Amalgamated Electricity Company Ltd - Stock Valuation and Financial Performance

Amalgamated Electricity Company was incorporated in 1936. It was originally formed to generate and distribute electricity in the Municipal areas of Ajmer, Belgaum, Malegaon and other adjoining areas. The company is registered with the Registrar of Companies, Maharashtra and having its Registered Office at Dena Bank Building, 1st Floor, 17-B, Horniman Circle, Fort, Mumbai.

Milestones

1936 - The company was incorporated at Mumbai. The main objective of the company was manufacture of vegetable oils and deoiled cakes.

1940 - 11,242 Right Equity shares issued at par in proportion 1:6 Equity/Preference.

1947 - 13,758 Right Equity shares issued (Prem. Rs.5 par share in prop. 1:6 Equity/Pref.

1948 - 31,250 Right Equity shares issued at par in the proportion 5:14.

1950 - 31,250 Right Equity shares issued at par.

1960 - 90,625 Right Equity shares issued in the proportion 1:8 Equity.

1962 - 2,86,300 Right Equity shares offered at par in prop. 1:3 Equity. Shares not taken up were differed to the public in August.

1976 - 3,47,064 Bonus Equity shares issued in proportion 1:3 on 29th July.

1978 - Future Electronics Pvt. Ltd., became a subsidiary of the company.

1981 - The licences were gradually taken over by various State Electricity Boards over the years, the last of them being Dahod Electricity Undertaking handed over to Gujarat Electricity Board on the mid-night of 9th/10th February.

1983 - The working continued to suffer due to non-availability of raw materials and unremunerative selling prices. As a result, the plant could be operated only for about four months. The hydrogenation unit of the company remained non-operational during the year due to lack of processing orders at remunerative prices.

1984 - The working results continued to suffer.

1985 - The working results showed reduced losses as compared to the previous year. The performance of the computer division showed improvement. Efforts were under way to sell the assets of the hydrogenation plant at Chalisgaon.

1987 - The computer division continued to operate under sever competitive conditions and efforts were on to improve its performance.

1988 - The company embarked upon new lines of activities, including upgrading the computer division.

1989 - Due to uncertainties of the oil industry, the company proposed to divert its activities into leasing business, hire purchase business and exports of commodities other than those in which the company is engaged.