Gayatri BioOrganics was once a straightforward manufacturer of starch and its derivatives, operating two plants in South India and selling to industrial customers across the country. That entire business was sold in a single slump sale to Bluecraft Agro Private Limited, a deal agreed in 2016 and completed in August 2019, and since then the company has had no operating revenue. Today it is a listed shell with three employees, kept alive on a going-concern basis by a comfort letter from its promoters while it searches for a new course of action.
Business segments
One discontinued engine that no longer exists - starch manufacturing was the company's entire business, and its sale left behind a corporate entity with no operations.
1. Starch manufacturing: the business that was sold
The company made starch, modified starches, liquid glucose and sorbitol from maize at two factories, then sold the entire undertaking in a single transaction that ended all operations.
- Two plants in South India - Unit 1 sat on the national highway at Nandi Kandi Village in Telangana's Medak District, while Unit 2 was in Balabadrapuram Village, East Godavari District, Andhra Pradesh; together they formed the company's business undertaking of manufacturing and selling of starch and its derivatives, which was sold via slump sale completed on 14 August 2019.
- Maize in, multiple products out - the process turned maize into starch, modified starches, liquid glucose, sorbitol and their allied products, with the company also developing customised applications for value-added starch derivatives to serve different industrial needs.
- A single operating segment for discontinuing operations - management viewed the discontinuing operations as one unit called "Maize Processing and its sales in India," reflecting how the entire discontinuing operations related to that one segment.
- Distribution weighted to the south - the company had a wide distribution network across India, but its reach was particularly strong in South India, close to its manufacturing base.
- Sold, not wound down - in November 2016 the company signed a Business Transfer Agreement with Bluecraft Agro Private Limited to sell the entire business as a going concern on a slump-sale basis; the deal closed on August 14, 2019, after conditions were met, and all employees transferred with the business.
Group structure and partners
The company is a standalone entity with no subsidiaries or joint ventures, controlled by a promoter group that has pledged to support its survival while it looks for a new business.
- Promoter-held and promoter-backed - the promoter group owned 68.40% of the equity as of March 2020, with T.V. Sandeep Kumar Reddy as the largest individual shareholder; the promoters have provided a comfort letter that allows the company to prepare its accounts on a going-concern basis despite having no operations.
- No corporate family tree - the company has no subsidiaries, joint ventures or associate companies, making it a simple, single-entity structure with no operational entanglements.
- A leased roof over its head - the registered office in Hyderabad is rented from Deep Corporation Private Limited, a related party that shares a common director, under a lease that began in May 2017.
- A capital reduction on the horizon - in April 2026 the board announced a meeting to consider a Scheme of Reduction of Share Capital, signalling a restructuring of the balance sheet as the company continues to explore its next move.