Meghmani Organics Ltd is a Leading Diversified Chemicals Company with significant presence worldwide. The company strong customer base includes prominent MNC’s, and the company geographical reach extends to more than 75 countries globally.
Meghmani Organics manufacture three broad categories of Agrochemical products, namely, pesticide intermediates, technical and formulations.
Profile of Meghmani Organics Ltd
Meghmani’s is a leading diversified chemical company poised for growth across its two (Pigment and Agro Chemicals) high potential businesses. Across the two sectors, the Company is one of the leading global pigment players along with a vertically integrated Agro Chemical player.
The Company operates 6 facilities in Gujarat, 3 major facilities for Pigments and Agro Chemicals each. Over the years, the Company has built an extensive pan‑India and global footprint with a presence in over 75 countries and a portfolio of over 400 marquee clients.
- Website : www.meghmani.com
- E-mail id : helpdesk@meghmani.com
The Company continues to strengthen its stance to become one of the leading diversified chemical companies in Organic Chemistry aiming for worldwide presence and product acceptability. The Company has set up world class development centre to facilitate upgrading technical capabilities and cost‑effective measures.
The Company has well‑balanced plant capacities and layouts with multiple locations that support the economy of scale. Meghmani constantly explores more possibilities for backward integration and try to implement them. This helps sizably in eliminating the dependency on input supplies and the Company can convert effluents into valuable by‑products.
- Revenue: ₹ 1,637 Cr
- Market Cap: ₹ 2,912 Cr.
- Dividend Yield: 0.00 %
- ROCE: 18.2 %
- ROE: 16.0 %
- Face Value: ₹ 1.00
- Promoter holding: 51.4 %
- Debt to equity: 0.22
- Price to book value: 2.48
The Company has a strong pool of product basket. The product reach and distribution too, are well diversified geographically with a presence in almost every continent, empowering consistency in products off‑take all throughout the year.
The company agrochemical products find primary application in Crop Protection, Veterinary, Public Health and Wood Protection. Within Pigments, the company specialize in green and blue pigments, which have varied end use applications in printing inks, paints and coatings and plastics. Most of company products are exported and about 75% of our revenues come from exports.
The company R&D Centre, managed by a team of highly qualified and knowledgeable professionals, is recognized by the Ministry of Science and Technology.
Meghmani Organics Ltd is amongst the top 3 Phthalocyanine Pigment players globally and among the Top 10 producers of pesticides in India, with a rich products portfolio across the entire value chain.
The commissioning of ongoing capex and upcoming growth projects in Agrochemicals and
Pigments divisions, and the prudent capital allocation policies – are the pillars for ambitious growth plans.
The company has 6 multifunctional ISO 9001 and 14001 certified production facilities with a wide range of products and backward integration of key raw materials, located in Gujarat, India’s prime Chemical belt and having proximity to key ports.
The company has three Pigment manufacturing facilities at Vatva, Panoli and Dahej SEZ in the state of Gujarat. Safety is the integral part of all processes and an utmost care is taken by an efficient team of professionals in all the plants.
Meghmani Organics Limited is the largest manufacturers of Phthalocyanine-based pigments, with 14% global market share, and amongst top 3 (capacity wise) global pigments players. The company has a strong global presence in more than 75 countries and serve to end‑user industries mainly in the areas of printing inks; paints & coatings; and plastics.
Agrochemical Business
Meghmani’s has established itself as one of India’s leading vertically integrated Agro Chemicals player with a presence in the entire value chain — Intermediate, Technical grade and Formulations (bulk and branded).
The Company effectively manages its raw material costs and ensures a constant supply of consistent quality due to its integrated vertical business integration. Meghmani’s enjoys a competitive advantage via its presence in the entire value chain (less dependent on
raw material) in the highly regulated Agrochemicals industry.
The Company has a strong portfolio of 310 export registrations, 370 CIB registrations in FY21. Meghmani’s diverse global client base accounts 79% of its Agro Chemical export sales.
The Company has three state‑of‑the‑art manufacturing facilities located at:
- GIDC Ankleshwar, (6,840 MTPA)
- GIDC Panoli, (13,500 MTPA)
- GIDC Dahej, (29,040 MTPA)
The Company exports Technical as well as Formulation (bulk and branded) products to Africa, Brazil, LATAM, US and European countries. Meghmani’s major products include 2,4D, Cypermethrin, Bifenthrin, Permethrin, Chlorpyrifos and Profenophos.
In branded formulations, the Company has established a strong pan India presence with about 3000 channel partners. Megastar, Megacyper, Megaban, Synergy, Courage, Correct and Mega Claim are its key agrochemical brands.
Pigment Segment
Meghmani’s is amongst the top 3 pigment manufacturers of Phthalocyanine‑based Pigments with 14% global market share. The Company has vertically integrated facilities manufacturing CPC Blue (an upstream product sold to other Pigments manufacturers) and end products — Pigment Green and Pigment Blue.
Meghmani’s has three dedicated manufacturing facilities for Pigments products at:
- » GIDC Vatva, Ahmedabad, (3,180 MTPA) manufacturing Pigment Green and AZO Pigments
- » GIDC Panoli, near Ankleshwar, (17,400 MTPA) producing CPC Blue, Alpha and Beta Blue
- » Dahej SEZ Ltd, (12,600 MTPA) manufacturing CPC Blue, Alpha and Beta Blue.
These Pigments products are used in multiple applications, including paints, plastics and printing inks. The Company’s Pigments business enjoys a strong global presence with exports accounting for 78% of net sales. The Company has forged a deep relationship with its clients resulting in 90% business from its repeat customers.
The Company has a global presence in more than 70 countries with a subsidiary in the US which helps in maintaining a front‑end presence along with the ability to work closely with end‑user customers.
Meghmani Organics Ltd Subsidiaries
The Company has a sustainable business model, well‑integrated manufacturing base and plants located in the chemical hub of Gujarat, a relatively most stable and peaceful state with a robust infrastructure.
Meghmani Organics Ltd has following 4 subsidiaries as on March 31, 2021.
- Meghmani Synthesis Limited
- Meghamni Organics USA INC
- P T Meghmani Organics Indonesia
- Meghmani Overseas FZE
The Subsidiaries Company is committed to stick to its core businesses in organic chemistry offering innumerable growth opportunities, create and build a high standard manufacturing base, adhere to prescribed ‘Environmental & Safety Standards’ and strive continuously to upgrade them, respect minority shareholders and their trust in management and create sustainable ‘Value’ for all the stakeholders.
