Uttam Sugar Mills' Subsidiary to Quadruple Distillery Capacity with ₹110 Crore Investment

1 min read     Updated on 29 Sept 2025, 01:13 PM
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Overview

Uttam Sugar Mills Limited's board has approved a plan to expand its subsidiary Uttam Distilleries Limited's (UDL) distillery capacity from 40 KLPD to 160 KLPD. The ₹110 crore project, set to complete by March 2027, will be financed through internal resources, promoter contributions, and external borrowings. The expansion aligns with the government's ethanol blending initiative, aiming for environmental benefits and potential foreign exchange savings.

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*this image is generated using AI for illustrative purposes only.

Uttam Sugar Mills Limited has announced a significant expansion plan for its subsidiary, Uttam Distilleries Limited (UDL), aiming to quadruple its distillery capacity. The company's board of directors has approved an increase in UDL's distillery capacity from the current 40 KLPD (Kilo Litres Per Day) to 160 KLPD, representing a four-fold expansion in production capabilities.

Investment and Timeline

The ambitious expansion project comes with an estimated investment of ₹110.00 crore. Uttam Sugar Mills has set a target completion date of March 2027 for this substantial capacity enhancement. The company plans to finance the project through a combination of internal resources, promoter contributions, and external borrowings.

Current Operations and Expansion Details

UDL's existing distillery capacity stands at 40 KLPD, with an impressive capacity utilization of 95.00%. The proposed expansion will add 120 KLPD to the current capacity, bringing the total to 160 KLPD upon completion.

Strategic Rationale

The decision to expand UDL's distillery capacity aligns with the Indian government's push for increased ethanol blending in fuel. Uttam Sugar Mills cited the government's encouragement of ethanol-fuel mixing as a key factor in their expansion strategy. The company highlighted two primary benefits of this initiative:

  1. Environmental friendliness
  2. Potential for foreign exchange savings for the country

By increasing its ethanol production capacity, UDL aims to meet the growing national demand for ethanol and contribute to the government's eco-friendly fuel initiatives.

Market Impact and Compliance

This expansion represents a significant move for Uttam Sugar Mills and its subsidiary in the ethanol market. The company has made this announcement in compliance with SEBI (Listing Obligations & Disclosure Requirements) Regulations, 2015, ensuring transparency with its stakeholders and the market at large.

As the project unfolds over the coming years, it will be interesting to observe how this substantial capacity increase impacts Uttam Sugar Mills' market position and financial performance in the evolving ethanol sector.

Historical Stock Returns for Uttam Sugar Mills

1 Day5 Days1 Month6 Months1 Year5 Years
+1.33%+4.97%-2.22%+4.11%-26.92%+196.18%
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Uttam Sugar Mills Sets September 12, 2025 as Record Date for Final Dividend

1 min read     Updated on 18 Aug 2025, 05:12 PM
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Reviewed by
Riya DeyScanX News Team
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Overview

Uttam Sugar Mills has announced September 12, 2025, as the record date for determining shareholder eligibility for the final dividend for FY 2024-25. The dividend, recommended by the Board of Directors, is subject to shareholder approval at the upcoming Annual General Meeting. The company has withdrawn its previous plan for a book closure period in favor of the record date approach. This decision aligns with SEBI regulations and demonstrates the company's commitment to transparent communication with shareholders.

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*this image is generated using AI for illustrative purposes only.

Uttam Sugar Mills has announced a significant update regarding its final dividend for the financial year 2024-25. The company has set September 12, 2025, as the record date for determining shareholder eligibility for the final dividend.

Key Points

  • Record Date: September 12, 2025
  • Purpose: Determining eligibility for final dividend for FY 2024-25
  • Previous Plan: Book closure period (now withdrawn)
  • Dividend Status: Recommended by Board of Directors, subject to shareholder approval

Dividend Payment Details

Uttam Sugar Mills has made this announcement in compliance with Regulation 42 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The company initially planned a book closure period from September 13, 2025, to September 19, 2025, but has since withdrawn this in favor of the record date approach.

Shareholder Approval and Payment Timeline

The final dividend, as recommended by the Board of Directors, is contingent upon approval at the upcoming Annual General Meeting (AGM). If approved by the shareholders, the dividend will be paid to all eligible shareholders within the prescribed time frame.

Corporate Governance

This move by Uttam Sugar Mills demonstrates the company's commitment to transparent communication with its shareholders and adherence to regulatory requirements. By setting a clear record date, the company ensures that all eligible shareholders are fairly considered for the final dividend distribution.

Shareholders of Uttam Sugar Mills should mark September 12, 2025, on their calendars as the crucial date for dividend eligibility. Those who are registered as shareholders of the company on this date will be entitled to receive the final dividend for the financial year 2024-25, subject to AGM approval.

Investors and stakeholders are advised to keep an eye out for further announcements regarding the AGM date and the final dividend amount, which will be crucial information for making informed investment decisions.

Historical Stock Returns for Uttam Sugar Mills

1 Day5 Days1 Month6 Months1 Year5 Years
+1.33%+4.97%-2.22%+4.11%-26.92%+196.18%
Uttam Sugar Mills
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