Cement

In 1958 The Company was Incorporated on 13th May, at Bangalore.  The Company's object is to manufacture cement, portland cement alumina cement etc. In 1960 2,50,000
shares subscribed by directors etc. 1,93,000 shares by Willys overland Export Corp.; 97,000 shares by Kalser
Engineers 40,000 shares offered to the overseas Corp.; 1,50,000 shares by Mysore Govt. and 20,000 shares by
the New India Assurance Co. Ltd.  4,40,000 shares offered to the public in April 1960. In 1970, 251 forfeited
equity shares reissued during the year.

 In 1974 Mining lease was acquired for limestone deposits in the area. A second hand power plant was
purchased from Madhya Pradesh Electricity Board to meet 50% of the requirements of Damoh unit. In 1977,
70,000 - 9.5% pref. shares redeemed on 29th June 1978.  70,000 - 11% pref. shares issued. In 1979,
Authorised capital reclassified.13, 50,000 rights equity shares issued (prem. Rs.2 per share; prop. 3:4) in
February 1980. In 1981, Rate of dividend on 70,000 - 11% pref. shares increased to 13.5% effective from 6th
November.  30,000 - 13.5% pref. shares issued as rights to equity shareholders in prop. 1 pref. : 105 No. of
equity.  Only 10,319 shares taken up. 

In 1982, 19,681 - 13 1/2% pref. shares of 1981-82 issue taken up in 1982-83 (7,681 pref. shares redeemable
on 8th October 1994 and 12,000 pref. shares redeemable on 26th November 1994. In 1983, a letter of intent
was received to expand the plant capacity at Damoh to one million tonnes per annum. The unit could achieve
higher efficiency of production and savings in fuel costs due to installation of the latest 6 stage pre-heater system.
Rate of dividend increased.  90 No. of equity shares forfeited. In 1984, 12, 59,789 bonus shares issued in the
prop. 2:5. 4, 06,118 shares allotted to institutions on conversion of loans.

In 1985, Production was adversely affected due to severe power cuts and inadequate availability of coal.  It was
planned to install two more diesel generating sets of 5 MW each 1, 62,446 bonus shares issued in the prop. 2:5
in respect of 4, 06,118 shares issued to institutions in 1984-85. In 1986, Margins were under pressure due to
increase in input costs, decline in the non-levy price of cement, power cuts as high as 60% - 80% in the
Ammasandra plant and high cost of captive diesel power. In 1987, The Company undertook modernisation of
plant at Ammasandra unit. The Company undertook to set up a new cement plant at Damoh with a capacity of
4 lakh tonnes per annum. Approval was received for the installation of a grinding unit at Jhansi, U.P. to raise the
company's licensed capacity to 1.87 million tonnes.