Balaji Galvanising To Dispose Unit In Telangana
Balaji Galvanising Industries Limited has informed that the board of directors of the company at its meeting took note of the conditional clearance granted by the Telangana PCB to operate the plant of the company for a limited period of 6 months subject to some stringent non-viable conditions which include investment in Pollution Control Equipment and Water Reservoir. The Board is of the opinion that the:
1. Investment in Pollution Control Equipment and Water Reservoir and Concretisation of Roads, which will require a minimum investment of Rs. 50 Lacs approximately.
2. There will be a recurring expenditure of INR 2 Lacs per month for payment towards Common Effluent Treatment Plant in the industrial zone and for disposing the water to TPCB's prescribed body.
Since the financials of the company does not permit to make these investments due to the continued losses over the years and no financial institution is willing to lend at a reasonable rate of interest, the Board of Directors of the Company unanimously agreed to dispose off of the unit in terms of the shareholders approval accorded in the Shareholders Meetings of the company held on 30.09.2016 with a view of protecting the existing shareholders' wealth. The management has also decided to utilise the sale proceeds to invest in another business venture to enhance shareholders' wealth. This is for your information and record.