VIPUL ORGANICS LTD (530627) - STOCK OF THE WEEK

Today I am expressing my view on one Specialty chemical stock.

Vipul group of companies laid its foundation stone in the year 1968, beginning with manufactures of Pigment Powder, Pigment Dispersion, Leather Dyes, Naphthols, Fast color bases, Fast color salts & Dyes intermediates.

 Vipul Organics Ltd.  Previously known as Vipul dyechem Ltd. a public limited company in 1994 under his able leadership, vision and whole hearted dedication. The company has managed to become one of the largest manufacturers of pigments and pigment dispersions in the country.The passion and burning desire to give innovative, yet affordable solutions to the customers and unrelenting dedication to serve quality products has made Vipul Organics Ltd. a trusted name with the clients.

The continued growth and expansion led to formation of several subsidiary plants. However, one thing remains common across the plants is strict adherence to quality norms, compliance of statutory formalities and industry best practices.The company currently serves clients across broad spectrum of industries ranging from Textile, Paint, Printing Ink, Cosmetics & Food Industry, Plastic and several other industries and has presence in both local and international market. In fact, if you need colors of any type, for any industry, Vipul Organics Ltd. will serve the par excellent quality, guaranteed!It is due to these high standards that Vipul Organics Ltd. continues its journey of growth even in its fourth decade and will do so for many more decades to come!

PRODUCTION FACILITIES

Equipped with the state of the art production facilities, VDCL is geared to cater to ever increasing and diversified needs of its vast customer base.

Company have 6 factories in all, spreading in close proximity to Mumbai. With the latest equipment such as the Glasslined Vessels,SS Reaction Vessel,Rotory Vaccum Dryer,Spinflash Dryer,Membrane Press,Spray Dryer,Dyno Mill and many more, we are ready to scale our operations to suit our client's demands at shortest notice.

 PALGHAR

Conveniently located at just 80kms from Mumbai, we have 3 factories at Palghar with facilities to manufacture products such as OrthoDianisidine(Di Hcl), OT Base,5COT(Red TR) ,Fast Bases, Vat Dyes & Pigment Intermediates.

Latest technology, experienced personnel and skilled labor are trained to deliver the exact requirements of our clients within the stipulated time frame.

TARAPUR

At a stone's throw distance from Palghar and about 100kms north of Mumbai, is Copmapany's  another unit that specializes in manufacturing Pigment Powder and Pigment dispersions.

AMBERNATH

Facilities at Ambernath is equipped with innovative tools and skilled man power to produce the best Naphthols, Pigment powders, Pigment dispersions, Reactive dyes, Acid dyes & Direct dyes. Ambernath is just about 60 kms to the south of Mumbai and is well connected to Mumbai by rail and road routes.

AHMEDNAGAR

In this unit, Company producing Herbal Extracts, to be used as Dietary supplement. This is the latest Diversification of VDCL into Pharmaceutical Industry. Geographically, Ahmednagar lies 260kms to the south of Mumbai.

NEW EXPANSIONS

Industrial land in Gujarat has already been acquired by us for future expansions into Dyes & Pharmaceutical Industry.

PRODUCTS

Pigment Powders,Pigment Dispersions,Reactive Dyes,Direct Dyes,Acid Dyes 

Above products Pigments are sold under the brand of SUNTONE®. SUNPRINT® SUNCOAT® pigments are also available in High performance range having an excellent fastness property. Vipul Organics Ltd. is a Manufacturer & Exporter of Dyestuffs like Pigment Red, Pigment Yellow, Pigment Green, Pigment Blue, Pigment Orange, Pigment Red 112, Pigment orange 16. This is mainly used in Paint,Textiles & Rubber Industries.

       

  

Naphthols The Fast Colour Bases are very widely used in Textile Industry. Dyeing with Naphthols Fast Bases are more economical even compared to Reactive Dyes. Maroon, Blue, Yellow obtained with these products are not possible with any other Dyestuff. The Fastness Property of these products is excellent. Light Fastness is almost as good as 6-7 almost nearer to the Vat Dyes. Fast Colour Bases are also very widely used for African Print / Wax Print.

Food Colors & Lake Colors - Food color & Lake colors are produced by Company's associate concern Standardcon Pvt. Ltd., New Bombay. The factory is FDA INDIA Certified. Colors are also approved in USA & Mexico. Along with the regular colors, Company manufacture popular blends such as Tomato Red, Mint Green, Apple Green, Toffy Brown, etc. We can also produce the blends as per the requirement of the customers.

Vipul Organics manufactures both water-soluble as well as water insoluble Colors.

Herbal Extracts - A word that possess a magical touch. It nurtures, nourishes, nitrifies life. With an aim to provide raw material that extends the rich heritage of herbal remedies we, at Shree Ambika Naturals Pvt. Ltd., enable healing. It is a flagship company of Vipul Organics Ltd. Main Products include

·       Herbal Extracts

·       Natural Colors, Food colors, Lake Colors

·       Phytochemicals

·       Oleoresins and Essential oils.

RESEARCH AND DEVELPOEMENT

Continuous research, innovation, lean structure and 100% commitment to our clients underlines the quality policy we have in place at Vipul Organics Ltd. Transparency at all the stages and proper maintenance of records enables us to adhere to our quality policy at all times.

Company procure only the basic raw material from reputed suppliers. Most of the processes are carried out in house to ensure that our customers always get the same high quality products.

It enables us to avoid delays and always deliver as per the client's schedule.

Thus, able to supply the best quality at optimal price and maintain the delivery schedule.

At Vipul Organics Ltd. customer is the king and  leave no stone unturned to keep the customers delighted. 

Not just that, Vipul Organics also have pilot plant facility, where in check the overall viability of the newly developed products to ensure seamless commercial production.

Company website : Click here

Company shares are trading in BSE. Promoter holding in the company is 57.63%.

 (Increased from Dec Qtr)

Company posted 12.63 Cr top line with over 6 % operating margin & Net profit is 0.33 Cr in the Dec qtr.

Stock is trading low PE as compared with its major peers.

Stock is trading at Rs 105.

Company is mainly doing business in the field Dyes & chemicals these products are used widely in Textiles,Rubber chemical industries, Paper industries, Dyes & Chemicals, Food and Coloring industries. 

As the Chemical sector especially Specialty Chemicals is evergreen, Company's latest products on Herbal Extract and Food colors are having huge demand across the globe. Considering above facts this stock will give multiple returns to the investors.

NOTE : THE ABOVE IS NOT A RESEARCH REPORT NOR A RECOMMENDATION  BUT INFORMATION AS AVAILABLE ON PUBLIC DOMAIN. 

Registration status with SEBI: I am not registered with SEBI under the (Research Analyst) regulations 2014 and as per clarifications provided by SEBI: “Any person who makes recommendation or offers an opinion concerning securities or public offers only through public media is not required to obtain registration as research analyst under RA Regulations”

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