Incorporated in 1976, Gujarat Narmada Valley Fertilizers & Chemicals Limited (GNFC) is a public sector company based in India. It is located in Bharuch, Gujarat. GNFC is primarily engaged in the manufacturing of fertilizers and chemicals.
GNFC produces a wide range of fertilizers, including urea, ammonium nitrophosphate, calcium ammonium nitrate, and other nitrogenous and phosphatic fertilizers. These fertilizers play a crucial role in promoting agricultural productivity in India.
In addition to fertilizers, GNFC is also involved in the production of various chemicals and petrochemicals, such as methanol, formic acid, acetic acid, ethyl acetate, and other chemical intermediates. The company has diversified its operations to include various chemical and petrochemical products that serve a range of industries.
GNFC has received recognition for its commitment to sustainable development and corporate social responsibility. It is known for its efforts in promoting environmentally friendly and energy-efficient practices in the chemical and fertilizer industry. The company also undertakes several social and community development initiatives in the areas where it operates.
Gujarat Narmada Valley Fertilizers Buyback 2023 Detail
| Issue Period | |
| Security Name | Gujarat Narmada Valley Fertilizers & Chemicals Limited |
| Issue Type | Tender Offer |
| Issue Size (Shares) | 8,478,100.00 |
| Issue Size (Amount) | ₹652.81 Crores |
| Buyback Price | ₹770 per share |
| Face Value | ₹10 per share |
| Listing At | BSE, NSE |
Gujarat Narmada Valley Fertilizers Buyback 2023 Issue Timetable
| Last Date to buy shares | November 23, 2023 |
| Record Date | November 24, 2023 |
| Offer Opens On | |
| Last Date for receipt of Tender Forms | |
| Offer Closes On * | |
| Finalisation of Buyback Acceptance | |
| Last Date for settlment of bids | |
| Last Date for Extinguishment of Shares |
Gujarat Narmada Valley Fertilizers & Chemicals Limited Financial Information (Restated Consolidated)
Gujarat Narmada Valley Fertilizers & Chemicals Limited’s revenue increased by 19.62% and profit after tax (PAT) dropped by -13.97% between the financial year ending with March 31, 2023 and March 31, 2022.
| Period Ended | 31 Mar 2023 | 31 Mar 2022 | 31 Mar 2021 |
| Assets | 11,695.53 | 10,734.39 | 8,384.81 |
| Revenue | 10,588.16 | 8,851.71 | 5,365.92 |
| Profit After Tax | 1,471.54 | 1,710.41 | 689.21 |
| Net Worth | |||
| Reserves and Surplus | 8,949.69 | 7,834.61 | 5,912.78 |
| Total Borrowing | |||
| Amount in ₹ Crore |
Necessity of the Issue
The company is proposing the buyback to return surplus funds to the equity shareholder/beneficial owner of the Equity Shares as on the record date(Eligible shareholder) which are over and above its ordinary capital requirement and in excess of any current investment plans, in an expedient, efficient and cost-effective manner. Additionally, the company strives to increase the Shareholder’s value and the buyback would result in the following benefits amongst other things :-
- The buyback will improve the financial ratios like Earning per share, return on capital employed, return on equity by a reduction in the equity base of the company, thereby leading to a long-term increase in shareholder’s value
- The buyback will help in achieving an optimal capital structure.
- The buyback will help the company distribute the surplus cash to its equity shareholders, thereby enhancing the overall return to equity shareholder.
- The buyback which is being implemented through the tender offer route as prescribed under the SEBI Buyback Regulations would involve allocation of the number of equity shares as per the right entitlement of the shareholder or 15% of the number of Equity Share to be bought back whichever is higher, reserved for small shareholders.
- The buyback gives an option to the eligible shareholder to either (i) choose to participate and get cash in lieu of Equity Shares to be accepted under the buyback or (ii) choose to not participate and enjoy a resultant increase in their percentage shareholding, post buyback without additional investment.
Company Contact Information
Gujarat Narmada Valley Fertilizers & Chemicals Limited
P.0. Narmadanagar – 392015
Dist. Bharuch
Phone: 02642-247001
Email:
Website: https://www.gnfc.in/