FERMENTA BIOTECH Share price

The Company was incorporated on 1st May 1951 as a PrivateCompany under the Indian Companies Act 1913 under the nameof International Franchises Pvt. Ltd. Initially the Companywas engaged in the business of manufacture and sale oftoothpaste antiseptic lotion and manufacture ofpharmaceutical speciality on loan licence basis. In orderto develop its own pharmaceutical activities the companyestablished a well equipped factory in 1959 at MajiwadaThane in Maharashtra. The Company also entered intocollaboration agreement with N.V. Philips - Duphar ofAmsterdam (now known as Solvay Duphar B.V.) and The CrookesLaboratories Ltd. of London. These collaboratorsparticipated in the equity capital of the Company to theextent of 25% each at par which was approved by the CentralGovernment vide its letter No. 1(20)/62-Ch.III datedDecember 11 1962. Since 50% of the paid up share capitalof the Company was held by bodies corporate the Companybecame a deemed Public Limited Company by virtue of Section43A of the Act. The Company changed its name to CrookesInterfran Limited on 19th April 1963.In 1964 a technical collaboration agreement with NVPhilips'' Gloeilampenefabrieken (now known as Solvay DupharB.V.) for the manufacture of Vitamin D3 bulk drug wasentered into. The first phase of Vitamin D3 manufacture wascompleted in 1967 and the second phase (irradiation) in1975.In order to associate fully with the research orientedcollaborators in Holland the Company in May 1971 changedits name from Crookes-Interfran Ltd. to Duphar-interfranLtd. In 1976 the Company entered into another technicalcollaboration agreement with N.V. Philips''Gloeilampenfabrieken (now known as Solvay Duphar B.V.) forthe manufacture of the collaborator''s research drugIsoxsuprine Hydrochloride-a Vasodilator. The production ofthis bulk drug was established in 1976.In compliance with the Government Policy under the ForeignExchange Regulation Act the Foreign Collaborators reducedtheir shareholding in aggregate to 39.8% in the capital ofthe Company. In 1976 a maiden offer of 200000 EquityShares of Rs.10/- each for cash at par was made to thepublic by which the Company became eligible for listing onthe Stock Exchange Bombay.In order to broad base its activities the Companyestablished another Plant at G.I.D.C. Industrial EstateVapi Gujarat State in the year 1963.The Company manufactures wide range of Pharmaceuticalformulations. It has a strong brand name `CROCIN'' inAnalgesic / Antipyretic range of formulation. It alsomanufactures Bulk Drugs Vitamin D3 and Isoxsuprine HCI forwhich the know how was obtained from N. V. PhilipsGloeilampenfabrieken Holland (now known as Solvay DupharB.V.). In cosmetic range the Company markets LactoCalamine Lotion.The Company''s formulations range includes Analgesic/Antipyretic - Crocin Tablets Syrup Antibiotics -Ampicillin Capsules Cephadil Capsules Moxydil CapsulesDistab Syrup and Injection for burns - SilverSulphadiazine Cream. It has also speciality products forconstipation and PSE - Duphalac solution for Indigestion -Pankreoflat Tablets for Irritable Bowel Syndrome - ColospaTablets for Muscle Spasm - Duodil Tablets for HormoneTherapy - Duphaston Tablets for Meniere''s Disease - VertinTablets or Iodine Therapy - Collosal Iodine Oral Liquidetc.The Company has wide network of marketing in India forPharmaceutical formulations. These formulations aredistributed through C&F agents to over 700 wholesalers inIndia.Some of the Company''s formulations and bulk drugintermediates have been exported to various countries likeThailand Abu Dhabi Muscat Bahrain Singapore Sri LankaWest Indies and Holland. The export sale is being done onprincipal to principal basis. The Company has not appointedany sole selling agent outside India.The Company''s in-house R&D Unit at Thane has from time totime been recognised by the Government of India Dept. ofScientific and Industrial Research New Delhi. The latestrecognition is valid upto 31st March 1997.The Company has been constantly updating its manufacturingfacilities both at Thane and Vapi by installing modernplant and machinery. Recently Commissioner Food and DrugsControl Administration Gujarat State has Issued acertificate confirming that the Company is following goodmanufacturing practices (GMP) at its Vapi Works as laiddown by World Health Organisation in the Manufacturing andTesting of Pharmaceutical formulations viz TabletsCapsules Dry Syrups Liquid Orals Injections & Creams(External) category products.This certificate is valid for a period of 2 years upto 10thJanuary 1997.The Company has made liberal bonus issues in the past. Outof 2162000 equity shares of Rs. 10/-each 1370000equity shares have been issued as bonus shares representing63% of the total issued capital.