Bannari Amman Sugars Ltd

Bannari Amman Group is one of the largest Industrial Conglomerates in South India with wide spectrum of manufacturing, trading, distribution and financing activities. Manufacturing and trading include sugar, alcohol, liquor, granite, cotton yarn. Distribution of automobiles and related accessories of renowned brands with financing activities. The service sector has wind power energy, education, health care, real estate etc. Group's net-worth exceeds US $95 million, with sales turnover crossing US $310 million

Prospects for the Current year 2008 - 2009

It is estimated to crush 7.5 lakh tonnes of sugarcane in sugar unit -1 15 lakh tonnes of sugarcane in sugar unit - II and 4 lakh tonnes of sugarcane in sugar unit III. It is estimated to produce 180 lakh B.Ltrs of spirit in the distillery unit in Tamilnadu and 75lakhB.Ltrs of spirit in distillery unit in Karnataka

An incineration plant to burn spent wash with 2 MW power generation is under implementation in the Distillery Unit in Karnataka and it is expected to be in operation from the third quarter of 2008. This will enable the Distillery to operate at the optimum levels

The Company is installing a Sugar Refinery Plant at sugar unit-ll with the production capacity of 500 MT per day besides increasing the refinery production capacity at sugar unit-l from 100 MT per day to 300 MT per day

The Government of Karnataka has approved the proposal for change of location of sugar plant situate at Kunthur Village Kollegal Taluk Chamrajanagara District to Modhalli Village Kollegal Taluk Chamrajanagara District and to establish a Sugar Plant with 6000 TCD from the existing 2500 TCD besides setting up of 28.8 MW Co-generation Plant

The Government of Tamilnadu has demarcated necessary cane areas for the establishment of an Integrated Sugar Complex comprising of 5000 TCD Sugar Plant Co-generation Plant Distillery Ethanol Plant and Bio-composting unit at Kolundampattu Village Thandarampattu Taluk Tiruvannamalai District and the Company is taking effective steps for implementation of the said Project

EQUITY : 11.47 CR

BOOK VALUE :393.00
LAST E.P.S : 37RS
NINE MONTHS E.P.S 73.70RS
LAST DIVIDEND :75%

Expecting full year e.p.s 110 Rs
price target : 1200 in next 3 months