Author: CP

Patels Airtemp India, which manufactures heat exchangers, pressure vessels, industrial fans and blowers and other heattransfer-technology products, would benefit from the ongoing boom in its user industries such as oil and gas, refineries, power, cement, and fertilisers. The heating, ventilation and air conditioning (HVAC) business, where the company undertakes turnkey projects and manufactures HVAC equipment is also expected to benefit from the ongoing retail boom.

The company has a healthy order book of Rs45 crore, out of which Rs40 crore is executable over the next six months.expect new order booking of~Rs70 crore in FY2008, which should increase to ~Rs120 crore by FY2009, while the momentum is expected to continue considering the current buoyancy in its user industries. (more…)

Citigroup in a research report released just a while ago has recommended investors to SELL Grasim Industries Ltd with a medium Risk Rating.

In an effort to rationalize capacity, Grasim is selling its 53.63% stake in Shree Digvijay Cement (SDC) to Cimpor of Portugal. Even after the sale of this standalone 1.07m tpa plant in Gujarat, Grasim+UltraTech will have ~6m tpa of capacity in that state. Grasim has sold the SDC plant in Gujarat to rationalize its portfolio. This is an old, standalone plant with relatively lower margins (~19% in 1H FY08) and limited scope for expansion. (more…)

JK Cement is expanding its capacity by 3.5 million metric tonne (MMT) through a greenfield plant at Karnataka, which will be accompanied by a 50-megawatt (MW)
power plant at the site. The capital expenditure (capex) programme is in progress and the plant is expected to be commissioned by FY2009 end. This will augment the capacity of the company by 70% in FY2010 and will drive the volumes of the company going ahead.

JK Cement’s capex on captive power plants (CPPs) is progressing well. The company has already commissioned a 20MW pet coke based power plant and has replaced its 10MW turbine. It has partially implemented the (more…)