Details of Business

BURNPUR CEMENT LIMITED is one of the most reputed and largest integrated cement companies in eastern region. Burnpur Cement Ltd. was originally incorporated on 19th June, 1986 as Ashoka Concrete and Allied Industries Pvt. Ltd. The name of the Company was changed to Burnpur Cement Pvt. Ltd. on 18th September, 2001. The company was subsequently converted to public limited company to Burnpur Cement Ltd. on 12th November 2001 and became a closely held unlisted company. It is enlisted with National Stock Exchange (NSE) and Bombay Stock Exchange (BSE).

BCL has an operational integrated cement plant at Patratu, Jharkhand with an installed capacity of 0.3 million metric tonnes per annum with an investment of about 300 Crores. The plant produces the three most commonly used types of cement i.e. OPC, PPC and PSC. The Plant has been set with the most sophisticated Technology being used throughout the World for making Clinker i.e. Rotary Kiln Dry Process Technology. This Environment friendly Technology reduces the consumption of power and water, and enhances the Quality of Clinker & Cement.

In the year 2016, the secured loan accounts of BCL was declared as NPA by the Lenders of the Company by virtue of which the plant was in-operational for a brief period of time. Subsequently in the year 2017, an Offtake Agreement i.e. Buying and Selling Agreement (‘Offtake Agreement’) was signed between the Company and M/s Ultratech Cement Limited (“Ultratech”) by virtue of which the entire production of the Company is being sold to Ultratech. In the year, 2019, the Company was taken into was taken into the securitization process by its secured creditor i.e. State Bank of India and Central Bank of India under Securitisation and Reconstruction of Financial Assets and Enforcement of Securities Interest Act, 2002 (SARFAESI Act) and accordingly State Bank of India and Central Bank of India had assigned their debts (approx. 76% of the total secured financial debt) to M/s UV Asset Reconstruction Company Limited (UVARCL), an ARC (Asset Reconstruction Company) under the SARFAESI Act, 2002 through swiss challenge method. Following the acquisition of approximately 76% of the total financial debts. During the year 2019, UV Asset Reconstruction Company Limited by exercising the power given under section 9(1)(a), 15 and 16 of SARFAESI Act, 2002, UVARCL changed the management of the Company with effect from 01st October 2019. Further in August 2022, UVARCL has also acquired the remaining 24% financial debt of the Company from its secured creditor Punjab National Bank (Formerly known as United Bank of India) under SARFAESI Act, 2002 resulting in acquisition of 100% financial debt of the Company by UVARCL. As on date, the Offtake Agreement with Ultratech is still in existence by virtue of which the entire production of cement manufactured by the Company is being sold to Ultratech.



 
     
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