Southern Petrochemicals Industries Corporation Ltd (SPIC)

Southern Petrochemical Industries Corporation Ltd is one of largest Indian fertilizer manufacturers. The company is engaged in the manufacture/ import and sale of nitrogenous and phosphatic fertilizers besides business interests in engineering biotech and pharmaceuticals. They have seven manufacturing units spread across Tamil Nadu. Their subsidiaries include Orchard Microsystems Ltd SPIC Petrochemicals Ltd SPEL Semiconductor Ltd IndoJordan Chemicals Company Ltd IndItal Chemicals Ltd and SPIC Fertilizers and Chemicals Ltd Mauritius.The company operates in four divisions namely fertilisers pharmaceuticals engineering construction services and agribusiness divisions. Their fertilisers division manufactures fertilisers and intermediates the pharmaceuticals division manufactures penicillinG and other formulations. The engineering division offers specialized and turnkey projectbased solutions and agribusiness includes tissue culture plants hybrid seeds biofertilisers etc. The pharmaceuticals division consists of four strategic subdivisions namely penicillinG APIs finished dosage products and industrial enzymes.Southern Petrochemical Industries Corporation Ltd was incorporated in the year 1969 at Chennai. In the year 1979 the company installed a pure Gas Hydrogen Recovery Unit to increase Ammonia Production. In the year 1983 they acquired two chemicals tankers namely Spic Pearl and Spic Emerald for regular delivery of phosphoric acid from overseas supplies to their plants. During the year they promoted Tamilnadu Petroproducts Ltd in the joint sector along with TIDCO SPIC Electronics Systems Ltd for manufacture of IC Chips and Manali Petrochemical Ltd for manufacture of Propylene Oxide Propylene Glycol Polycol.In February 1992 the company came out with a Zero bond rights issue to partfinance their project of gas fertilisers chemicals and drugs. During the year they copromoted National Aromatics and Petrochemicals to manufacture valueadded products and import substitutes. In the year 1995 the company signed an MoU with Gelman Sciences of USA for manufacturing membrane filters for industrial health care operations. In July 1995 their PenicillinG plant at Cuddalore started their commercial production.In the year 1996 the company with Israeli technical collaboration commissioned Floriculture EOU for Rose cut flowers. The Heavy Chemicals Division entered into an agreement with Chlorine Engineers Corporation Japan for the supply of technical knowhow and basic engineering for putting up Membrane Cell Conversion Project at their existing plant in Manali. During the year 199697 the pharmaceutical division commenced commercial production of several ethical formulations at its plant at Maraimalai Nagar.In the year 1997 the company signed an agreement with M W Kellogg UK for their USD 160 million fertiliser complex in Dubai through their wholly owned subsidiary company named SPIC Fertilisers and Chemicals FZE. In addition they signed an agreement with Universal Investments New Zealand for forming a joint venture company that would process foods and export them. During the year 199797 they increased the installed capacity of Caustic Soda to 82500 MT and Liquid Chlorine to 50000 MT.In the year 1998 they diversified into hospitality sector and entered into a marketing tieup with Radisson Hotels International Inc of USA. During the year 20002001 as a measure of consolidation the company sold the Chlor Alkali division to Tamilnadu Petroproducts Ltd. In addition they divested their stake in SPIC PHI Seeds Ltd. The company also launched Biodart enzyme formulations for textile and poultry feed. In the year 2002 the company sold their 49 per cent share in CaltexSpic to their joint venture partner Caltex oil corporation. In September 2002 they commissioned 18.6 MW captive power plant.During the year 200304 the company commissioned the facility for the manufacture of complex fertiliser. The Agro Biotech division commissioned a turnkey project for neembased biopesticide plant in Malaysia. In addition the division launched two new hybrids in corn and one new hybrid in sunflower. During the year Spic Petrochemicals Ltd became a wholly owned subsidiary of the company. During the year 200405 the company increased the production capacity of PenicillinG by 1000 tonnes to 2000 tonnes. The Engineering/ Construction Services Division completed two major projects and commissioned during the year. During the year 200506 as per the scheme of amalgamation the assets and liabilities of the erstwhile subsidiaries SPIC Holdings and Investments Ltd SPIC Biotechnologies Ltd and Mitocon Biotec Ltd were transferred to and vested in the Company with effect from March 31 2006. SPEL Semiconductor Ltd a subsidiary company incorporated a wholly owned subsidiary company SPEL America Inc in USA to concentrate on marketing services for SPEL.During the year 200708 the company increased the production capacity of Urea by 108400 tonnes to 620400 tonnes. They also increased the production capacity of aluminium fluoride by 7440 tonnes to 10000 tonnes. The Agribusiness division launched new hybrids in tomato and okra for commercial marketing. EDAC Engineering Ltd formerly known as SPIC JEL Engineering Construction Ltd ceased to be a joint venture with effect from October 23 2007 pursuant to the sale of investment by the joint venture partner.The company proposes to add capacity and utilities at Cuddalore for a separate API plant for intermediates and PenG based APIs. This facility would add muscle to the API business at Maraimalai Nagar by taking up part production of APIs and intermediates to boost volumes of the business.The company is having a plan for a Betalactam formulation facility at PenG unit Cuddalore to manufacture and market finished dosages of semisynthetic Penicillins SSPs and Cephalosporins to tap the growing domestic market besides niche export markets.The company also proposes to add and enhance capacity upgrade and modernize the RD facility and the API Plant at Maraimalai Nagar to cater to the expanding market segment and faim for higher accreditations like current good manufacturing practice cGMP certificate of suitability CoS etc.

Southern Petrochemicals Industries Corporation Ltd Share Price: ₹58.00 per share as on 23 Mar, 2023 04:01 PM
Southern Petrochemicals Industries Corporation Ltd Market Capitalisation: ₹1,403.08Cr as of today
Southern Petrochemicals Industries Corporation Ltd Revenue: ₹713.06Cr as on December 2022 (Q4 22)
Southern Petrochemicals Industries Corporation Ltd Net Profit: ₹89.66Cr as on December 2022 (Q4 22)
Southern Petrochemicals Industries Corporation Ltd Listing date: 11 Mar, 1994
Southern Petrochemicals Industries Corporation Ltd Chairperson Name: Ashwin C Muthiah