Companies & Sectors
Kemrock Industries: Shares plummet on poor results and pledging of shares

Kemrock Industries & Exports tumbled to nearly half its price in 10 days. Poor results, increasing finance costs and additional pledging of shares has resulted in investors dumping the stock

Kemrock Industries & Exports, which was trading at around Rs500 per share sometime back, has fallen more than half to Rs205.15 on the BSE. The company which manufactures fibre reinforced composite materials has been on a decline in the last six days, hitting its lowest in the last three years. The promoters of the company have pledged nearly 70% of their stake and the recent quarter results have seen a huge drop in sales. The poor results which were declared a couple of days back resulted in the stock hitting its lower circuit of 10% today and closed at Rs 205.15 a piece. 
The promoter of the company Kalpesh M Patel who holds 51.38 lakh shares (25% of total share capital), pledged an additional 6.97 lakh shares this month. This takes the total number of pledged shares to 36.87  to 36.22, which works out to 71% of his stake and 17.82% of the total share capital. The promoters hold a stake of 27.07% in the company as on 30 June 2012. Institutional investors hold a stake of 3.35% and retail investors hold a stake of 6.80%.
The decline in the stock price started after the recent round of pledging on 6 August 2012 where 6.97 lakh share were pledged to 12 institutions. Out of this two lakh shares were pledged to Karvy Financial Services, 1.2 lakh shares were pledged to Ess Dee Aluminium and 60,000 shares each to Bright Brothers and Sicom.
If this was not enough, the financial results for the quarter ended June 2012 sent investors over the edge. Sales declined by nearly 40% over the pervious quarter and by 45% year-on-year to Rs161.65 crore. Net profit came down by a whopping 93% y-o-y from Rs26.05 crore to Rs1.86 crore as finance costs also increased by 33% to Rs51.38 crore over the previous corresponding quarter. The operating profit margin for the earlier few quarters which was around 27%, which came down to 12%.
Established in 1981, the company manufactures and exports fibre reinforced composite products for major industrial sectors such as aerospace, defence, renewable energy, wind energy, railways, chemical processing, oil and gas, water and waste water management, infrastructure, construction, electrical and electronics, marine, telecommunications. The revenue from composite products came down by 40% over the previous quarter to Rs152.56 crore.
Venugopal K Shastri, who was a director of the company since November 2010, resigned earlier this month. 



Bosco Menezes

2 years ago

Incredible that FRP Holdings, which as per Kemrock's announcement today is going to invest 260 Million USD in the company to enable Kemrock to reach an OTS with banks, has practically NO web presence. So also it's president Mr. Earvin Richard who again has NO web presence. Surely a company that can invest 260 million USD in a single investment, should have a web presence ?
Wonder if Kemrock's bankers are so desperate to recover an NPA that they have not bothered to investigate the colour of the money they are getting ? Looking for answers if anyone has them .....

Arvind Mehta

4 years ago

Company has no money for Salary of Employee.... PF... Income Tax pay and also for supplier...How can Company produce material and sale ???? Also no sales person.....Share price will be Rs. 10 in next month.......

Ramesh Poapt

4 years ago

The new plant for aerospace rcp was first of its kind and was inaugurated by Dr Abdul Kalam, who praised this project-to the best of my knowledge.The Co's profit and share price zoomed during 2009-10-11.Co.will be in loss in the next quarter/s.But,perhaps that may not be the end of the Co.At some more decline,it could be interesting Co. risk/rewardwise for brave heart long term investors.


4 years ago

fuck of for this company just in 3 days lost more than 100 rs/share, wt fuck are managment doing abouth share holders.

ICICI Bank raises $750 million worth bonds from overseas market

The five-and-a-half-year fixed rate notes carry a coupon rate of 4.70%

New Delhi: Private sector lender ICICI Bank on Thursday said it has raised $750 million through bonds in the international market, reports PTI.


The five-and-a-half-year fixed rate notes carry a coupon rate of 4.70%, ICICI Bank said in a statement.


The bonds, the bank said, were sold through its Dubai branch. The offering, it said, had an order book of  $5.7 billion with interest from over 312 investors.


ICICI Bank has a consolidated total assets of $119 billion as on March 2012. Its presence spans around 19 countries.


HC asks media houses to file affidavits on Mamata's comment

Bhattacharya, former mayor of Kolkata, made the oral plea before the bench praying for suo motu contempt proceedings against Banerjee, stating that the chief minister had during a seminar in the Assembly on Tuesday allegedly made derogatory remarks about judiciary

Kolkata: Taking up a plea for contempt proceedings against West Bengal Chief Minister Mamata Banerjee for allegedly making derogatory remarks about judiciary, the Calcutta High Court on Thursday directed two newspapers and two channels to file affidavits on the authenticity of their reports on her speech, reports PTI.
On the plea by senior counsel Bikash Bhattacharya, who was the Mayor of Kolkata and a CPI(M) leader, a division bench comprising justices KJ Sengupta and AK Mondal directed two national English dailies and two vernacular news channels to file affidavits within three weeks on the authenticity of their reports on a speech made by Banerjee on 14th August.
The issue of whether any contempt proceeding would be initiated against the chief minister would come up after examination of the affidavits by the court, lawyers said.
The matter would come up for hearing again after four weeks.
Bhattacharya, former mayor of Kolkata, made the oral plea before the bench praying for suo motu contempt proceedings against Banerjee, stating that the chief minister had during a seminar in the Assembly on Tuesday allegedly made derogatory remarks about judiciary.
He also submitted two CDs containing the recordings of television reports and also copies of the two newspapers before the court and sought suo motu action against Banerjee.
In the morning, a section of lawyers led by counsel Subrata Mukhopadhyay had moved the court of Chief Justice JN Patel and Justice Joymalyo Bagchi seeking suo motu contempt proceedings against the Chief Minister.
The bench refused to take up the matter suo motu and said that he could file a contempt petition before the court and the matter would be heard accordingly.
The Chief Justice's bench had observed that the chief minister had expressed her personal opinion and the judiciary was not disturbed at any such alleged comments.
Bhattacharya had moved the court earlier in the day seeking an urgent hearing on the matter, when the bench directed him to come at 2pm.
Banerjee had stated, "What I am seeing, many court judgements are today delivered in return for money."


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