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Forbes and Company Ltd

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Forbes and Company Ltd

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.

 

 

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