Good set, margins maintained. (Due to tax though, but not much impact)
The long term advance of 9 cr is questionable or I am not aware of.
Overall Good set of numbers.
As for the Notes given-
The company is planning to acquire a NCLT company having similar line of business.
This will lead to expansion of production capacity - beneficial for the company.
Can you please share the financial impact this litigation could have on the company ? If you are aware about it.
Its around 10 crores.
Finally the news is here which we were waiting for. The NCLT order for the takeover.
This will enhance the capacity as well as the client base of the company.
cosmic order.pdf (4.3 MB)
Bulk deal - Cosmi CRF (Credits : Bulk deals daily log by Devesh Gaur)
Entering Entity: YUGA STOCKS AND COMMODITIES PRIVATE LIMITED
Entry Price: 371
Entry Quantity: 20,000 shares
This is a railways related business, so this might be late to the party, but does look statistically cheap at about 2X sales multiple. Definitely worth a look
Yuga appears to be trading entity…lots of trades in their Screener page…so would not give any credence to this.
In Nov 23, Cosmic got some small quantities of orders through tender form in one railway zone.
Of course it’s in very small quantities but the CosmicCRF is actively participating in local tenders also.
This acquisition seems to be a good move. Huge wagon orders lead to good earning visibility for cosmic and this acquisition may add more top line and bottom line.
@ca.ankitarathi Any views on Competition?
Who are its peers, how Cosmic is better than its peers?
Well didn’t look at the competitors very closely.
The exact competitors are all the companies who make CRF(Cold Rolled Formed ) steel products-
namely JSW steel, TATA Steel, JIndal Steel etc
Big order won by the subsidiary NS Engg of CosmicCRF.
Order value is 127 Cr
This sick N.S.Engg was acquired by CosmicCRF recently and now the management is delivering!?
CosmicCRF came with an investor presentation.
Key points:
Planning to Takeover companies.
Order Book- 504 Cr
Focus on Higher Margin Business
Targeting 100% growth in topline and bottom line.
Focussing on backward and forward integration
Working on to acquire Bogies, Coach body manufacturing plants?
FY24 topline of 254 crores with a 9%NPM.
My view on CosmicCRF:
Investor presentation link:
https://www.bseindia.com/stockinfo/AnnPdfOpen.aspx?Pname=21641fc8-a593-41c6-b9b6-00766736b1e4.pdf
With thanks
Be and Make
@Be_and_Make
CosmicCRF came with good numbers.
37% growth in Top line 172% in bottom Line and 100% in EPS.
Management walks as per their talks. (100% growth)
CosmicCRF came with a detailed Investor presentation.
Management’s aggression for growth is clearly visible.
He is having Very in-depth knowledge about wagon manufacturing.
Investor presentation:
bseindia.com/stockinfo/AnnP…
Watch the full video:
My observations:
Out of 85 Cr (raised in preferential) - 26 Cr still in hands.
More acquisitions on cards!
They planning to acquire amzen transport through NCLT, If they succeeded in it then definitely they get good opportunity for wagon manufacturing (As it had all RDSO approvals)
They are also planning to make some technical collaborations with Russian Railway wagon manufacturer. It is still in initial stages and if it happens they will have some additional advantage (when compared to Titragarh or Jupiter). Of course it’s too early to make any assumption as the management clarified that just initial meetings completed but so far they have not made any agreements.
As management guided, they are going to become a complete wagon manufacturer and the demand for wagons (up to 2030) is very huge.
So far management is walking as per their talk. Let’s see what they will do in future.
With thanks
Disc: Invested (My views may be biased as I am holding this, plz do your own research)
Money is stuck in inventory and receivables. Has anyone here done work on cash flows? Would appreciate any views.
NCLT Verdict summary:
Key Issues:
Cosmic CRF Limited (Applicant) challenged their disqualification as a Resolution Applicant and the forfeiture of their ₹1.50 crore earnest money deposit.
Myotic’s Current Status:
Highest bidder with:
Final bid: INR 272.15 Crores
NPV: INR 255.28 Crores
Part of consortium with Fortune Global Solutions Limited
Unconditionally accepted Challenge Mechanism Framework
Raised concerns about Cosmic’s eligibility.
Main Developments:
Court’s Decision:
Partly allowed the application
Found violation of natural justice principles as the Applicant wasn’t given opportunity to respond to new grounds of ineligibility
Directed:
Resolution Professional and CoC to give Applicant fair opportunity to respond Matter remanded to CoC for reconsideration Applicant to be allowed to present justification regarding eligibility criteria
The court emphasized the importance of following proper procedures and maintaining natural justice principles in the insolvency resolution process.
Procedural Challenges:
Limited time to respond to multiple allegations Need to address findings from two professional agencies Complex multi-layered verification process Multiple grounds of ineligibility to contest Navigating CoC’s decision-making process
Legal Challenges:
Proving eligibility under four sections of 29A:
Section 29A(a)
Section 29A(c)
Section 29A(h)
Section 29A(j)
Addressing all legal aspects simultaneously Meeting burden of proof requirements
Immediate Actions:
Prepare comprehensive response to reports dated 18.10.2024 Gather all supporting documentation Request formal hearing before CoC Maintain EMD status and rights
Engage with Resolution Professional for process clarity
Legal Strategy:
Utilize court’s favorable order on natural justice
Focus on addressing all four sections (29A a, c, h, j)
Present structured defense against each allegation
Maintain rights in Swiss Challenge Mechanism
Keep legal options open for future recourse
Documentation Preparation:
Compile corporate structure evidence
Gather ownership and control documentation
Prepare management credentials
Collect financial records
Organize compliance certificates
Address concerns of all committee members:
UCO Bank (53.31% voting share)
Prudent ARC Limited (41.12%)
WLD Investments (5.57%)
Process Participation:
Continue participation in resolution process Maintain eligibility for Swiss Challenge Mechanism Keep the bid position active
Follow procedural requirements
Meet all compliance needs
Counter-Strategy:
My conclusion:
Disc: Had holding
With thanks
