Pyramid Technoplast Limited is an industrial packaging visitor engaged in the merchantry of manufacturing polymer based molded products (Polymer Drums) mainly used by chemical, agrochemical, speciality chemical and pharmaceutical companies for their packaging requirements. They are one of the leading manufacturers of rigid Intermediate Bulk Containers (IBC) in India manufacturing 1,000 litre topics IBC. They moreover manufacture MS Drums made of summery steel (MS) used in the packaging and transport of chemicals, agrochemicals and speciality chemicals.
OBJECTS OF THE ISSUE
- Prepayment or repayment of unrepealable outstanding borrowings.
- Funding working wanted requirements of the company.
- General corporate purposes.
KEY MANAGERIAL PERSONNEL
1. Bijaykumar Agarwal
Managing Director & Chairman of the Company. He has been associated with the Visitor since 2002. He has over three decades of wits in packaging industry. He looks without various functions in the Visitor such as finance, raw material procurement, consumer servicing, and merchantry development.
2. Jaiprakash Agarwal
Whole-time Director & Chief Financial Officer of the Company. He has been associated with the Visitor since June 2003. He has over 19 years of wits in the packaging industry. He looks without various functions in the Visitor such as manufacturing, finance, accounts, sales & marketing and merchantry development.
3. Madhu Agarwal
Whole-time Director of the Company. She holds a bachelor’s stratum of commerce from the Calcutta University. She has been associated with the Visitor since May 2006. She has over sixteen (16) years of wits in human resource compliance and administration.
4. Chandrakant Joge
e Visitor Secretary and Compliance Officer of the Company. He looks without the overall corporate governance and secretarial matters of the Company. He has an wits of increasingly than seven years.
COMPANY PROFILE
- The Visitor use wrack-up molding technology to manufacture Polymer Drums and IBCs. Injection molding technology is used for manufacturing caps, closures, bungs, lids, handles, lugs, etc. for in-house use. Their products are marketed and sold under the trademark name “Pyramid”.
- The visitor started commercial production in the year 1998 in Unit I. Presently, they have six strategically situated manufacturing units out of which four (4) are in Bharuch, GIDC, Gujarat and two (2) are situated at Silvassa, UT of Dadra and Nagar Haveli. The seventh (7) manufacturing unit is under construction at the Bharuch, GIDC, Gujarat proximal to the existing six units.
- The total installed topics of their Polymer Drum manufacturing units is 20,612 MTPA. The total installed topics of their IBC manufacturing unit is 12,820 MTPA and the total installed topics of MS Drums unit is 6,200 MTPA.
COMPETITIVE STRENGTHS
- Diverse consumer base. Comprehensive product portfolio.
- Strategic location of their manufacturing units.
- Quality Standard Certifications & Quality Tests.
- Experienced Promoters and senior management team.
KEY STRATEGIES
- Continued focus on Intermediate Bulk Containers (IBC) by expanding their existing facilities.
- Continued focus on Polymer Drums and Summery Steel (MS) drums.
- Explore organic growth opportunities to increase topics and business.
- Exploit industry opportunities welling out of the current geo-political situation and government policies.
KEY CONCERNS
- Unsecured loans of 205.39 lakhs taken by the Visitor from lenders can be recalled at any time. Polymer including polypropylene and polyethylene is the primary raw material consumed by the Company. Polymer is a derivative of transplanted oil and any substantial increase in price of transplanted oil or subtract in the supply of polymer could materially adversely stupefy the Company’s business.
- Their Merchantry has substantial working wanted requirements. They require significant value of working wanted for purchasing key raw materials which they procured from domestic and international suppliers.
- The visitor has experienced negative net mazuma spritz from operating activities in the past . The visitor squatter competition from various domestic manufacturers and traders.
- Any ban on polymer based packaging by the Government of India may stupefy the business.
COMPARISON WITH LISTED INDUSTRY PEERS (AS ON 31ST MARCH 2023)
FINANCIALS (RESTATED CONSOLIDATED)
Pyramid Technoplast is a well-established player in the plastic packaging industry with a proven track record of financial performance. The visitor has a strong trademark presence and a wide consumer base, and it is moreover expanding its operations. It has strategic locations for its manufacturing units.
However, the visitor faces some risks, such as competition from new entrants, fluctuations in the price of raw materials, and changes in government policies.
Additionally, the visitor has experienced negative mazuma spritz in the past. Nevertheless, the IPO is fairly priced at a P/E of virtually 16.24x. Thus, without considering all these factors, high-risk investors may wield for this IPO.
DISCLAIMER:
The information contained herein are strictly confidential and are meant solely for the information of the recipient and shall not be unsimilar in any way, transmitted to, copied or distributed, in part or in whole, to any other person or to the media or reproduced in any form, without prior written permission of Swastika Investmart Ltd. (“SIL”). The contents of this document are for information purpose only. This document is not an investment translating and must not vacated be taken as the understructure for an investment decision. Surpassing taking any visualization to invest, the recipient of this document must read thoughtfully the Red Herring Prospectus (“RHP”) issued to know the details of IPO and various risks and uncertainties associated with the investment in te IPO of the Company. All recipients of this document must surpassing vicarial on the given information/details, make their own investigation and wield self-sustaining judgment based on their specific investment objectives and financial position. They can moreover seek towardly professional translating from their own legal and tax consultants, advisors, etc. to understand the risks and investment considerations welling from such investment. The investor should possess towardly resources to unriddle such investment and the suitability of such investment to such investor’s particular circumstances surpassing making any decisions on the investment. The Investor shall be solely responsible for any whoopee taken based on this document.