EASUN REYROLLE LTD.

Easun Reyrolle Ltd., previously known as Easun Reyrolle Relays and Devices was incorporated in 1974 at Hosur and commenced production in 1980. The company was promoted by the late K Easwaran, Hari Easwaran and associates with equity participation from Reyrolle Parsons (a division of Reyrolle), a wholly owned subsidiary of Rolls Royce Engineering, UK. The company is headed by chairman Hari Easwaran. The promoters have interests in Easun Engineering, Easun Products of India, Easun Investments, etc. It is having factories in Hosur(Tamil Nadu) and in Bangalore. In Oct.'95, the company came out with a Rs 7.1-cr rights issue (premium : Rs 100) to finance the modernisation and expansion of production capacity, for an R&D unit, for the manufacture of microprocessor-based relays and for long-term working capital. The company's product range includes relays and control panels. It is setting up a unit to manufacture microprocessor-based relays. The major customers of the company include BHEL, ABB, Siemens, S & S Power Switchgear, etc. The company has technical collaboration with Rolls Royce, UK (since May '75), to manufacture relays, relay test sets and relay tool kits. It entered into a licensing arrangement with Rolls Royce in Feb.'95 to exclusively manufacture microprocessor-based relays. Products manufactured by the company are being bought back by Reyrolle, UK. The company commissioned 2 225-MW wind energy turbines in Sep.'94, in Tamilnadu. It has taken steps to modernise the existing plant and machinery to improve productivity. It also proposes to strengthen the R&D wing and widen its product range. After its incorporation, the company had to delay commencement of operations due to delay in obtaining industrial licence. In 1987, the company was declared sick by BIFR and a scheme of rehabilitation was sanctioned in Apr.'90. In 1990, the company renewed its licence agreement with its collaborators, turned around and posted a net profit of Rs 70.36 lac in 1990-91. This improved to Rs 182.05 lac in 1993-94. The Central Electricity Generating Board (CEGB) has acknowledged Reyrolle's adherence to the highest engineering standards and Easun Reyrolle is stated to be on par with these exacting standards. In 1996 in order to expand production capacity and to commence manufacture of micro-processor based numeric relays, ERRDL has set up a seperate unit at Bangalore and commenced production at the new unit on 2nd May 1996. During the year company issued on Rights basis 6,45,715 equity shares of Rs. 10 each at a premium of Rs. 100 aggregating to Rs. 710.33 lacs. During the year 1997 company had declared bonus shares in ratio 1:1. The Company has a diversification/expansion plan for which company has purchased land at Jigani, near Bangalore. During 1997-98, the company received ISO-9002 accreditation from Electricity Association Quality Assurance Limited, UK (EAQA) for the quality systems in Hosur and Bangalore factories. The company has introduced a new protective Relay featuring microprocessor technology. The Overcurrent Feeder Relay has been fully designed and developed by the R & D team and has commercialised its production in the year 1999-2000.