ANG Industries - Turn Around Story

This company was screened on CNBC TV-18 few months back as a turn around company and I have been tracking it since then. I invested in it a year back at Rs.41.

OVERVIEW: ANG is an India based multifaceted manufacturer of automotive components for HCV applications and components and weldments for off-highway applications. The Group is a leading manufacturer and service international OEM’s across North America, South America and Europe.
ANG began its journey in 1991, and since then has evolved as a leader in the automotive and off-highway space. It is also one of the biggest Indian player making trailers & tippers, and special vehicles and has now also ventured into manufacturing of weldments for off-highway applications. Besides, ANG also does heavy fabrication for power plants and non-power fabricated structures.

In a span of 25 years, from a single manufacturing unit, we now possesses 5 manufacturing facilities across India.

ANG has developed core competencies along the value chain like manufacturing, warehousing solutions and an unparalleled supply chain capability. Apart from India, ANG is fully able to service its OEM customers in North America and Europe.

It is a turnaround engineering company and if you see four of its verticals: it is into automotive, body building for tapers and trailers, agri side and heavy fabrication. The company witnessed a turnaround by reporting a net profit of almost Rs 1.8 crore, compared with a net loss of Rs 2 crore in the year-ago quarter. In my view, this company can report a EPS of almost Rs 8 per share this year.

Dec’15 and Sep’15 results were great. Quaterly EPS at 4.59. Finally turned around in June quarter. Jun Eps at 2.5. Companies debt is high compared to its equity. Again if we look at the company this is a just Rs 70-crore odd crore market capitalization.

The company’s ultimate buyers are companies like Volvo overseas and Ashok Leyland here in India.

The Company has received the first Purchase Order for manufacturing and supply of ‘Boss Load Body’ for LCV from Ashok Leyland Limited.

However, since its a very small company, the risk always remain high. The company constitute 1% of my portfolio and hence I do not plan to increase it further at the current stage. It will be great to have more insights if anyone from the group is tracking this company.

Any reasons for sudden fall in price


what i have heard is that their factory has been closed by Pollution board in Feb. And the company is reeling under fixed costs. This might need to losses in results.

Trying to find information on this from delhi pollution board site.

the valuation though looks really compelling.

There is a huge drop in promoter holding from 46.24% in Dec 15 Qtr to 38.84% in Mar 16 Qtr.

This is one area of concern.

2 out of the 3 promoters have pledged a huge number of their shares. Second red flag.

This needs to be explored further before making a call.

Views of esteemed group members.


ANG is continuously down and promoter selling on continuous basis. Any idea what future holds for this company ?

There is very limited information available on the web on Ang Industries. There is an AGM on 1st September on debts reductions, lets see what comes out of it. As quoted in the original message since the company is very small, the risk remains very high in such potential turn around stories.

I recently increased my weightage in this stock by .25%, currently invested 1.25% of my portfolio in it. Risk is too high and hence once needs to be careful. I plan to hold it for 3-5 years depending on the AGM and next 3-4 quarters.

Company’s Reply -

Disclosure - Holding the original investment and do not plan to invest further.

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