Agro Phos enters MOU with Som Distilleries

Agro Phos India Limited has entered a Memorandum of Understanding (MOU) with Som Distilleries Private Limited for long term supply of Spent wash ash.

The said MOU is valid till March 31, 2024. The Spent wash ash shall be used as a raw material of new FCO Product ‘Potash derived from molasses K20-14.5%'.

The company has already obtained license from Farmer Welfare & Agriculture Development Department in this regard. It is the leading manufacturer of this product in Madhya Pradesh.

With this project, the company’s revenue and profitability is expected to increase approximately by 10-15 per cent on an annual basis.

For the quarter ending September 2019, the company’s revenue grew marginally to Rs. 13.6 crores from Rs. 13.5 crore on YoY basis. However, the PAT jumped by 218 per cent to Rs. 1.05 crores from Rs. 0.33 crores in Q2FY19.

Agro Phos India Limited is engaged in the manufacturing of fertilizers such as Single Super Phosphate (SSP), Nitrogen Phosphate and Potassium (NPK), Zinc Sulphate, Organic manure and Calcium Sulphate commonly known as soil conditioner or gypsum.

On Tuesday, the stock of Agro Phos closed at Rs. 125.05 on NSE. On Wednesday, it opened at Rs. 125.20 and  it surged to Rs. 125.80 in the early morning session.