Asahisongwon

Asahi Songwon Colors Ltd. is in the business of manufacturing pigments. Pigments are basically colourants, adding colour to everything around us, namely ink, paints, plastics, textiles, rubber etc.


Asahi Songwon Colors Ltd. is a leading player in the Indian Pigment industry and intends to become a leading manufacturer of pigments around the world. The company is in the manufacturing of the Pigment Green-7 / CPC Beta Blue and Blue Crude, exporting substantial production to leading MNCs around the world on account of quality of its products.


Basic Objectives

ASCL aims to become a market leader in the pigment industry. With this view in the backdrop, ASCL has carried out an expansion plan with a capital outlay of Rs 52 crores to enhance the production capacity of CPC Blue Crude from present level of 3600 TPA to 10800 TPA. The company is in the process of adding new products in its basket in future.


Promoters Background & History

ASCL was promoted by Mrs. Paru M. Jaykrishna, having rich business experience in the field of manufacturing Pigments & Chemicals and Travel Industry. Mrs. Paru M. Jaykrishna started Pigment Manufacturing activities in 1994 by setting up plant for manufacturing Pigment Green – 7 at Kadi, Mehsana in Gujarat. She was also President of Gujarat Chamber of Commerce and Industry (GCCI), first lady elected for this post in Gujarat's Chamber history.

Mrs. Jaykrishna is well supported by her Sons Mr. Gokul Jaykrishna and Mr. Munjal Jaykrishna, with their graduation study from Lehigh University, USA with degrees in finance and marketing. They have also adopted technical knowledge very well. Group has achieved many export and excellence awards during last 10 years.


At present the company is dealing in Phthalocyanine Pigments namely
Pigment Green 7 and Pigment Blues. The Company deals in following pigments.
01 Phthalocyanine Green


02
Pigment Green 7


03
CPC Blue Crude


04
Pigment Alfa Blue 15:0


05
Pigment Alfa Blue 15:1


06
Pigment Beta Blue 15:3

On the financial front, the company's sales got trebled from 84cr to 234cr and NP more than doubled from 8.41cr to 18.37 cr during 2008-2012.The company is enjoying a npm of 9% with a D/E of 0.35.The company is enjoying a healthy ROCE of 25%.
The stock appears to be a good investment BUY at 91 now