Wellman Incandescent India Ltd - Stock Valuation and Financial Performance

Wellman Incandescent India Ltd.was incorporated on  May 30, 1962 at Calcutta with an object to manufacture of all types of oil fired, gas fired, coal fired & electrically heated furnaces & ovens & allied equipment including charging & discharging gear & E.O.T. cranes of all types. The Comp. also manufactures gas products, coke oven machines, foundry plant and handling equipment for steel works.

The registered office address of the company is Howrah Industrial Estate 711402 Howrah, WEST BENGAL. The company has been delisted from the BSE on February 22, 2008 due to winding-up of the Company.

Milestones and activities

• 1972 - Licence for expansion of furnace manufacturing capacity from was received from Government subject to satisfactory finalisation of collaboration agreement.
• 1973 - A new technical collaboration agreement was entered into with Wellman Engineering Corporation, U.K.
• 1974 - 39,885 shares issued without payment in cash.
• 1975 - The Comp. entered into an agency agreement with Wellman Machanical Engineering, Ltd., U.K. for following products:
• - [is] Continuous strip lines including galvanising, PVC coating, pickling, etc.
• - [iis] Forging manipulators, furnace charging machines slag pot transporters, mobile handlers, etc.
• - [iiis] Non-ferrous continuous & semi-continuous casting plants for aluminium, zinc & lead, strip rolling mills, high speed cold billet & slab saws for non-ferrous materials, etc.
• 1979 - A licence was received for enhancing the capacity of Bibby Couplings. For this purpose, construction of new factory at Bangalore was taken in hand during 1980-81.
• - In addition to this expansion, Govt. permitted the Comp. to manufacture Bibbigard & Bibby Couplings at Bangalore.
• 1981 - 2,49,700 rights shares offered at par in prop. 1:1. Only 2,25,000 shares taken up.
• 1983 - Bangalore Unit was officially inaugurated on 5th August.
• 1984 - A collaboration agreement was entered into with Wellman Furnaces limited [British Furnace Divisions] U.K. for supply of technical know-how & assistance as consultants for manufacture in India of certain types/furnace components & spare parts. Sanction of Government for this agreement was awaited.
• 1985 - The Comp. entered into a collaboration agreement with the Wellman Bibby Comp. of U.K., for manufacture of Bibby gear couplings. The agreement was under Government consideration. 1986 - The Comp. entered into negotiations with Wecoma Trading, Ltd. U.K. for promoting a joint venture for manufacturing of coal Beneficiation plants. A proposal was also submitted to Govt. of India in this respect.
• 1987 - The Comp. signed collaboration agreement with Rodcon Inc. of Cleveland, U.S.A. in the field of Bell Annealing Furnaces & with Italiampianti of Genoa, Italy in the field of reheating furnaces. Govt. of India was being approached for approval.
• - The Comp. also entered into collaboration agreements with Pyromics Inc. & Thermetek both stationed in the U.S. & specialising in combustion & energy saving equipments.
• - 9,99,400 rights shares issued at par in prop. 1:1. Only 7,61,216 shares taken up [7,41,599 shares 1987-88 & 19,617 shares in 1988-89.
• 1988 - Govt. of India gave its approval for joint venture. RBI also gave its approval for issue of equity shares to the said foreign collaborators.
• 1990 - The Company collaboration with Hotwork, UK for indigenous manufacture of other types of burners, such as high velocity, flat flame, radiant burners etc., received Government approval. Also, the company collaboration with Rodcon Inc. of Cleveland, USA would enable production of hydrogen annealing technology in bell furnaces.
• - A Memorandum of Understanding was signed with a Comp. in UK for the manufacture of aluminium melting & holding furnaces of improved design.
• - 9,99,400 rights equity shares issued at par in prop. 1:2 [all were taken ups]. 1,650 shares out of issue were yet to be allotted.
• 1991 - Wellman Wacoma Ltd., a subsidiary of Company. As on 31st March, the Comp. held 2,00,000 No. of equity shares of Rs. 10 each out of 2,00,007 No. of equity shares issued by the subsidiary.
• 1992 - During Dec. 1992 - Jan 1993, the 7,43,874 No. of equity issues 59,96,400 rights equity shares for cash at par in prop. 2:1. Additional 8 shares allotted to another 2,99,820 shares were offered to the employees on an equitable basis [only 75,520 shares taken ups]. Unsubscribed portion was allotted to lapse.
• 1993 - Profits increased due to the tight control on expenditures. The 250 TPH walking Beam Reheat furnace at TISCO & Coke oven plant at Nergundi for producing high quality low ash low phosphorous coke were commissioned during the year.