thereafter on July 18 2017 the Company has sub-leased the facility and general plant and machinery at Dombivli MIDC from Fine Organic Industries partnership firm pursuant to the leave and license agreement. In 2018 the company signed a joint venture agreement with Germany's Adcotec for application development marketing distribution and sales activities of food and food additives.The company launched an initial public offer (IPO) during the period from 20 June 2018 to 22 June 2018. The IPO comprised of offer for sale of 76.64 lakh shares by promoters. There was no fresh issue of shares by the company. The IPO was priced at Rs 783 per share. The stock made its debut on the bourses on 2 July 2018.On 13 July 2018 Fine Organic Industries informed the stock exchanges that it has signed agreement with Citi Bank N.A. Jersey Branch for availing external commercial borrowing of USD 18.75 million to finance the capital expenditure of the Company.During the FY 2017-18 pursuant to the resolutions passed by the Board of Directors at its meeting held on 5th July 2017 and the scheme of amalgamation 280000 equity shares of face value of Rs 10 each were allotted to the shareholders of Fine Speciality Surfactants Private Limited and Fine Research and Development Centre Private Limited. Further pursuant to a resolution passed by our Shareholders on 22nd September 2017 in their Extra-Ordinary General Meeting for issue of Bonus shares in the proportion of two equity shares for every one equity share 10219992 equity shares were allotted to the shareholders as of the record date being 10th August 2017 pursuant to the resolution passed by the Board in its meeting held on 16th October 2017.The Company carries on business in India and abroad as manufacturers processors suppliers distributors dealers importers exporters of flavours perfumes and flavouring chemicals oil and colours surface active agents emulsifiers preservatives clouding agents textile auxiliaries lubricants oleo chemicals and their derivatives fatty acids and their derivatives salt and esters. It also develops processes manufactures deals in and carries on business in India and abroad in fine and heavy chemicals oils fats dyes dyestuffs dye retardants dye assistants organic and inorganic chemicals.As on March 31 2021 the Company has two subsidiaries i.e. Fine Organics (USA) Inc. and Fine Organics Europe BV and two joint venture companies i.e. Fine Zeelandia Private Limited and FineADD Ingredients GmbH. On May 6 2021 Company executed Joint Venture Agreement with Oleofine Organics Thailand Co. Ltd. (OFT) and Oleofine Organics Sdn. Bhd. (OFM) for incorporation of a new Joint Venture Company (JVC) in Thailand to carry on the business of manufacturing of Speciality Chemical products and supplying exporting and distribution of such products. A joint venture company Fine Organic Industries (Thailand) Co. Ltd. was incorporated on May 31 2021. Further the Board in its meeting held on November 11 2021 approved the termination of Joint Venture Agreement with Adcotech GmbH for the Company i.e. FineADD Ingredients GmbH subject to the completion of applicable regulatory formalities.As on March 31 2022 the Company has two subsidiaries i.e. Fine Organics (USA) Inc. and Fine Organics Europe BV and three joint venture companies i.e. Fine Zeelandia Private Limited FineADD Ingredients GmbH and Fine Organic Industries (Thailand) Co. Ltd.In 2022-23 the Company commissioned new Fine Organics plants at Ambernath Badlapur Dombivli and Patalganga.