Patron EXIM Ltd. plans to conduct an initial public offering (IPO) from February 21 to 24, 2023. The company, which started as a partnership in 1982 and later became a limited company, is listed on the BSE.
Patron EXIM Ltd. plans to conduct an initial public offering (IPO) from February 21 to 24, 2023. The company, which started as a partnership in 1982 and later became a limited company, is listed on the BSE.
Patron Exim is part of a large group of companies that also includes Cedac Medicorp, Evoque Remedies, Earum Pharmaceuticals, Auxilia Pharmaceuticals, Madrid Diamonds, Atlantis Exim, NG Overseas and many others. The group of companies is mainly active in the pharmaceutical, chemical and related industries.
Patron Exim is part of a large group of companies that also includes Cedac Medicorp, Evoque Remedies, Earum Pharmaceuticals, Auxilia Pharmaceuticals, Madrid Diamonds, Atlantis Exim, NG Overseas and many others. The group of companies is mainly active in the pharmaceutical, chemical and related industries.
Patron EXIM acquires, manufactures, and distributes surgical and non-surgical products, active pharmaceutical ingredients (APIs), drug intermediates, medicinal-pharmaceutical chemicals, biochemical product preparation and formulation, and other products to the international and domestic markets. In addition to 20 years of business experience and a variety of certifications, the company has a diversified product portfolio, experienced promoters and a high level of customer satisfaction to efficiently do business in the international markets.
Patron EXIM acquires, manufactures, and distributes surgical and non-surgical products, active pharmaceutical ingredients (APIs), drug intermediates, medicinal-pharmaceutical chemicals, biochemical product preparation and formulation, and other products to the international and domestic markets. In addition to 20 years of business experience and a variety of certifications, the company has a diversified product portfolio, experienced promoters and a high level of customer satisfaction to efficiently do business in the international markets.
The majority of their customers are direct suppliers to companies such as Johnson & Johnson, Dr. Reddy, Cipla, Sun Pharma, Torrent Pharmaceuticals Ltd, Pidilite Industries, Akzo Nobel India, British Paints India Pvt. Ltd., Vaseline etc.
The majority of their customers are direct suppliers to companies such as Johnson & Johnson, Dr. Reddy, Cipla, Sun Pharma, Torrent Pharmaceuticals Ltd, Pidilite Industries, Akzo Nobel India, British Paints India Pvt. Ltd., Vaseline etc.
The fixed price offer is offered at a price of €27 per share, with an issue size of €16.69 crores. Proceeds from the public offering will be used for working capital, general corporate objectives and public issuance costs. The IPO was priced at €27 per share, based on a par value of €10 and a NAV of €17
The fixed price offer is offered at a price of €27 per share, with an issue size of €16.69 crores. Proceeds from the public offering will be used for working capital, general corporate objectives and public issuance costs. The IPO was priced at €27 per share, based on a par value of €10 and a NAV of €17
Patron Exim also accepts government contracts and had conducted business during Covid-19. They supplied raw materials to all major Indian pharmaceutical companies and are on the government’s list of important companies. During Covid-19, meaning throughout the lockdown, they had been running commercial operations without incident.
Patron Exim also accepts government contracts and had conducted business during Covid-19. They supplied raw materials to all major Indian pharmaceutical companies and are on the government’s list of important companies. During Covid-19, meaning throughout the lockdown, they had been running commercial operations without incident.
Although Patron Exim had generated significant revenue during the Covid-19, the company’s profit margins could not stand up to the competition. Instead of buying and selling the goods, the company decided to act as commission agent and collect the commission resulting in excellent financial returns with a net profit increase of 6500% from Rs. 2.2 lakhs in March 2020 to Rs. 2.28 crores in November 2022 and the revenue is doubling almost every two quarters from Rs. 5 crores in March 2022 to Rs. 10.54 million in November 2022.
Although Patron Exim had generated significant revenue during the Covid-19, the company’s profit margins could not stand up to the competition. Instead of buying and selling the goods, the company decided to act as commission agent and collect the commission resulting in excellent financial returns with a net profit increase of 6500% from Rs. 2.2 lakhs in March 2020 to Rs. 2.28 crores in November 2022 and the revenue is doubling almost every two quarters from Rs. 5 crores in March 2022 to Rs. 10.54 million in November 2022.
The company’s P/E is 11.25, which is below the industry average of 22.73, and so are its earnings per share €5.84, expanding exponentially every quarter. The RoNW is 8.94% and the company’s net worth is up 525% from Rs. 2.6 crores in 2020 to Rs. 16.25 crores in 2022. Given the decreased P/E ratio and rising EPS, Networth and RoNW shows that Company has strong and consistent growth that combined with its industry makes it recession proof. Shifting to the picking model increased profit margins by 70% and reduced dead stock/stagnant inventory time, both of which are critical to any retail and pharma organization.
The company’s P/E is 11.25, which is below the industry average of 22.73, and so are its earnings per share €5.84, expanding exponentially every quarter. The RoNW is 8.94% and the company’s net worth is up 525% from Rs. 2.6 crores in 2020 to Rs. 16.25 crores in 2022. Given the decreased P/E ratio and rising EPS, Networth and RoNW shows that Company has strong and consistent growth that combined with its industry makes it recession proof. Shifting to the picking model increased profit margins by 70% and reduced dead stock/stagnant inventory time, both of which are critical to any retail and pharma organization.
The company had always remained profitable regardless of the situation and after switching to the commissioning model we could see a massive jump in EBITDA in 2022, namely by 142% from 2021 to 2022. If a company has a higher EBITDA margin, that is that its operating expenses are lower relative to total revenue, ultimately increasing PAT even when revenue is flat or declining.
The company had always remained profitable regardless of the situation and after switching to the commissioning model we could see a massive jump in EBITDA in 2022, namely by 142% from 2021 to 2022. If a company has a higher EBITDA margin, that is that its operating expenses are lower relative to total revenue, ultimately increasing PAT even when revenue is flat or declining.
Patron Exim has outstanding order book value €23 crores likely to be delivered in the following quarter, indicating a lucrative quarter in the works. Also, the company has gained new distributors in Canada and Eastern Europe, which will ultimately increase the company’s export reach in the years to come.
Patron Exim has outstanding order book value €23 crores likely to be delivered in the following quarter, indicating a lucrative quarter in the works. Also, the company has gained new distributors in Canada and Eastern Europe, which will ultimately increase the company’s export reach in the years to come.
Investment Point’s Nikhil Bhatt (SEBI-registered) rates Patron Exim’s IPO as a “long-term subscribe”.
Investment Point’s Nikhil Bhatt (SEBI-registered) rates Patron Exim’s IPO as a “long-term subscribe”.
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