Atul Ltd updates on land conversion

Atul Limited was incorporated on September 05, 1947 with a vision to set up one of the largest and the greenest chemical complexes in Independent India by late Shri Kasturbhai Lalbhai.

First site, Atul came into existence by acquiring the land by the Bombay State Government from different villages, Haria, Dived and Parnera in 1948. Over last 75 years, the Company has been acquiring land for its needs through various modes. Specific mention is made of notifications issued in 1975 and 1990 by the Government of Gujarat which permitted acquisition of agricultural land by the Company under section 3(1)(f) of the Gujarat Agricultural Lands Ceiling Act, 1960.

Thereafter, the Company further acquired 133.11 acres of agriculture land in Valsad district by making payment to the sellers as per agreed value and prevailing Government charges with an ultimate aim to use the same for industrial purpose. The Company was in dialogue with the Government of Gujarat for converting the above agriculture land admeasuring 133.11 acres u/s 3(1) (f) of the Gujarat Agricultural Lands Ceiling Act, 1960 for industrial purpose. However, after prolonged discussions, the Government in principle agreed for converting above agricultural land under section 63 AA of the Gujarat Tenancy and Agricultural Lands Act, 1948 instead of under section 3(1)(f) of the Gujarat Agricultural Lands Ceiling Act, 1960. The Company is in the process of completing the procedural requirements which may continue over a period of one year. As a part of this requirements, the Company will have to pay application fees, cess, premium, conversion charges, Non agricultural (NA) assessment charges, charges for prior construction, differential stamp duty, customary penal charges etc. for conversion of the land for industrial purposes. The Company has paid Rs. 0.75 cr as of now in this regard.

Shares of Atul Limited was last trading in BSE at Rs. 7991.85 as compared to the previous close of Rs. 7955.90. The total number of shares traded during the day was 3697 in over 1143 trades.

The stock hit an intraday high of Rs. 8108.30 and intraday low of 7962.95. The net turnover during the day was Rs. 29723306.00.

Source : Equity Bulls

Keywords

Atul INE100A01010 LandParcel Conversion Update