Oricon Enterprises Ltd
Speciality Chemicals
FV – Rs 2; 52wks H/L –73.80/39.25; TTQ – 1.24 Lacs; CMP – Rs 63 (As On July 11th 2016; 12.00);                                 

 Market Cap – Rs 989.40 Crs

Consolidated Financials and Valuations for FY16 (Amt in Rs Crs unless specified)

Equity Capital	Net worth	Long Term Debt	Total Sales	PAT	BV (Rs)	EPS (Rs)	P/E	Industry P/E	P/BV	Promoter’s Stake	Beta
31.41	644	183	1169	18.67	41	1.19	52.94	5.53	1.54	66.96	–

 

Consolidated Financials and Valuations for Q4 FY16

Equity Capital	Net worth	Total Sales	PAT	BV (Rs)	TTM EPS (Rs)	TTM P/E	Industry P/E	P/BV	Promoter’s Stake	Beta
31.41	644	272	-2.30	41	-0.15	–	5.53	1.54	66.96	–

 

Valuation Parameters:

1. Long Term Debt to Equity – 0.28
2. ROE % – 2.9
3. Market Cap/Sales – 0.85

Clearwater Capital Partners exits its investment in the company by selling around 4.4% stake through open market.

India Holdings buys 1 Crs shares of Oricon Enterprises Ltd at Rs. 64.5 per share from the promoters as on March 2015.

http://www.moneycontrol.com/news/buzzing-stocks/india-holdings-buys-1cr-sharesoricon-enterprises_1334656.html

Indiabulls Real Estate Limited has announced that Tapir Realty Developers Ltd, a 100% subsidiary of the company, has entered into a joint development agreement with Oricon Properties Pvt. Ltd in which saleable property to the company will be 67000 sq.feet and 30% of the topline which the company expects to be around 650 – 700 Crs.

http://www.indiainfoline.com/article/news-top-story/indiabulls-real-estate-inks-pact-with-oricon-116060300807_1.html

Oricon Enterprises buys 70 per cent of Oriental Containers for Rs 105 crore

         (Marine logistics company Oricon Enterprises Ltd (OEL) has acquired 70 per cent stake in Oriental Containers Ltd (OCL) from its joint venture partners OC Holding Ltd, Mauritius, at a consideration of Rs 105 crore. With this, OCL has become, OEL’s 100 per cent subsidiary.)

http://articles.economictimes.indiatimes.com/2015-03-30/news/60644242_1_united-breweries-105-crore-united-spirits

 

Key Updates:

The company Owns about 1 acre land at prime location in Worli, Mumbai.

Subsidiaries:

1. Oricon Properties Pvt.Ltd – 100% Subsidiary (Holds about 2 acre land at Worli, Mumbai, Land parcel adjoining India Bulls Blu & Near Four Seasons Hotel, Worli, Mumbai)
2. Oriental Containers Ltd – 100 % Subsidiary (Market leader with experience of over 5 decades in Indian caps and closures Industry with well established brands across user industry and Strong presence across Globe through exports to ~40 countries)

The company manufactures complete range of Caps and Closures. During FY15-16 the company manufactured as follows:

Plastic Closures	Annual Capacity (mn)
Plastic – CSD Caps	3400
Plastic – wf/hf Caps	400
Plastic – Water	1200
Metal Closures	Annual Capacity (mn)
Crown Caps	9216
Ropp Caps	1800
Twist off Caps	140
Aluminium Tubes	120

 

3. United Shippers Ltd – 59.05 % Subsidiary (India’s Largest Marine logistics company handling Dry Cargo. Operates at 8 minor ports across 3 states with Fleet size of more than 300 equipments. Bought back shares of existing shareholders, increasing OEL holding to 59.05% from 50.19%)

Logiscor Ltd (Scorpio Group) holds 10.88% in USL and Mr. Vallabh Bhansali holds 8.18% in USL through family investments.

Year	Volume Handled (Million MT)	Revenue (Rs.Crs)	% gain in Revenue
FY10	6.3	162
FY11	1	240	48
FY12	7.8	312	30
FY13	11.9	402	29
FY14	12.9	380	-5
FY15	12.6	412	8

Minor ports contributing ~44% of total traffic in FY15

4. Shinrai Auto Services Ltd – 100 % Subsidiary (Exclusive dealer of Toyota cars in South Mumbai. It Operates 2 showrooms in Nariman Point and Worli)

Financials of Subsidiaries:

Particulars	Sales (Rs.Crs)		Net Profit/ Loss (Rs.Crs)
	FY15	FY14	FY15	FY14
Oricon Properties Ltd	0.06	0.08	-0.07	-0.03
Oriental Containers Ltd	394	315	13.48	3.6
Unites Shippers Ltd	544	484	80.38	42.49
Shinrai Auto Services Ltd	337	246	-0.24	-1.49

 

Overview:

• Oricon Enterprises Ltd is engaged in business of manufacturing of pentanes, liquid colorants, pet bottles and coal briquettes, which is a fuel product for industries.
• The Company operates in four segments, which include petrochemicals, trading, liquid colorants and pet bottle.
• The Company is the flagship company of Parijat Enterprises and is in real estate, marine logistics, packaging, petrochemicals and automobile dealership.
• The company has manufacturing facilities at Khopoli, Maharashtra for Pentanes & Murbad, Maharashtra for PET Bottles
• The company owns 1 acre at Worli which it plans to re-develop for residential and commercial purposes.

Particulars	(Rs.Crs)
Segment Revenue	FY15	FY14	% gain/loss
(a) Logistics	393	528	-26
(b) Automobiles	308	332	-7
(c) Packaging	406	117	247
(d) Petrochemical	28	34	-18
(e) Trading	27	23	17
(f) Liquid Colorants	3	1	200
(g) Others	7	13	-46
PBIT
(a) Logistics	18.28	110	-83
(b) Automobiles	-2.78	5.15	-154
(c) Packaging	30.25	7.11	325
(d) Petrochemical	2.69	2.6	3
(e) Trading	0.53	0.48	10
(f) Liquid Colorants	0.02	-0.2	-110
(g) Others	-0.56	0.03	-1967

 

Management:

• Mr. S. J. Taparia – Chairman
• Mr. Rajendra Somani – MD
• Mr.Pramod Sarda – CFO

 

Major Non-Promoter Holdings:

Sr.No	Non – Promoters	No. of shares held	% of shares held
1	LIC	2874491	1.83
2	NAF India Holdings Ltd	10169813	6.48
3	Shree Venkatesh Metal Packs Pvt Ltd	5172790	3.29
	Total	18217094	11.6

 

Unquoted Investments by Oricon Enterprises:

Particulars	No. of Shares	FV	FY16	FY15	Cost per share
Investment in Equity Instrument
Investment in Subsidiary :			(Amt Rs.Crs)		(Rs.)
Shinrai Auto Services Ltd	7000000	10	7	5	10
Oricon Properties Ltd	6120000	10	159.4	159.4	260
United Shippers Ltd	2969552	10	195.4	195.4	658
Oriental Containers Ltd	10820836	10	136	–	126

 

Consolidated Financial Trends (In Rs. Crs) :

Particulars	FY16	FY15	FY14	FY13	FY12
Equity Paid Up	31.41	31.41	31.41	31.41	31.41
Networth	644	632	596	578	545
Total Debt	376	354	186	172	136
Net Sales	1169	1081	913	1020	1007
Other Income	7	33	27	28	34
PAT	18.67	43.25	21.73	34.75	38.58
Book Value (Rs)	41	40	38	37	35
EPS (Rs)	1.19	2.75	1.38	2.21	2.46