#ULTRAMARINE & PIGMENTS LTD - It operates in 4 segment. 1-pigments - one of the major manufacture of ultramarine blue pigment and other pigments. 2-surfactants 3. Detergents powder/liquid

Its own brand name OOB ( mostly in south India ). 4-ITeS/BPO division with specialisation primarily in content management, publishing, hospital billing services etc.

UPL also earns small revenue from its windmill division. It has a capacity 6,000 MTPA in pigments segment and 2,8000 MTPA in surfactant
UPL has its manufacturing facilities at Ambattur, Chennai and Ranipet in North Arcot, Tamil Nadu.

Ultramarine blue pigment has diverse application with high-grade pigments used in industries such as plastics, paints, coatings, cosmetics, foods, detergents etc.; lower grade pigments are primarily used for whitewashing and laundry applications.

Global ultramarine pigment growth is expected to increase with CAGR of 4%. it’s Laundry segment is not growing so now company is focusing to growing products and in the fy 20 only company started product shift

So in Ranipet plant they are reducing capacity of Linear alkyl benzene sulphonic acid ( LABSA) which is used in house hold detergent and increasing capacity of Sodium lauryl sulphate used in shampoo( see shampoo bottles) shaving cream , liquid hand soap and many other uses also.

So this product shift will increase their margins and revenue both . Surfactant division is running with full capacity and expansion is going on at new plant at Naidupetta ( Andhra Pradesh ) and probably in next 6 months to 12 months it will be completed.

In Naidupetta capacity addition will be 40000 MPTA (surfactant)in phase 1 and after completion of phase 1 expansion of phase 2 is proposed where speciality surfactant 7500 MPTA And inorganic pigment capacity of 8400 mpta will be added.

Company is paying dividend regularly and having around 20% holding in Thirumalai Chemicals,( almost 90 Cr as of today ) with its own MCAP of 520 Cr as of today with PE of 8.39 and debt around 30 Cr

Galaxy surfactant is trading at PE of more then 25 and now going onward the way UPL is focusing on surfactant it may command high PE This is what I know please provide your inputs also

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