Laxmi Organic Industries Limited IPO Message Board (Page 33)

PE = 64
Price to book = 7.6x

----- Valuations with Assumptions ----
DCF Valuation - Rs.108
EPS Valuation(w/o Margin of Safety) - Rs.103(w/ PE as 40)

---- Litigations ----
- Agreement issue on the production of Alcohol in Complainant''s facility
- Failure in providing wages to employees for overtime
- Dispute over Power Consumption losses charges with Maharashtra State Electricity Distributor
- Rs.15Cr Outsanding due over Tax
- CBI and ED has a case against one of the Director Bundellu(ex. deputy MD of IDBI bank), who is one of the Accused in the Vijay Mallaya case with IDBI bank for cheating in the process of granting the loan to Vijay Mallaya

---- Reason for Listing ----
- Investment in YCPL for its capital expenditure => Rs.60Cr
- Investment in YCPL for its working Capital => Rs.37Cr
- Expansion of SI manufacturing facility => Rs.91Cr
- Working Capital of Laxmi Organic => Rs.35Cr
- Purchase of Plant, Machinery for SI Facility => Rs.12.5Cr
- Payment of outstanding Borrowings of Laxmi Organic and VLPL => Rs.179Cr
- General Corporate Purposes => not more than 25% of Rs.500Cr

---- Market Growth ----
- Indian Acetyl(Ethyl Acetate) market = up by CAGR 6.6% in the next 5yrs
- Indian Special Intermediates = up by CAGR 10% in the next 5yrs
- Indian Acetic Anhydride market = up by CAGR 6% in the next 5yrs
- Indian Diketene market = up by CAGR 6% in the next 5yrs
- Indian Fluorochemicals market = up by CAGR 8% in the next 5yrs

---- Business ----
- Manufacturer of
=> Acetyl Intermediates - used in Flexible packaging, Pharma API, Adhesives, Printing Inks
=> Special Intermediates - used in Food Flavours, Cosmetics, Pigments, Dyes
- Acquired Assets & patents to get into the Fluorochemicals market
- Exports chemicals to customers across 30 countries
- Has Storage tanks in different countries to provide products in a shorter span
- Has 2 Manufacturing Facilities - One for Acetyl and one for Special intermediates
- Two Distilleries to manufacture Etanol
- 50% of power requirements are fulfilled by their own Power Facilities
- Two R&D facilities to work on Diketene and New products and anticipation of one more R&D for FluoroChem
- 26% stake with CleanWin to get 50% of their power to Laxmi Organic
- Group Companies:
=> Maharashtra Aldehydes and Chemicals Limited
=> Suvas Holdings Limited
=> Yellowstone Chemicals Private Limited
=> Merton Finance and Trading Private Limited
=> Sherry Exports Private Limited
=> Brady Investments Private Limited


---- Comments ----
- Laxmi Organic has a 30% market share in India for Ethyl Acetate
- Laxmi Organic has a 55% market share in India for Diketene (in terms of revenue)
- In process of acquiring YCPL to extend the market share of Ethyl Acetate
- 20% of revenue is from Exports
- Out of Revenue = 55% is from Acetyl and 30% is from Special intermediates
- 25% of revenue is from top 10 customers(standalone)
- Revenue on Industry-wise split up
=> Pharma - 35%
=> Agro - 14%
=> Pigments - 15%
=> Printing & Packaging - 8%
=> Other - 9%
=> Distributors - 26%
- 70% of raw materials are imported
- overall Fundemantals doesnt show growth but stable over the yrs
- All the Financial ratios ROE, ROCE, Debt-Equity, Current and Quick are good for the company

Lots of pending litigations against promoters. Kindly avoid this IPO.

What is the litigation? Please let know me

- Agreement issue on the production of Alcohol in Complainant''s facility
- Failure in providing wages to employees for overtime
- Dispute over Power Consumption losses charges with Maharashtra State Electricity Distributor
- Rs.15Cr Outsanding due over Tax
- CBI and ED has a case against one of the Director Bundellu(ex. deputy MD of IDBI bank), who is one of the Accused in the Vijay Mallaya case with IDBI bank for cheating in the process of granting the loan to Vijay Mallaya

Good show on day1.

Wild fluctuations in Gmp.
90-95.
🍸🍹

Laxmi IPO share Quota as per DRHP::
QIB-50%
NII-15%
Retail-35%

Anchor Investors - Some good names : Nomura, ADIA, Goldman, Malabar, White Oak, Thelme India; White Oak and Malabar had also come in Pre IPO Investors
8 Foreign Portfolio Investors, 5 Mutual Funds, 2 Life Insurance companies

Laxmi has better anchor book than Anupam and Craftsman.

With GMP showing a jump, is this worth to harvest some listing gain? Still not applied as I am bit confused

ANIKET SIR,
plz suggest me . i have 6 PAN,
PLZ TELL
2 LOT IN 3 PAN,
OR
1 LOT IN 6 PAN,
WHICH HIGH PROBABILITY OF ALLAOTMENT

Pan means toilet pan ?

It''s always advisable..
One lot per PAN in highly oversubscribed IPOs.

Thanks.

what is NII portion in this IPO

thanks in anticipation

15%

PNB ASBA NOT SHOWING LAXMI IPO IN LIST WHY??
KAB TK AAYEGA PNB ME?

Please tell me what is too quata

Applied for one lot. Lottery again.

Laxmi Organics looks more promising than other 2 ipo''s (Anupam & Craftsman) with good gmp support

6/6
Already done
GMP 125-139

hi, plz suggest me . i have 6 PAN,
PLZ TELL
2 LOT IN 3 PAN,
OR
1 LOT IN 6 PAN,
WHICH HIGH PROBABILITY OF ALLAOTMENT

apply one lot each in 6 pans

In case of oversubscription, it''s always good to follow 1 pan 1 lot startegy.

Heavy subscription can be seen here.
Retail category got subscribe within hour.

Allotment will b tough once again.

PNB me laxmi org. Show nahi ho raha.
How to apply??

wait they add

I have two queries:
I have applied through zerodha with UPI. The status shows as ''Request Pending''.
How much time does zerodha takes to process the bid? Does it mean that zerodha delays
the processing of the bid?

I have applied multiple lots in single bid? Does it reduces chances of getting allotments if more lots are applied?

Thank you all !!

always single bid good.
dont apply multiple lots in single application .

want more chances to allotment , simply apply with your family or friends accounts too.

Upi se apply karne par cancel ho jata hain.
Kaise hota hain can anyone tell.

PNB me laxmi org. Show nahi ho raha.
How to apply??

I''m a new member please help me...
Thinking to apply with 3 different account but same upi...

Don''t use same upi Id otherwise the two applications will be rejected