Issue Open: July 13 – July 15,
2020
Price Band: Rs. 423 – 425
Issue Size: 11,676,471 eq shares
Rossari Biotech Ltd is one of the
leading specialty chemicals manufacturing companies in India based on sales for
Fiscal 2019 providing customized solutions to specific industrial and
production requirements of its customers primarily in the FMCG, apparel,
poultry and animal feed industries through its diversified product portfolio
comprising home, personal care and performance chemicals; textile specialty
chemicals; and animal health and nutrition products. RBL operates in India as
well as in 17 foreign countries including Vietnam, Bangladesh and Mauritius. It
is the largest manufacturer of textile specialty chemicals in India providing
textile specialty chemicals in a sustainable, eco-friendly yet competitive
manner. As a manufacturer of specialty chemicals, it focuses on functionality
and application of its products which form a key ingredient to its customer’s
manufacturing and industrial processes. It has focused on providing customised
solutions to its customers in a cost and time efficient manner. RBL’s success
is the result of sustained efforts over the decades in every aspect of its
business, such as product innovation, process improvements for its customer’s
production cycle, agile customised solutions, its sustainable ecofriendly portfolio
of products and increased scale of operations. RBL’s business operations have
been led by its Promoters and assisted by its experienced Key Managerial
Personnel who have over 80 years of experience in the specialty chemicals
industry cumulatively. RBL’s business is organized in three main product
categories – (i) home, personal care and performance chemicals; (ii) textile
specialty chemicals; and (iii) animal health and nutrition products. As on May
31, 2020, it had a range of 2,030 different products sold across the three
product categories.
Financials : The Company has posted Net Sales / Revenue of ₹600.09 Cr & Net Profit of ₹65.25 Cr in FY2020 and Net Sales / Revenue of ₹516.22
Cr & Net Profit of ₹45.68 Cr in FY2019 and Net Sales / Revenue of ₹299.06 Cr & Net Profit of ₹ 25.40 Cr in FY2018
.
Capital work
in progress is ₹21.75 Cr in
FY2020 compare to ₹2.83 Cr in FY
2019. EPS is 17.86 (FY 2020) & 20.8 (FY2019)
Valuations : We have Valued the Company
( Per Share ) based on earnings reported in FY 2020, which is valued at X1.44
of its Earnings at its highest offer price ₹₹ 425. Its Fare Value per Share is
₹295 based on FY
2020 earnings(We follow Earning Power Value Method )
Disclaimer :
We are / may going to take exposure shortly.
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Line | RHP |
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