Forensics and the art of triangulation

Adding to the curious case of Nibe Limited .

What got me excited to even research on this company was the fact that it was in the Defense Sector and as with the case with any micro cap companies in the space it is a black box but I strongly believed that the markets know something which I do not considering its astronomical rise in the market price…

My intention of writing this post is to post the facts which I have collected on this is micro - cap company

Background

  • 2005 - Incorporated as Kavita Fabrics Private Limited in the business of textiles

  • 2012 - IPO of the Company ( DRHP ) . Promoters Mr. Harish Chandak, Mr. Shailesh Chandak, Mrs. Sarika Chandak
    and Mrs. Sudha Chandak . As per the DRHP company was owning 36 jacquard power
    looms back in 2012

  • 2012- 2019 : Revenues recorded a peak of maximum 11 cr in 2015 and dropped to 2cr in 2018-19 as per Screener . Share price languished between Rs.13 to Rs.6 in the same period . Mr Ganesh Nibe acquired approx 22% in the company from the open markets during the period

  • 2019 : Mr Ganesh Nibe along with wife Mrs. Manjusha Nibe acquired the entire promoter stake in the erstwhile company Kavita Textiles from the Promoter Group.
    Refer Link

Networth of Mr Ganesh Nibe as of March 2019: Rs.17.54 Cr
Networth of Mrs Manusha Nibe as of March 2019 : Rs.5.21 Cr

  • 2020 : Company renamed to Nibe Limited . Nibe Limited transformed itself into a proclaimed business of Precision Fabrication for Defence Production, Electrical Vehicles and BVM RC&F , The share price continued to increase from 2021 till date with corresponding increase in the Revenues but CFO still being negative

The thing which looked too good to believe was that how did a company which was just shifting itself from Textiles and now transitioning to Defense industry was so quick to gain into the Defense space which is one of the most dificult industries to break into

  • 2022 The company share price rose from Rs. 6 in 2019 to Rs. 300 per share but unfortunately the Mr. Ganesh Nibe and his family members are defaulting on loans and their properties are being attached by the Union Bank . Refer Business Standard article dtd 12th Dec 2022 .

The ironical thing is the apartment 402 Violet Dream Citi, Nashik referenced in 2019 link where Mr Ganesh Nibe & Mrs. Manjusha Nibe are living is also attached in the E-Auction of the property. It is extremely surprising that a promoter whose business was flourishing has his residential house auctioned along with multiple other properties.

  • 2023
    Jan : Preferential Issue at Rs. 365
    September: Preferential Issue at Rs. 510
    August : Resignation of Mrs Manjusha Nibe from WTD ( Ironically Resignation letter still references the Violet Dream Citi Apartment as her address )
    August : Resignation of Statutory Auditors ( Appointed in 2022 for a term of 5 years ending 2027. Resigned in 2023 )
    Oct : Resignation of Senior Management ( Mr. Vishnoo K Prathap Chief Innovation Officer
    / Mrs. Jasleen Kaur Arora Head SCM )
    Oct : Resignation of CEO ( Mr. Sachin Raosaheb Shinde ) . New CEO Mr. Balakrishnan Swamy in the appointment letter states as a person with rich background in aerospace with experience at Boeing, USA, and as a Founder in defense systems manufacturing . Refer Linkedin bio
    Nov : Anshuni Commercials Limited into gems & jwellery acquired by Mr Ganesh Nibe , Mrs Manjusha Nibe & Nibe Limited. ( Whether they would follow the same fate as Kavitha Textiles ? )
    Dec : Resignation of Company Secretary Priya Pandey

Additional Fun Fact

Nibe Defense and Aerospace Office in Defense Tech Park in Bangalore from Google Images . Look at the the logo

Things which do not align with the rest of the story

Rishikesh Doijode as CTO of Nibe Defense and Aerospace

Knowledge Partner of Maharashtra MSME Expo for 2024 . Money and politcal connections can buy anything

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