Further, NLL has proposed to issue 3,00,000 preference shares of Rs 100 each aggregating to Rs 3 crore, in a bid to meet the working capital requirements of the company and to reduce the interest burden on the company. It is also proposed to issue these shares on a private placement basis, sources said.

To facilitate the preference shares issue, NLL is now increasing its authorised capital from Rs 6 crore to Rs 12 crore by dividing it into 60 lakh equity shares of Rs 10 each and 3 lakh cumulative redeemable preference shares of Rs 100 each and 3 lakh preference shares of Rs 100 each. Earlier, NLL received US-FDAapproval for its Salbutamol Sulphate manufacturing facility, which is one drug out of the five already filed by the company with the Drug Master File (DMF) for approvals. According to company sources, NLL has filed DMFs for Lebatalol, sotalol, terbutaline sulphate for US-FDA approval and it plans to concentrate on exports during the year. The company has targeted to achieve a export turnover of Rs 45 crore. Last year the company achieved a turnover of Rs 63 crore wherein exports accounted for Rs 31 crore.

The research division of NLL has already developed Cortico Steroids with the financial support from Technology Development Fund (TDF) and a soft lone from ICICI. Before 1999, NLL would be in a position to go in for commercial production of Cortico Steroids, sources added.

NLL which was established in 1984, has two manufacturing facilities, one at Bonthapally and other at Pashamylaram, near Hyderabad. As part of the expansion programme the company plans to expand its formulation facilities to manufactureSolatol, Eurofloxacin, Ranitidine, sources said.