Laxmi Organics Industries – A Detailed Analysis

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  • Laxmi Organics Industries is a leading manufacturer of Acetyl Intermediates (AI) and Speciality Intermediates (SI) with almost three decades of experience.
  • The products find application in varied high-growth industries including pharmaceuticals, agrochemicals, dyes & pigments, inks & coatings, paints, printing & packaging, flavours & fragrances, adhesives etc.

Company Overview

Laxmi Organics Company Overview

About the Industry

  • Ethyl Acetate market to grow at a CAGR > 4.5% (E)
  • China is the largest producer
  • Indian Acetyle market has a 70% market share in 5 applications – packaging, pharma, inks, agro-chemicals, and adhesives
Ethyl Acetate Industry

Laxmi Organics Business Verticals

  • Acetyl and Specialty Intermediates
  • Products are used in high-growth industries – pharma, agro-chemicals, dyes, coatings, paints, adhesives, packaging, flavors, etc.

Investment Thesis

  • It is the largest manufacturer of Ethyl Acetate in India with a 30% market share
  • Long-term customers include Dr. Reddy’s, UPL, Mylan, etc.
  • AI business accounts for 40% of operating profits
  • Global presence in more than 30 countries
  • It has supply-chain advantage as it has a ready-access to port facilities
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Why should you invest in Laxmi Organics?

Distilleries Business

  • 2 Distilleries located in Maharashtra to produce Ethanol and spirit
  • Manufacturing units located near Sugar mills
  • Easy supply-chain of Molasses and reduced transportation costs
Key Risks with Laxmi Organics
Financials of Laxmi Organics

Also Read: Galaxy Surfactants Business Analysis

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Abhijit Chokshi

Abhijit Chokshi

Investors का दोस्त | Telegram: http://t.me/stockifi | WhatsApp: http://wa.me/918600056288 | Disc: Views are for educational purposes only, not a SEBI registered advisor yet
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