About the Company:
Yasho Industries is engaged in manufacturing of Aroma Range Chemicals, Food Antioxidant Range Chemicals, Lube Range and Rubber Range Chemicals and various Speciality Range Chemicals.
Company has 2 manufacturing units located close to each other at Vapi, Gujarat and they are certified by ISO 9001:2015.
They market, sell and distribute their wide range of products to diverse customers based in India and abroad. Over the years Company has established their sales network both in domestic and international markets.
Company is engaged in manufacturing of varied chemicals catering to various industries. Company manufactures chemicals in varied ranges i.e. Aroma Range, Food Antioxidant, Lube Range, Rubber range and Specialty Range chemicals.
Aroma Chemicals manufactured by the Company are mainly used in Personal Care Products, Cosmetics & Toiletries segment. Food Antioxidants are used in a wide range of Food Blends.
Company’s products are exported to various countries i.e. USA, South America, Europe, Iran, Australia, South Africa, Singapore, Germany, Asia. etc.
Overview of the Company:
Details of Various Products Manufactured by the Company are as Follows:
Aroma Range Chemicals – They manufacture various chemicals like fatty esters and Natural Essential/ aroma oils which caters to gamut of Personal Care, Cosmetics & Toiletries, Flavors & Fragrances and Pharmaceutical segments.
Food Antioxidant Range Chemicals – Company manufactures TBHQ (Tertiary-butyl hydroquinone), BHA (Butylated Hydroxy Anisole), AP (Ascorbyl Palmitate) and various complementary antioxidants which are used in various food products.
Lube Range and Rubber Range Chemicals – Company manufactures additives which include Aminic Antioxidants, Molybdemum based Extreme Pressure & Anti Wear Additives and Corrosion inhibitors and chemicals like Benzotriazole and Tolytrizole which are required by the Petroleum and Synthetic Lubricants industry.
Company also caters to leading processors of rubber in the Auto Ancillary, Tyre Industry, Construction, Industrial Machinery and White Goods sector.
Speciality Range Chemicals – Company manufactures various Specialty Chemicals used in different segment of industry such as Electroplating chemicals, Intermediates for API/Bulk Drugs, UPR Resins/ Fibre Composites Resins, Thermoplastics Urethanes (Polyurethanes), Printing Inks & Agrochemicals etc.
Proposed Capacity Utilization:
Revenue Contribution from Domestic & Exports: (in Lakhs)
Management Team:
- Mr. Parag Jhaveri (Designation: Chairman & Managing Director)
- Mr. Vinod Jhaveri (Designation: Whole-time Director)
- Mr. Yayesh Jhaveri (Designation: Whole-time Director)
Promoters Average Acquisition Cost:
| Name of the Promoter | No. of Shares held | Average Acquisition Cost (in Rs.) |
|---|---|---|
| Mr. Vinod Jhaveri | 24,79,300 | 10 |
| Mr. Parag Jhaveri | 5,80,000 | 10 |
| Mr. Yayesh Jhaveri | 6,90,000 | 10 |
Promoters Stake Pre & Post Issue:
| Shareholder Name | Pre Issue Stake (%) | Post Issue Stake |
|---|---|---|
| Promoters | ||
| Mr. Vinod Jhaveri | 24.79% | 22.75% |
| Mr. Parag Jhaveri | 5.80% | 5.32% |
| Mr. Yayesh Jhaveri | 6.90% | 6.33% |
| Promoter Group Entities | 61% | 38.27% |
| Total | 98.49% | 72.67% |
Objectives of the Issue:
Offer for Sale (OFS): (Around Rs.20 cr)
- Company will not receive any proceeds of the Offer for Sale by the Selling Shareholders.
Fresh Issue: (Around Rs.8.99)
- Part financing of the expansion and up-gradation project at their existing manufacturing facilities at Vapi,Gujarat.
