Manishji: It appears that Aksh is a company whose time has finally come...This was supposed to happen around 16 years ago...the dot com / internet boom of 2000 also saw a boom in communication cable laying in USA...perhaps in anticipation of such a boom, the promoter Dr Kailash Chaudhry ventured hugely into optical fiber cable business..
In india from 2000 onwards there was a boom in cell phone / telecom and internet usage but sadly the required optical fibre demand did not materialize in that period...but instead of foraying into real estate / infra the promoters of Aksh kept improving the company by expanding capacity, doing backward integration and focussing on various factes of the same business - more particularly becoming leaders in production of FRP rods and also FTTH (Fibre to the home)...another foray in a field similar to FTTH was the e kiosk business in Rajasthan.
Another noteworthy aspect of aksh has been that capacity expansion has been undertaken in a slow and steady manner without adding much of debt...therefore, now that optical fibre cable demand has finally come to India due to Digital India / smart cities / 4g / FTTH / and e governance..Aksh has some unique features which will serve as atleast a temporary moat (for 5-7 years)..
1) it is fully intergrated Optical fibre cable manufacturer focussing solely on this business and having developed considerable expertise and reputation and supplying quality goods to a host of big guys..
2) It has very less debt and that combined with backward integration makes it a low cost producer of Optical fibres
3) Its capacity expansion is perfectly time and will enable the company to grow rapidly...while there is no significant capacity addition by other two players Vindhya and Birla Ericcson..