Bio Green Industries clears debts of its subsidiary through OTS

Bio Green Industries Ltd has announced that the company on behalf of its subsidiary M/s. Shivsagar Paper & Chemcials Ltd has cleared its debts under One Time Settlement with Stressed Assets Stabilization Fund of IDBI. The Company under one time settlement has cleared all of its dues with IDBI for Rs 300 lakhs. With the final tranche of payment made on August 10, 2007. SASF-IDBI consented full and final.

As part of the understanding, SASF-IDBI has assigned the underlying securities through an Assignment Deed under Tripartize Understanding between the Company, SASF-IDBI and M/s. Shivsagar Paper & Chemicals Pvt Ltd.

After clearing all of its dues, the Assignment deed was handed over by Mrs. N J Shetty, DGM, SASF-IDBI to Mr. L V Ramnarayan, Director of the Company after taking the confirmation for the same on the deed by Mr. V Jagdish, Managing Director of M/s. Shivsagar Paper & Chemcials Ltd, A subsidiary of the Company. With the above one time settlement successfully completed, the Company has become Debt Free. Hither to the Company has successfully completed its One Time Settlement with State Bank of India too by paying Rs 95 lakhs under One Time Settlement.

Commenting on the above, Mr. V Jagdish stated that the Company's first priority was to become debt free, which it has achieved by now and henceforth the Company intend to increase its production capacities and become a significant player in the areas of operations of Kraft Paper, Duplex Board. Production of Aqua Mineral Water and Bio Fuels.

The stock was trading at Rs.169.25, up by Rs.8.05 or 4.99%. The stock hit an intraday high of Rs.169.25 and low of Rs.169.25. The total traded quantity was 100 compared to 2 week average of 75.

Source : Equity Bulls

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