Promoters stake down 5% to 42.58% in Dalmia Cement

New Delhi, Nov 5: Promoters of Dalmia Cement have offloaded about five per cent of their stake to bring it down to 42.58 per cent over the last six months.

“As on September 30 this year, the promoters’ stake has come down to 42.58 per cent of the company’s total equity from 47.66 in March this year,” company secretary KV Mohan said.

Asked if the promoters would dilute their stake further, he replied in the negative but declined to divulge the reason for promoters’ stake liquidation over the last six months.

Besides, the change in promoters’ stake, several other changes have also taken place in the shareholding pattern of Dalmia Cement (Bharat) Ltd. The public shareholding has been reduced to 30.29 per cent from 42.74; Indian and foreign institutional investors now hold 8.75 per cent as against 6.47 in March last.

Also, private corporate bodies have acquired over 11 per cent stake in the cement company over the last six months, according the Bombay Stock Exchange (BSE).

Besides, cement, Dalmia Cement is into magnesite, sugar and electronic components’ production. For the year ended March 31, its profit after tax (PAT) was Rs 28.8 crore as against Rs 21.13 crore in the previous fiscal.

While the company’s PAT has increased over the previous year, the performance of its subsidiaries has been far from profitable. Of the nine subsidiaries of Dalmia Cement (Bharat) only two returned profits for the year ended March 31, 2001.

Surya Finance Ltd and Ishita Properties Ltd declared net profit (less losses) for 12 months ended March 31 whereas Anupama Investment, Kanika Investment, Avnija Finance, Hemshila Finance, DCB Investment, DI Investment and Prachita Investment ploughed back losses to DCB during the year under review.

The company has been implementing a voluntary retirement scheme (VRS) for reducing manpower in Dalmia Magnesite Corporation and since 1993, 988 of its employees have availed of the VRS, resulting in an outgo of Rs 8.35 crore.

Also, on the mining front, it reported “no activity” last fiscal since it has given notice to the Karnataka government for surrendering its iron-ore lease. DCB has completely stopped production of consumere electronic goods at Dalmia Electronics Corporation.

— PTI