- General Corporate Purposes
IPO Details:
| Details | Info |
|---|---|
| Issue Opens on | 19th March 2018 |
| Issue Closes on:. | 21st March 2018 |
| Issue Price | Rs.100 |
| Face Value | Rs.10 |
| Minimum Lot | 1200 |
| Minimum Investment | Rs.1,20,000 |
| Issue Constitutes | 26.60% |
| Issue Size | Rs.28.99 cr |
| Market Cap | Rs.109 cr |
| Listing at | BSE SME |
| Equity Shares Offered (Fresh) | 8,99,200 |
| Equity Shares Offered (OFS) | 20,00,000 |
| Equity Shares Offered (OFS + Fresh) | 28,99,200 |
| Equity Shares Prior to the Issue | 1,00,00,000 |
| Equity Shares after the Issue | 1,08,99,200 |
Future Growth Strategies to be Implemented by the Company:
Expansion of Manufacturing Facility:
As part of the expansion project, Company proposes to increase the installed capacity by 450 MTPA and 1,500 MTPA in Unit I and Unit II respectively. As a result, the increased installed capacity at the Manufacturing units is 2,950 MTPA and 4,500 MTPA in Unit I and Unit II respectively.
Diversifying and increasing penetration in markets:
Company will seek to grow its marketing reach domestically to explore the untapped markets and segments as part of its strategy to mitigate market risk and widen growth prospects.
Company will continue to explore opportunities in various countries where it can supply value added products to enhance its geographical reach.
Financials of the Company:
| (in Crores) | FY 13 | FY 14 | FY 15 | FY 16 | FY 17 | 30th Sept 17 |
|---|---|---|---|---|---|---|
| Revenue | 119.26 | 157.02 | 171.34 | 180.08 | 198.39 | 109.58 |
| Net Profit | (-3.85) | (-1.47) | 0.06 | 1.52 | 3.67 | 1.95 |
Valuation of Peer Group Companies:
| Company Name | Face Value | EPS | PE Ratio | RoNW | NAV |
|---|---|---|---|---|---|
| Yasho Industries Ltd | 10 | 3.67 | 27.28 | 21.23% | 1.73 |
| NOCIL Limited | 10 | 7.42 | 12.65 | 20.22% | 36.30 |
| Himadri Speciality Chemical Ltd | 1 | 1.94 | 22.50 | 7.52% | 25.77 |
| Amines & Plasticizers Ltd | 2 | 2.81 | 14.18 | 26.50% | 10.62 |
Subscription Details:
| (Subscription-Category-Wise (no. of times) Till time : 06:00 PM) | Shares Offered | Day-1 | Day-2 | Day-3 |
|---|---|---|---|---|
| HNI | 13,75,000 | 0.49 | 1.39 | 1.80 |
| Retail | 13,75,000 | 0.013 | 0.085 | 0.40 |
| Others | 1,48,800 | 0.00 | 0.00 | 0.016 |
| Employee | ——– | —– | —- | —– |
| TOTAL | 28,99,200 | 0.22 | 0.70 | 1.05 |
IPO Valuation Parameters:
| Earnings Per Share (EPS) | Price To Earnings ratio (PE) | Return on Net Worth (RoNW) | Net Asset Value (NAV) |
|---|---|---|---|
| 3.67 | 27.25 | 21.23% | 1.73 |
Markets Guruji Opinion:
| IPO View | Apply For: | Expected listing Gain: |
|---|---|---|
| Subscribe | Long Term | 5% |
| Check IPO Allotment Status: |
|---|
Bigshare Website (Click on the below Link)http://www.bigshareonline.com/bssipoapplicationstatus.aspx |
| Company Contact Info: |
|---|
| Yasho Industries Ltd Office No. 101/102, Peninsula Heights, C. D. Barfiwala Marg, Juhu Lane, Andheri (West), Mumbai – 400058. Tel No: +91 – 22 – 6251 0100 Fax No: +91 – 22 – 6251 0199 Email: info@yashoindustries.com Website: www.yashoindustries.com |
| IPO Registrar Info: |
|---|
| BIGSHARE SERVICES PRIVATE LIMITED 1st Floor, Bharat Tin Works Building, Opp. Vasant Oasis, Makwana Road, Marol, Andheri (East), Mumbai – 400 059 Tel. No.: +91 – 22 – 4043 0200 Fax No.: +91 – 22 – 6263 8299 E-mail: ipo@bigshareonline.com Investor Email: investor@bigshareonline.com Website: www.bigshareonline.com |
| Lead Manager to the Issue: |
|---|
| ARYAMAN FINANCIAL SERVICES LIMITED 60, Khatau Building, Ground Floor, Alkesh Dinesh Modi Marg, Fort, Mumbai – 400 001 Tel No.: +91 – 22 – 6216 6999 Fax No.: +91 – 22 – 2263 0434 Email: info@afsl.co.in Website: www.afsl.co.in |
