Incorporated in Mar.'84 as a private limited company, Satyam Cement (SCL) was converted into a public limited company in Mar.'92. The company was promoted by the Baroda-based Somani family with the main promoter being G P Somani, along with Krishna Somani, Govinda Somani and others. No business was undertaken in the company till 1989-90. SCL went public in May '94 to part-finance the cost of setting up a manufacturing unit for the production of 60,000 tpa of ordinary portland cement near Satna, Madhya Pradesh, using the VSK technology. The company name was changed from Shreeji Fertilizers to Sheerji Phosphate Limited(a division of Satyam Cement Ltd). Cement is a mixture of complex compounds finely ground into powder. When mixed with water, it sets into a hard mass, the setting and hardening being the result of the hydration of the constituent compounds. Mini cement plants with capacities between 200 and 600 tpd have a choice between the vertical shaft kiln (VSK) or the rotary kiln (RK) technology. The company adopted the former due to low gestation period, lower cost per tonne of production and lower power and fuel consumption. SCL is being merged with Rupangi Impex, Ahmedabad. The merger ratio will approximately be one share of Rupangi for every 2.5 shares held in Satyam Cement. It is planning to establish a Depo in Srilanka at a cost of Rs.1.50 crores. M/s PKG Farmacy USA will manage fund to establish the said unit in Srilanka at a low rate of interest. PKG is also planning to acquire two million shares from the promoters holding at a price of Rs.12 per share.