The Hindu Business Line : Century Plyboards plans laminates unit

CENTURY Plyboards (I) Ltdis in the process of setting up a paper-based high pressure decorative laminates manufacturing unit at an estimated cost of Rs 26 crore.

The proposed unit with an installed capacity of two lakh tonnes of laminate sheet per month will be set up adjacent to the company's existing unit at Joka, close to the city.

The company is understood to have tied-up financial arrangements with State Bank of India for Rs 13.5 crore and Oriental Bank of Commerce for Rs 4 crore, while promoters' contribution will be Rs 8.75 crore.

According to Century Plyboards source, the promoters' contribution will be funded by way of rights issue of 19,51,152 shares of Rs 10 each at a premium of Rs 30 per share aggregating to about Rs 7.8 crore in the ratio of two shares for every five equity shares held. The balance of Rs 95 lakh will be funded from internal accruals.

The company's share is currently listed on Kolkata, Delhi and Ahmedabad stock exchanges, while the management is now planning to list shares on the National Stock Exchange by the end of the second quarter of the financial year 2004-05. It is learnt that about 13 per cent of the company's total paid-up capital of Rs 4.87 crore is held by public, leaving the balance of 87 per cent shares to three private promoters of the company. FIs do not have any stake in the company.

Meanwhile, the company's board has announced its unaudited financial results for the third quarter with net sales touching at about Rs 34.72 crore, an increase of about 21 per cent as compared with Rs 28.62 crore in the corresponding quarter last year. After providing for depreciation of Rs 36.23 lakh, profit before tax stood at about Rs.3.23 crore as against Rs 2.31 crore. Net profit stood at Rs 2.65 crore.