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REIL Electricals India Ltd.

BSE: 505817 Sector: Auto
NSE: N.A. ISIN Code: INE814K01015
BSE 05:30 | 01 Jan REIL Electricals India Ltd
NSE 05:30 | 01 Jan REIL Electricals India Ltd

REIL Electricals India Ltd. (REILELECTRICALS) - Company History

Incorporated as a private limited company under the name of Sahney Paris Rhone Private limited, it was promoted by Bhupinder Singh Sahney, his family and their associates alongwith foreign collaboraters viz. Paris Rhone S.A, France. Subsequently, the foreign collaborators equity stake was acquired by Indian promoters. In May 1975 it became a public limited company and commenced commmercial operations in 1977, supplying Auto Electrical Components to reputed original equipment manufacturers. In 1988, the company had faced problems on account of employee strike and recession in the automobile industry resulting in working capital erosion and which made the unit as a sick unit in 1989. With assistance of BIFR package through its lead financial institution IDBI, revived its viability. Consequent to the net worth becoming positive the company has been delisted as a sick unit by BIFR on July 1995. In 1995-96, it came out with a rights issue of 19,50,000 equity shares at a premium of Rs. 10/- per share, in the ratio of two share for every one shares held, for financing the expansion-cum-modernisation plan at Patancheru and set up a new unit at Pondicherry for manufacture of Alternators and Vaccum Pumps for captive purpose. During 1997-98, the Company had entered into foreign collaboration with M/s Delco Remy, America. Facility to manufacture Passenger Car Starters at NOIDA unit is almost ready. New facilities to manufacture Heavy Duty Starters to meet requirement of Gen Set & Construction equipment manufacturers is being set up at Pondicherry Unit II. Subsequently, the name has been changed to Delco Remy Electricals India Ltd. The company is planning to launch Light commercial vehicles and jeeps with the new technology obtained from Delco Remy Korea.