Buy transpek with sl 1430 closing basis cmp 1840 add till 1600 if breakout retesting stock do tgt 2050-2400-3000 also possible
ABOUT
Incorporated in 1965, Transpek Industry Limited is into the manufacturing and export of a range of chemicals servicing the requirements of customers from a diverse range of industries including Textiles, Pharmaceuticals, Agrochemicals, Advanced Polymers, etc.
KEY POINTS
Product Portfolio
The Co. manufactures chlorinated products for the supply of intermediates and specialty chemicals suitable for multiple applications consisting of Specialty Chemicals, Surfactants, Agrochemicals, Dyes, Polymers, and Pharma.
Market Position
The Co. is one of the largest players in Acid Chlorides that are used in making such polymers and plastics and is focused on maintaining and growing its business in this segment.
New Products
The Co. has introduced four new products under the chlorination chemistry. It also has few new products under pipeline in chlorine and non-chlorine chemistry, which will help the Co. to seize the upcoming opportunity in multi-synthesis products.
Revenue Distribution based on Application- FY22
Polymer - 60%
Pharma - ~13%
Specialty - 13%
Others - ~14%
Manufacturing Facility
The Co. has its plant located in Ekalbara in Gujarat. It has dedicated multipurpose and multiproduct plants spread over 100 acres with a total production capacity of 66,000 MTPA. It also has a facility to take up contract manufacturing and a job work facility for its customers to provide them with economically viable solutions.
Capex
The Co has primary approval for adding 450 metric tons p.m of alkyl and acid chloride on premise at Ekalbara (Gujarat), but it can only add up to 250 metric tons due to the current effluent or emission level norms. It has undertaken a Capex of Rs.35 Cr to replace an old plant for one existing product where demand is expected to be higher. The new plant will add capacity to the tune of 70% of the current plant capacity and will also allow the production of other products.
Geographical Presence
The Co. is amongst the leading global exporters from India since 1986 having long term relations with leading global chemical giants. It has a presence across 14 countries.
Geography Wise Revenue Split FY22
North America: ~61%
India: ~24%
Europe: ~11%
Rest of the World: ~4%
Project on Hold
Due to uncertainties in the aftermath of COVID-19, the new project undertaken through a wholly owned subsidiary of the Company Transpek Creative Chemistry Pvt Ltd, with investments of Rs. 120 Cr., has been put on hold and later decided not to pursue the project further.
R&D
The Co. spent 0.77% of total revenue in R&D in FY22 vs 1.21 % in FY21.
Focus
The Co. is focusing on broadening the market, value-added products and working closely with the current and potential customers. It has been working on expanding its customer base and geographical spread which will add to the overall business volumes in the coming period. Further, it is adding more Acid Chlorides and focusing on commercializing other products that are under development which will help to reduce concentration on Acid Chlorides.
ABOUT
Incorporated in 1965, Transpek Industry Limited is into the manufacturing and export of a range of chemicals servicing the requirements of customers from a diverse range of industries including Textiles, Pharmaceuticals, Agrochemicals, Advanced Polymers, etc.
KEY POINTS
Product Portfolio
The Co. manufactures chlorinated products for the supply of intermediates and specialty chemicals suitable for multiple applications consisting of Specialty Chemicals, Surfactants, Agrochemicals, Dyes, Polymers, and Pharma.
Market Position
The Co. is one of the largest players in Acid Chlorides that are used in making such polymers and plastics and is focused on maintaining and growing its business in this segment.
New Products
The Co. has introduced four new products under the chlorination chemistry. It also has few new products under pipeline in chlorine and non-chlorine chemistry, which will help the Co. to seize the upcoming opportunity in multi-synthesis products.
Revenue Distribution based on Application- FY22
Polymer - 60%
Pharma - ~13%
Specialty - 13%
Others - ~14%
Manufacturing Facility
The Co. has its plant located in Ekalbara in Gujarat. It has dedicated multipurpose and multiproduct plants spread over 100 acres with a total production capacity of 66,000 MTPA. It also has a facility to take up contract manufacturing and a job work facility for its customers to provide them with economically viable solutions.
Capex
The Co has primary approval for adding 450 metric tons p.m of alkyl and acid chloride on premise at Ekalbara (Gujarat), but it can only add up to 250 metric tons due to the current effluent or emission level norms. It has undertaken a Capex of Rs.35 Cr to replace an old plant for one existing product where demand is expected to be higher. The new plant will add capacity to the tune of 70% of the current plant capacity and will also allow the production of other products.
Geographical Presence
The Co. is amongst the leading global exporters from India since 1986 having long term relations with leading global chemical giants. It has a presence across 14 countries.
Geography Wise Revenue Split FY22
North America: ~61%
India: ~24%
Europe: ~11%
Rest of the World: ~4%
Project on Hold
Due to uncertainties in the aftermath of COVID-19, the new project undertaken through a wholly owned subsidiary of the Company Transpek Creative Chemistry Pvt Ltd, with investments of Rs. 120 Cr., has been put on hold and later decided not to pursue the project further.
R&D
The Co. spent 0.77% of total revenue in R&D in FY22 vs 1.21 % in FY21.
Focus
The Co. is focusing on broadening the market, value-added products and working closely with the current and potential customers. It has been working on expanding its customer base and geographical spread which will add to the overall business volumes in the coming period. Further, it is adding more Acid Chlorides and focusing on commercializing other products that are under development which will help to reduce concentration on Acid Chlorides.