Multibagger stock: Specialty chemical company cuts debt as it aims to become debt free in FY24
The New Delhi headquartered Vikas Ecotech operates in the specialty chemical industry. It caters to the a variety of industries including agriculture, automotives, electricals, healthcare and others.
Premium specialty chemicals company Vikas Ecotech has informed exchanges that the company has significantly cut its debt in the ongoing quarter of FY24. As par of its debt-reduction plan, the company has paid back Rs 73 million approximately.
With the latest round of payment, the company's total amount of bank-debt now stands reduced to Rs 718 million. It means that it has reduced overall bank-debt of Rs 982 million from the peak level of about Rs 1,700 million till date.
In addition to this, the firm intends to payback additional Rs 170 million in the current quarter ending on June 30, 2023, bringing down the debt levels to Rs 548 million.
Vikas Ecotech is a leading provider of high-end specialty chemicals. The company said that it aims to cut the debt further as it has set a target to become a debt-free by the end of the financial year 2023-24. The repayment takes the company a step ahead towards becoming a ‘ZERO Debt Company’ in 2024.
ALSO READ: Paytm issues clarification for installing QR codes for donations outside Badrinath-Kedarnath Temple
The company recently raised about Rs 50 crore via Qualified Institutional Placement (QIP) route. Its R&D Division is a Department of Scientific & Industrial Research (DSIR) recognised center of the Ministry of Science & Technology.
The company has also gained approvals and commercial orders from Paragon Polymer and electric bus manufacturer Olectra Greentech for the specialty fire retardant materials.
ALSO READ: Adani Green Energy Ltd announces FY23 results reporting an EBITDA of Rs 5,538 Cr
The New Delhi headquartered company operates in the specialty chemical industry. The company supplies its products to a variety of industries including agriculture, automotives, cables, electricals, hygiene, healthcare, polymers, packaging, textiles and footwear. As per the shareholding patter, promoters hold 9.3 per cent stake in the company while the remaining 90.6 per cent is owned by the public.