Principal MF bought 21 lacs shares of Kesar Petro yesterday… Check BSE bulk deal
Continuous Lower Circuits… Latest Quarterly results have also been postponed and no further dates have been given…
ASPIRE EMERGING FUND bought 9,00,000 shares of
KESAR PETROPRODUCTS LTD at Rs. 50.75 today…
Would appreciate if you can provide the URL (Link) to this News.
aspire emerging fund this name is a red flag for me , see their history
Aspire emerging fund is really a red flag. Their previous holding includes Shilpi cables, Kaveri Telecom, A2Z infra, Euro ceramics, Rainbow papers etc.
All of these companies had very bad track record of corporate governance and majorly been bad investment for minority. One should be very careful while entering the counter.
Have heard from many people regarding poor quality of their plant and around AGM (there was no one).
Promoters stake has been increased from 31.03% in June-2017 quarter to 63.85% in Sep-2017 quarter end.
Is this a positive signal ?
It’s more than meets the Eye… 2 Non Promoters have been classified as Promoters in the latest Qtr… Hence the SHP has changed… There hasn’t been any buying by the Promoters…
Which application is this yembee its is giving quite concrete fundamentals picture in one go
Kesar Petro’s capacity utilisation as per investor’s presentation…
CPC Crude - 32%
Alpha Blue - 37%
Beta Blue - 10%
Dye Intermediaries - 39%
The company is moving to value added products such as Alpha Blue and Beta Blue, wherein CPC Crude is the raw material. The current realisations are CPC Crude @ Rs.80/- per Kg, Alpha Blue @ Rs.200/- per kg and Beta Blue @Rs.140/- per kg.
I believe there is lot of headroom for growth in coming years.
But then in the 1HY 17-18, the company has started some expansion work too and the value of CWIP is shown to be Rs. 12 c. Any idea what is this ongoing expansion for when there is quite a significant unused capacity available to the company? Moreover, the company has claimed to be facing the shortage of working capital and because of which capacities are not being fully exploited, then why this expansion?
Disc: Holding small quantity
The co. debottlenecked its alpha blue capacity from 80 tpm to 125 tpm. Its not an expansion though. The co. was a BFIR case and hence cant raise fresh funds from banks.
When one reads the Annual Report, the major reason for under utilisation is Working Capital. Future accruals can be intelligently used for working capital requirements and thus increase in capacity utilisation. Revenue can go upto 4 times accordingly.
Disc: less than 3%. Closely tracking for further addition.
The company has in addition to sales, other operating revenue of Rs. 1315 Lac in 2016-17 as against just 42 Lac in 2015-16 any idea of this revenue stream? Also If you see the FY16-17 Annual report of Shreyas Intermediate, Note3 giving details of Long term Borrowings, as per this note a Long term advance of Rs.7261 Lacs has been received from Kesar Petroproducts Ltd. This I couldn’t trace in Kesar Petro Financials of FY 16-17. Request you to help me on this item.
As per ongoing restructuring of Shreyas a large part of this item is going to be written off and for balance equity shares of Shreyas will be allotted to Kesar Petro.
Kesar Petro declared very good numbers.
Aspire Emerging Fund sold 7 lakh shares, or 0.7 percent equity at Rs 44.04 each on 20.Feb.2018.
Source: Bloomberg Quint
Nice post @Yogesh_s
Companie’s history needs more pondering I think, I recently went through the Companie’s AR and have some doubts(some of them have been listed already, but I am including them again)
- Company says that it creates capacities for itself faster than industry standards that too at a comparatively lower cost-----How
- They say that they will reach 700cr by topline within next 2years-----need to know how, what is their strategy going forward.
- CPC is the main building block for the company, needs further digging like what is their dependence on crude price, are they able to pass the prices to the customer. Company had profited from 2014(since new magmt) but that was the same time when crude prices fell and further there is no chance for that and on the contrary it is expected to increase from hereon, so what impact will it have on their margins, management says margins will increase how?
- All top 10 shareholders came through warrants that too in Fy17, it is coincidence or something else----like no one from the current top 10 share holders held the stock before Fy17.
- Why Aatur Harshad Mehta was given with the shares on the first place, company did not find 1 reputed investor in place of him?
- Two people(Shruti and Shreyas sharma) have around 32% of share holding and company has shown them as public share holders when they wanted and now they have included them in promoter shareholding----why so, and how can they do that, I know so as to meet the mps requirement but is it the way to be done really? I dont think so.
- Dinesh sharma has one more company called Shreyas industries which is a loss making company but it is in same field as of the kesar. How come 2 industries within same sector be so different, like one making loss and one is making very good profits, that too with exactly same management running both? Shreyas industries has also defaulted the debt payment of 90cr.(source valuepicker as written by yogeshji)
- Their Ar has many forward looking statements and projections, but company has provided little about their strategy, what is their plan going forward,who is exactly leading the company and some product specific stuff.
- Company is buying assets from Shreyas intermediates Ltd(SIL), is it a right buy at a right price or something at a overvaluation, so as to cover the loss in SIL----needs more digging in this front.
- What is their USP or so called Moat(if any)
- CEO of the company Mohit Kaushik who is paid only Rs 3 lakhs per year.
and CFO Srinivasan paid only 6 lakhs and company secretary Ajay Rajkotia is only paid 90k .As per company’s Ar, cammon that cant be real? there is definitely something fishy.
These are the point which need more pondering and study. Company looks too good to be true to me and if things play out well then who knows we can see a good run, but I doubt promoter integrity(they can be innocent and situation might have been hard on them too, I dont know), hence need answers to the above questions.
Disc- No position, but interested to add some
I’ve tried contacting their investor relations cell through email but no response received even after 2 months. Rating reports from CRISL and ICRA says management not cooperating hence they withdrew rating. Not sure what is happening in the company.