Thread by @NiveshakBharat

🟡Journey of #RossariBiotech

🟦Brief Summary Covered on

🛑Business Origination
🛑Promoter Background
🛑Place of Operations (HQ)

👉Did you Know?

HPCC stands for Home, Personal Care & Performance
Chemicals

(1/n)

#BharatSahni

#KnowYourCompany

🌞Business Origination

👉2 Chemical Engineer Friends - Edward Menezes & Sunil Chari pursued MBA together 30 Years ago to land up finally on the terrain of Entrepreneurship as Partners

👉Commenced Specialty Chemicals Business on March 6 2003 in the name of Rossari Labtech

(2/n)

👉Subsequently, on December 5, 2003, the name of the Partnership Firm was changed to Rossari Biotech

👉Rossari Biotech is a leading & fast growing Enzymes & Specialty Chemicals Manufacturer focused on 3 Verticals
☑️Textiles
☑️Animal Health & Nutrition
☑️HPCC

(2/n)

👉Company has a range of 2030 different Products sold across the 3 Product Categories while Operating in 17 Countries globally

👉An ISO 9001:2015 certified Manufacturing facility in Silvassa stands as a heart beat of Company churning around 150 tonnes of Enzymes/Day

(3/n)

👉Company is the largest Manufacturer of Textile Specialty Chemicals in the Country providing Products in a sustainable, eco-friendly yet competitive manner

👉It manufactures majority of its products at Silvassa & is setting up another Manufacturing facility at Dahej

(4/n)

👉It has 2 R&D facilities– 1 at Silvassa & 2nd in Mumbai

👉It has pan-India Distribution Network through 204 Distributors & 17 Countries including Vietnam, Bangladesh & Mauritius

👉It caters to various Customers needs across FMCG Apparel, Poultry & Animal Feed Industries

(5/n)

👉Company stands amongst 1 of the few Companies in the Sector credentialed with a Department of Scientific & Industrial Research (DSIR) Certification

👉Research facilities encompass Application Labs for Textile& Polymer Applications & Microbiology Labs for Enzyme Research

(6/n)

👉In Fiscals 2020, 2019 & 2018- Revenue from Sale of Textile Specialty Chemicals products represented 43.71%,52.13% & 71.54% respectively of its Revenue from Operations

👉Revenue, Operating Profit & Net Profit grew at a CAGR of 32%,63% & 67% respectively from FY17 to 20

(7/n)

👉Rossari Biotech Customers in the HPCC category include
🟢RSPL Limited (Ghadi Detergent)
🟢IFB Industries
🟢Hindustan Unilever
🟢Panasonic India
🟢BSH Household Appliances Manufacturing
🟢CICO Technologies
🟢Rentokil Initial Hygiene India
🟢Millennium Papers

(8/n)

👉Key Milestones

🟢1996-Edward M & Sunil Co-founded Rossari

🟢2006-Accorded the status of One Star Export House

🟢2007-Received ISO Certification 9001:2000 & 14001:2004 for Silvassa Plant

🟢2008-Awarded Corp Excel 2008 National MSME from a list of 27000 Companies

(9/n)

🟢2011-Shifted to New Office Premise (23000 SQ ft) at Akruti Corporate Park, Mumbai
🟢2012-JV with German based BUZIL-WERK Wagner GmbH for cleaning Chemicals
🟢2015-Acquired 12.75 Acres land at Dahej for a new Facility Setup
🟢2018-Exclusive Business Partnership with HUL

(10/n)

🟡PROMOTER BACKGROUND

👉Edward Menezes is the Executive Chairman of the Company. He was previously associated with Clariant India. He has over 25 years of Experience in the Specialty Chemicals Industry & more than 10 years of Experience in different roles within Company

(11/n)

👉 Sunil Chari is the Managing Director of our Company.

He is a founder of the Company.

He has over 20 Years of Experience in the Specialty Chemicals Industry & more than 10 years of Experience in different roles within the Company.

(12/n)

🟢New Kid on the Bourses

👉Company launched its IPO on July 13th & finally put an end to 4-month of inactivity for IPOs due to COVID-19 in the Domestic Markets

👉Company decided to raise Rs 496.25 Cr by selling 1.16 Cr shares at Rs 423-425 per Equity Share, as per DRHP

(13/n)

👉IPO Proceeds will be used for Debt Repayment

👉IPO consists – a fresh issue & an OFS by 2 Promoters
Each of them selling 52.5 Lakh Shares

Issue Size11,682,033 Equity Shares of Rs 2

Offer for Sale-10,500,000 Equity Shares of Rs 2

(14/n)

👉After the Share Sale, Total Promoter Shareholding will stand at 73% from Current 95%

👉Company raised about 100 Cr from Equity at a Fixed Price of Rs 425/Share in February 2020 as part of a pre-IPO Placement

(15/n)

👉Allotment included some Schemes of

🟢IIFL Special Opportunities Fund
🟢Mirae Asset MF
🟢Axis New opportunities AIF
🟢ICICI Lombard
🟢Sundaram MF

👉In the DRHP Company has shown Aarti Ind, Vinati Organics, Atul, Galaxy Surfactants & Fine Organics as its listed peers

(16/n)

👉Rossari Biotech made Stellar Street debut today & settles 77% above Issue price on NSE

👉Stock listed at Rs 669.25/Share on NSE up 57.47% from its Offer Price of Rs 425

(17/n)

👉Stock eventually settled at Rs 752 on NSE registering a whopping 76.94% jump from Issue Price

(18/18)