Forbes and Company Ltd
Industrial Machinery
FV – Rs 10; 52wks H/L – 2718.9/1552; TTQ – 16 K; CMP – Rs 2200 (As On November 21, 2019);
Market Cap – Rs 2838 Crs
Consolidated Financials and Valuations (Amt in Rs Crs unless specified)
Equity Capital |
Net worth |
Debt |
Total Sales |
PAT | BV (Rs) |
EPS (Rs) |
P/E |
P/BV |
Promoter’s Stake |
|
| H1 FY20 | 12.9 | 89 | 805 | 1450 | *-167.82 | 69 | -130 | – | 32 | 73.85 |
| FY19 | 12.9 | 264 | 868 | 2891 | -2.9 | 204 | -2.3 | – | 11 | 73.85 |
*In PAT of H1 FY20 , loss of Rs 150 Crs is recorded as Impairment of Goodwill in the subsidiary of the company Eureka Forbes Ltd.
Forbes & Company, a Shapoorji Pallonji group firm on Tuesday announced plans to list its subsidiary Eureka Forbes to unlock value for shareholders. (https://economictimes.indiatimes.com/markets/ipos/fpos/forbes-company-mulls-listing-eureka-forbes/articleshow/72125249.cms)
Management:
Mr. Shapoorji Pallonji Mistry is the Chairman of the Company
Mr. M. C. Tahilyani is the MD of the company.
Overview:
- Forbes is into precision tooling and an engineering services with a wide product portfolio supported by strong brands like TOTEM and BRADMA.
- The company has an attractive customer base who are few of the world’s large businesses in their transformational journeys for the last many decades.
- The Company leverages all these and its deep contextual knowledge of its customers’ businesses to craft unique, high quality, high impact solutions.
- We are also simultaneously expanding our global footprint further in Eastern and West Europe, few countries in North America and South East Asia.
- The main businesses of the Company is Engineering and Realty and through its subsidiaries Transaction Management Solutions, Water Purification, Transportation of Chemical through its owned Ships etc.
Shareholding Pattern:
67.67% of the promoter holdings are pledged. Earlier it was 9.5% In March 2019.
Major Non – Promoter Holdings:
| Non – Promoters | No. of shares held | % shares held | |
| INDIA DISCOVERY FUND LIMITED | 1148255 | 8.9 | |
| ANTARA INDIA EVERGREEN FUND LTD | 333146 | 2.58 |
Segment Results:
| Particulars | Segment Revenue | Segment Results | ||||
| FY18-19 | FY17-18 | % Change | FY18-19 | FY17-18 | % Change | |
| Health, Hygiene, Safety Products and its services | 2388 | 2318 | 3 | 58 | 29 | 100 |
| Engineering | 209 | 186 | 12 | 27 | 24 | 13 |
| Real Estate | 19 | 112 | -83 | 3 | 46 | -93 |
| IT Enabled Services and Products | 124 | 132 | -6 | 48 | 1 | 4700 |
| Shipping and Logistics Services | 114 | 81 | 41 | 2 | 0.2 | 900 |
| Others | 0.3 | 1 | -70 | -0.3 | -1 | -70 |
5 years price snapshot:
| Year | Open (Rs.) | High (Rs.) | Low (Rs.) | Close (Rs.) |
| 2015 | 1837 | 2399 | 1350 | 1451 |
| 2016 | 1601 | 2695 | 1078 | 1912 |
| 2017 | 1855 | 5290 | 1390 | 4802 |
| 2018 | 4890 | 4940 | 1801 | 2370 |
| 2019 | 2380 | 2550 | 1552 | 1936 |
Subsidiaries and Step down Subsidiaries of the company:
SHAPOORJI PALLONJI COMPANY LTD/ FORBES & COMPANY LTD
1.Eureka Forbes Ltd
- Aquaiginis Ltd
- Aquadiagnostics Water Research Ltd
- EFL Mauritius Ltd
- Euro Forbes Fianancial Services Ltd
- Euro Forbes Ltd
- Forbes Lux FZCO
- Forbes Lux International AG
- Lux International AG
- LIAG Trading & Invt Ltd
- Lux Aqua Paraguay SA
- Lux del paraguay S.A
- Lux Hungaria kft
- Lux Aqua Hungaria Kft
- Lux International Services & Logistics Ltd
- Lux Italia srl
- Lux Aqua Czech
- Lux Oesterreich GmbH
- Lux (Duetschland) GmbH
- Lux Norge A/S
- Lux Schweiz AG
2.Forbes Technology Ltd
3.SPSFL
4.Forbes Campbell Ltd
- Forbes Bumi Armada Ltd
5.Campbell Properties & Hospitality Ltd
6.Volkart Flemming Ltd
7.FBAL
Eureka Forbes Ltd:
Company had subscribed 50000 shares of Rs. 10 each . (Rs 25 crores infused in the EFL)
For every 100 new shares 7456 shares were allotted (100:7456) for a price of Rs 5010 per share.
Share Capital – Rs 3.7 Crs (FV – Rs 10)
Hence, Valuation = Rs 5010*0.37 = Rs 1853 Crs, which is one time Sales of Rs 1842 Crs.
