Makes Rs 26-crore payments towards TDS, PF
Elder Pharma has made major pending statutory payments of TDS, provident fund, ESIC and Maharashtra Labour Welfare Fund (MLWF). These payments amount to around Rs 26 crores, the company said in a release. According to a PTI report, the company plans to clear the backlog of other payments very soon.
Elder is also in talks to raise fresh funds through a combination of debt or debt-cum-equity in order to improve its cash flow and performance. Going forward, the company is embarking on a major price revamp supported by an aggressive national expansion campaign in order to garner a larger share in the domestic market. More than 40 per cent of Elder’s revenue is likely to come from its global business.
Elder Group is targeting a turnover of about Rs 1,000 crore from its Indian and international operations by FY2017. The company’s cash flow cycle was affected for a larger part of FY2014-15 resulting in payments getting delayed to its various creditors and government bodies.
In view of the growth in sales of its pharma and over the counter (OTC) products recently, the company is anticipating regular cash infusion which will contribute to its working capital, regular expenses and debt retirement needs.
EP News Bureau – Mumbai