BCL Industries rallies 10 per cent. Heres why!
The company has been allocated a quantity of 3.60 crore litres of ethanol, for supplies to OMCs from their manufacturing unit at Bathinda.
BCL Industries had participated in a tender floated by Oil Marketing Companies (OMCs) dated November 12, 2021, inviting various molasses and grain-based distilleries for supplying ethanol for the period commencing from December 1, 2021, till November 30, 2022, at their various locations across the country.
The company has informed the exchange today that after the closure of the first round of offerings, the company has been allocated a quantity of 3.60 crore litres of ethanol from their manufacturing unit at Bathinda for supplies to OMCs. Further, the company has also applied for an additional quantity of 0.50 crore litres. The total suppliable quantity to OMCS will be up to 4.10 crore litres for the period from December 1, 2021, to November 30, 2022.
In the same filing with the exchange, the company has said that it expects its subsidiary Svaksha Distillery Limited to commence its commercial production of ethanol in the last quarter of this financial year 2021-22 and will initiate the supply once commercial production commences.
The per-unit rate of ethanol made from the damaged food grains has been fixed at Rs 52.92 per litre with an increase of Rs 1.37 per litre from the previous year. The rate for ethanol made from surplus food grains remains unchanged.
BCL Industries is a part of the Mittal Group founded in 1976, by the late D D Mittal. The company is a diversified conglomerate in manufacturing and development with business interests spread across a variety of industry verticals namely edible oil and vanaspati, distillery and real estate. The company forayed into the business of distillation of alcohol in the year 2011 and today it is one of the largest grain-based distilleries and ethanol manufacturers in the country.
On Monday, December 6, 2021, the scrip of BCL Industries rallied by 9.69 per cent to touch an intra-day high of Rs 262.05 per share. Keep a close eye on this counter!