When you talk of pharmaceutical companies that are dedicated to research and development in India, Ami Organics ranks among the top. Perhaps, this gave the likes of Ashish Kacholia a clue of the future of the company. Ami Organics is now part of Ashish Kacholia portfolio and here you will find out more about the company.
The company holds a strong position as a manufacturer of pharma intermediates which is beneficial for certain growing health conditions in India. This makes it one of the best chemical stocks for long term investment. Recently, the company also acquired new facilities to expand its services to cover the cosmetic, polymer, and animal healthcare industries.
Taking a Relook at Ami Organics IPO
Ami Organics is a prominent pharmaceutical intermediates and specialty chemicals manufacturing company. The company strives to use state-of-the-art technology to strengthen the healthcare industry by promoting the creation and commercialization of intermediate products.
As a pharmaceutical intermediate manufacturer, Ami Organics is committed to research and development and focuses on APIs including Trazodone, Dolutegravir, Entacapone, Nintedanib, and Rivaroxaban. Aside from APIs, the company specializes in NCE, as well as base materials for fine chemicals and agrochemicals.
As of March 2021, these intermediates have made up to over 450 products. It has been found useful for specific high-growth medical conditions such as anti-inflammatory, anti-cancer, anti-retroviral, antipsychotic, anti-Parkinson, anti-depressant, and anticoagulant.
And, because these are among the major medical condition patients suffer in India, Ami Organics has become one of the best stocks for investors in India and across the world to buy. Intermediate manufacturing alone accounted for a large part of the company’s gross revenues in FY2021 – 88.4%.
And, recently Ami Organics decided to up its game by expanding to the production of preservatives, animal chemicals, and other chemicals. This means that the company has broadened its customer base to now reach cosmetics, agrochemicals, polymers, animal foods, and personal care product players. For this, the company acquired two additional manufacturing facilities. It also helped that the company’s RONW stood at an impressive level of 32% at the time of IPO.
As of 14 September 2021, Ami Organics shares got listed at around 49% premium. In the subsequent sessions, the stock rose further and within one month, it recorded nearly 47% growth in value.
Ami Organics Finds Way in Ashish Kacholia Portfolio
Recently, star investor Ashish Kacholia decided to expand his portfolio by adding five more stocks, and Ami Organics happens to be one of the new entrants. There has been a rumor recently that the chemical producing industry is going to experience an uptrend. This means the likelihood for bigger returns for investors in the long term is high.
Perhaps this was the factor that drove Ashish Kacholia’s decision to invest in the stock. From a recent report of the Ami Organics, Ashish Kacholia is one of the marquee investors with a 1.35% stake in the company. In other words, Kacholia holds 4,91,474 shares in Ami Organics.
Other marquee investors of the company include Virendra Nath Mishra and Vanaja Sundar Iyer. Some other companies in Ashish Kacholia portfolio includes VRL Logistics, Somany Home Innovation, Xpro India, and Gateway Distriparks.
Conclusion
Ami Organics has over the years built a strong influence in the healthcare industry with diligent research and commitment to development. From the company’s financial record, you may tell it comes into the list of best chemical stocks. Meanwhile, ‘China +1’ strategy is being followed diligently by global OEMs with regards to raw material and intermediates, eventually helping companies like Ami Organics. Beyond that, the company aims for more wins, little wonder it made its way into Ashish Kacholia’s portfolio.
