Tuesday, June 24, 2014

EPC INDUSTRIE LTD - UPDATE

EPC INDUSTRIE is one stock recommended more than once in this blog. In my initial recommendation @ Rs.61 itself ,I mentioned the possibility of a take over by some bigger players in future.( Read Initial Recommendation HERE) As expected, later this company acquired by Mahindra ( M&M)  Group.

Later in my second recommendation on this same company @ Rs.141 , ( LINK) I have mentioned the possibility for a consolidation of all Agri related  business of Mahindra group  under the fold of a single company.

Now ,after three years of acquisition of  EPC  ,Mahindra Group expressed  their intention to consolidate all its Agri-business units into a single entity. As a listed company , I believe it will happen under the fold of EPC Industrie .Mahindra's one of Agri Business units  named Mahindra ShubhLabh Services Ltd is the largest exporter of grapes .It also joint hands with  Belgian company 'Univeg' for developing a fresh fruit supply chain.This division also planning big  expansion in seed business and recently formed a joint venture with  Holland based HZPC to provide seed potatoes.


I believe , post consolidation , this company will emerge as an integrated farming company and results another blue chip from Mahindra group in the years to come.

Strongly recommending to HOLD and those with some risk appetite may even buy at current level for a  2+ year HOLD .Currently stock is trading around Rs.200.

Read Latest news below

Mahindra Group plans to consolidate all its agri-business units

Link to Company Website HERE 

Disc: I have vested interest in EPC Ind





15 comments :

  1. HI,
    Sir please share what are your views on KNR construction and ZF steering ?
    KNR: Crisil has rated this stock very well.

    ReplyDelete
    Replies
    1. KNR is relatively good company from the sector .Stock price appreciated substantially in recent time ,hence low risk takers may wait for a consolidation for fresh entry ( though not sure about that)

      Not strictly tracking ZF

      Delete
  2. Dear Sir,
    What is your recommandation on PNB Gilts.Is it buy at current CMP.
    Please advise.
    Regards
    Jitendra

    ReplyDelete
  3. Sir, Just for more clarify: the article says that consolidation to happen once the turnover crosses 1000 crore (expected in 2016), so now positive on the stock in anticipation of that consolidation in 2016?

    ReplyDelete
    Replies
    1. Stock price of any company will start to discount future events in advance ,it will not wait till the event happens.

      Delete
  4. Sir, HATS OFF!!!

    ReplyDelete
  5. Jain Irrigation Vs EPC ..Which will be having a bright future as per your views VP sir .

    ReplyDelete
    Replies
    1. Potential of industry is very large and enough space for more than one player.

      Delete
  6. Sir,
    What is your take on Trasport corporation of India and Gati?

    ReplyDelete
  7. dear sir
    plz view share on vulkar engg. 56 % forien promoter holding. can i buy at current level?

    ReplyDelete
    Replies
    1. Stock is expected to perform once capex cycle revive, though not able to predict a time frame.

      Delete
  8. I want to invest in Sun Pharma for the next few years, Your kind view on it please

    ReplyDelete
  9. Hello Sir,

    Do you track Dish TV or Videocon? You views about the DTH growth opportunity in India?

    ReplyDelete

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