NRC

NRC

NRC (formerly National Rayon Corporation) belongs to the G P Goenka Group (Duncans). Originally promoted by Chinai & Company NRC was incorporated as a public limited company in Sep.'46. It commenced commercial production of rayon yarn in Mar.'51 caustic soda in Mar.'55 and nylon tyre cord in 1975. Due to labour unrest the company was forced to suspend operations followed by a lock-out from Jan.83 to Mar.'83 and again from Nov.'83 to May '85. In Nov.'84 G P Goenka took over the company with the immediate task of re-starting the operations and rehabilitation of the company. All the plants of the company restarted in Aug.'85. Due to continuous losses suffered by the company from 1983 onwards it became a sick unit under the BIFR. With the implementation of the BIFR rehabilitation scheme the net worth of the company became positive and the BIFR discharged NRC in Jan.'94 from its purview. In Mar.'94 the company offered rights to part-finance modernisation and upgradation of its rayon and nylon plants to improve quality and increase productivity. The caustic soda plant has also been expanded based on membrane cell technology. The company changed its name to the present one in Aug.'94. The scheme of amalgamation of Stage Investments with the company was sanctioned by the high courts of Bombay and Calcutta. During 1996-97 company has completed a modernisation of De-bottlenecking of its Nylon Cord and Caustic Soda Plant. Due to frequent hike in the power tariff and deterioration in the quality of grid supply company is planning for the installation of Diesel Generating Setsto overcome the profitability. The Nylon Tyre Cord and Chemical Divisions of the company has received ISO 9002 certification for their quality Management Systems. Company has installed Co-generation Diesel Generating Power Plant of 24 MW capacity comprising four units of 6 MW which was financed by IFCI. Two units are under pre-commissioning trials and all the four units are expected to be on stream within a month. Company will be self-sufficient in its power requirement at current level and the investment is expected to yield substantial saving in the coming yera. NRC has entered into new markets like Egypt and Bangladesh on the export front.With the prior approval from Shareholders the promoter group has converted their existing as well as fresh Inter Corporate Deposits along with overdue interest into equity shares and subsequently 10219520 Equity Shares of Rs.10/- each credited as fully paidup have been allotted on preferential basis aggregating to Rs.10.22 crores which has resulted in the increase in Equity Capital to Rs.27.35 crores. The company have brought additional equity by way of Preferential issue of 3600000 eqiuty shares of Rs.10 each aggregating to Rs.3.60 crores which has resulted in increase in share capital to RS.30.92 crores.During 2002-03 the company ventured into real estate business for undertaking activities like buyingsellingleasingdeveloping properties etc. The approval is being sought at the ensuing AGM.