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In order to recommend the best stock ideas to our members for their portfolios, our team does extensive research, goes through all the corporate announcements on daily basis and screens for various potential investment opportunities.
Through [Stocks to watch] email, we would like to share with you interesting stock updates we come across while performing our research. Hope you find them useful for your own investments or to add the stocks to your watchlist:
Asahi Songwon Colors – On 18th Apr'22 we came across an announcement by Asahi Songwon Colors regarding acquisition of 78% stake in Atlas Life Sciences, a manufacturer of bulk pharma ingredients (APIs) for Rs 48 crore.
Source: BSE India
Key highlights of the acquisition are as follows:
- Atlas has recorded Rs 119 crore sales in FY 22, Rs 8.64 crore EBITDA and PAT of Rs 4.34 crore
- It has fully operational WHO GMP certified manufacturing facility in Ahmedabad, 4000 sq. ft. R&D facility, 5000 sq. ft. corporate office, 15,000 sq. m. land parcel in Chhatral with EC permission for 32 products
- Asahi will acquire an additional 11% stake each year for the next 2 years based on performance metrics
- Atlas is leading manufacturer of anti-convulsant, anti-psychotic and anti-diabetic APIs
- Asahi intends to start setting up a greenfield project in Chhatral in Jul'22
As per the management, blue pigments business is providing the necessary free cash flow to deploy for growth opportunities like AZO pigments and now the acquisition of Atlas Life Sciences.
Mrs Bectors Food Specialities – On 19th Apr’22, we came across a disclosure by SBI mutual fund regarding their investment in Mrs Bectors Food Specialities.
Mrs Bectors got listed in Dec'20 around 600 odd levels. Since then the stock has halved to around current levels of 300.
In the announcement, SBI mutual fund mentioned about purchasing 33,00,330 shares of Mrs Bectors Food on 13th Apr’22.
With the purchase, SBI mutual fund's stake in Mrs Bectors has increased from 0.00% to 5.61%
Source: BSE India
Disclaimer: This is not a recommendation to buy/sell Asahi Songwon and Mrs Bectors Food. These updates are as announced by the companies on exchanges and only for the purpose of information and education.
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SEBI Research Analyst Registration No. INH100001690
Research Analyst Details
Name: Ekansh Mittal Email Id: [email protected]
Disclaimer: You can access it here - LINK
Whether the research analyst or research entity or his associate or his relative has any financial interest in the subject company/companies and the nature of such financial interest – No
Whether the research analyst or research entity or his associates or his relatives have actual/beneficial ownership of 1% or more securities of the subject company (at the end of the month immediately preceding the date of publication of the research report or date of the public appearance) – No
Whether the research analyst or research entity or his associate or his relative has any other material conflict of interest at the time of publication of the research report or at the time of public appearance – No
Whether it or its associates have received any compensation from the subject company in the past twelve months – No
Whether it or its associates have managed or co-managed public offering of securities for the subject company in the past 12 months – No
Whether it or its associates have received any compensation for investment banking or merchant banking or brokerage services from the subject company in the past 12 months – No
Whether it or its associates have received any compensation for products or services other than investment banking or merchant banking or brokerage services from the subject company in the past 12 months – No
Whether the subject company is or was a client during twelve months preceding the date of distribution of the research report and the types of services provided – No
Whether the research analyst has served as an officer, director or employee of the subject company – No
Whether the research analyst or research entity has been engaged in market making activity for the subject company – No