Dec 19, 2012


PRAJ INDUSTRIES                                   
Betting on Bio Fuels                                                                                                       Be and Make
Cmp:49/-                                                                                                                               19-12-12.

Praj Industries (PIL), a leading manufacturer of ethanol and brewery plants with the domestic market share of 80% and 50% respectively, and a global market share of 8%, is well poised to leverage on the capacity expansion from these segments.
 Praj Industries ltd is a global Indian company that offers innovative solutions to significantly add value in bio-ethanol, alcohol, brewery plants, process equipment and water and wastewater treatment systems for customers, worldwide. Praj is a knowledge based company with expertise and experience in Bioprocesses and engineering. It has one of the largest resource bases in the industry with over 500 references across all five continents.

Be and Make’s views:
 Praj is a long term story hence one need to have this stock in their bag for aiming the long term only.
 The key positive in this stock is that the Indian govt has initiated the process of blending ethonal with the petrol recently. The whole world is adopting this and now our policy makers started to curb the imports bill.

  • ·         Rising crude prices are the key positives for this stock.
  • ·         Brewery industries growing in a robust pace.
  • ·         Sugar companies on expansion mode.
  • ·         Waste water treatment has huge opportunity in the India.
  • ·         Policy makers in india’s decision of more mix of ethanol in petrol.
  • ·         Zero Debt Company with good track record of paying dividends.
  • ·         Buy back at the price of Rs.90/-


  • ·       Margins are decreasing.
  • ·       Lukewarm growth in order book.

With thanks
Be and make