Aether Industries Share Price

The revenue declined to Rs. 1401.50 millions for the quarter ended September 2022 as compared to Rs. 1412.43 millions during the corresponding quarter last year.A slim rise of 8.03% was recorded in the Net profit for the quarter ended September 2022 to Rs. 272.00  millions  From Rs. 251.79 millions.A decline of 432.82 millions was observed in the OP in the quarter ended September 2022 from 436.69 millions on QoQ basis.

The revenue declined to Rs. 1401.50 millions for the quarter ended September 2022 as compared to Rs. 1412.43 millions during the corresponding quarter last year.The Company has registered profit of Rs. 272.00  millions for the quarter ended September 2022, a growth of 8.03%  over Rs. 251.79 millions millions achieved in the corresponding quarter of last year.The company reported a degrowth in operating Profit to 432.82 millions from 436.69 millions.

The revenue for the December 2022 quarter is pegged at Rs. 1671.31 millions, about 10.48% up against Rs. 1512.77 millions recorded during the year-ago period.The company has announced a 37.93% increase in its profits to Rs . 350.36  millions for the  quarter ended December 2022 compared to Rs. 254.01 millions in the corresponding quarter in the previous year.OP of the company witnessed a marginal growth to 507.02 millions from 416.03 millions in the same quarter last year.

The issue will open for subscription on May 24, 2022 and will close on May 26, 2022

Aether Industries

• Aether Industries is coming out with a 100% book building; initial public offering (IPO) of 1,29,81,475 shares of Rs 10 each in a price band Rs 610-642 per equity share.
  
• Not more than 50% of the issue will be allocated to Qualified Institutional Buyers (QIBs), including 5% to the mutual funds. Further, not less than 15% of the issue will be available for the non-institutional bidders and the remaining 35% for the retail investors.
  
• The issue will open for subscription on May 24, 2022 and will close on May 26, 2022.
  
• The shares will be listed on BSE as well as NSE.
  
• The face value of the share is Rs 10 and is priced 61 times of its face value on the lower side and 64.20 times on the higher side.
  
• Book running lead managers to the issue HDFC Bank and Axis Bank.
  
• Compliance Officer for the issue is Chitrarth Rajan Parghi.
  

Profile of the company

Aether Industries is a speciality chemical manufacturer in India focused on producing advanced intermediates and speciality chemicals involving complex and differentiated chemistry and technology core competencies. Its business was started in 2013 with a vision to create a niche in the global chemical industry with a creative approach towards chemistry, technology and systems that would lead to sustainable growth. In the first phase of its development through Fiscal 2017, it focused on building its team and infrastructure and on its R&D centred around building its core competencies. Its revenue generation operations commenced with its second phase in Fiscal 2017. It is one of the fastest growing specialty chemical companies in India, growing at a CAGR of nearly 49.5% between Fiscal 2019 and Fiscal 2021.

The company is focused on the core competencies model of chemistry and technology. It has three business models under which it operate: (i) large scale manufacturing of its own intermediates and speciality chemicals; (ii) contract research and manufacturing services (CRAMS) and (iii) contract/exclusive manufacturing. It has a nuanced criteria for choosing its products based on their chemical complexity, niche applications, limited competition, scalability and commercial potential. Using these criteria, it developed, and continue to develop, advanced intermediates and speciality chemicals products having applications in the pharmaceutical, agrochemicals, material science, coatings, high performance photography, additives and oil & gas segments of the chemicals industry.

It specializes in products based on an intricate marriage of complex chemistry and technology core competencies. Examples of its chemistry core competencies include Grignards, organolithium and other organometallic chemistry, ethylene oxide and isobutylene chemistry, hydrogenation, catalysis (homogeneous /heterogeneous), cross coupling chemistry and metathesis/polymerization chemistry. Examples of its technology core competencies include continuous reaction technology, high pressure reaction technology, fixed bed reaction technology, distributed control system (DCS) process automation and high vacuum distillation technology (wiped film/short path). By its focus on core competencies, it has have developed a chemistry and technology oriented sales vision, as compared to a product and industry oriented sales vision.

Proceed is being used for:

• Prepayment or repayment of all or a portion of certain outstanding borrowings availed by the company.
  
• Funding capital expenditure requirements for its manufacturing facility (Proposed Greenfield Project).
  
• Funding working capital requirements of the company.
  
• General corporate purposes.
  

Industry overview

The Indian chemicals industry was valued at $186 billion, representing approximately 4% of the value of the global chemicals industry. According to the F&S Report, the value of the Indian chemicals industry is expected to grow at a CAGR of 12.2% from $186 billion in 2020 to $330 billion in 2025. According to the F&S Report, in fiscal 2020, the Indian chemical industry contributed approximately 6.6% of the national gross domestic product and accounted for 15-17% of value of the India’s manufacturing sector. The value of the commodity chemicals segment and the specialty chemicals segment accounted for approximately 46% and 47% of the Indian chemicals industry, respectively. The growth rate of the Indian specialty chemicals segment in 2015-2020 was higher than the growth rate of the Indian commodity chemicals (10.4% vs. 8.7%). From 2020 to 2015, the Indian specialty chemicals segment is expected to grow at a CAGR of 11.2%.

The Indian chemicals industry has increased its capital expenditure over the past decade in order to be well equipped to capture future opportunities. According to the F&S Report, Rs 95 billion was spent in fiscal 2020 by the 30 leading chemical companies in India on capital expenditure, as compared to Rs 39 billion in fiscal 2010. In calendar year 2018, India’s chemicals sector attributed 23.3% of its profit after tax to capital expenditure, whereas China’s chemicals sector attributed 32.6 %. All other countries in the world attributed less than one-fifth of its profit after tax to capital expenditure in calendar year 2018. Capital expenditures are spent for capacity augmentation and/or product development by these leading chemicals companies.

Pros and strengths

Differentiated portfolio of market-leading products: The company is focused on producing advanced intermediates and speciality chemicals involving complex and differentiated chemistry and technology core competencies. Its products have applications across a wide spectrum of uses in the pharmaceutical, agrochemicals, material science, coatings, high performance photography, additives and oil & gas industries. As of March 31, 2022, its product portfolio comprised over 25 products which were marketed to 34 global customers in 18 countries and to 154 domestic customers. It have achieved market positions by developing differentiated processes with the use of its core competencies of chemistry and technology, which helped it to optimize the use of conventional raw materials, improve atom economy, enhance yields, reduce effluent discharge, and increase cost competitiveness. It was the sole manufacturer in India of 4MEP, MMBC, T2E, OTBN, NODG, DVL and Bifenthrin Alcohol.

Focused R&D to leverage core competencies of chemistry and technology: The foundation of the company is its in-house research and development capabilities. Its strategic investments in R&D have been critical to its success and a differentiating factor for it to attain leading market positions for certain products. Based on the technical expertise it has developed over the years, it is able to carry out innovative processes at global scale, which is difficult to replicate, and creates significant barriers for new entrants. Its chemistry and technology core competencies and all of its products have been developed by its own R&D team, scaled up in its Pilot Plant, and launched into production with in-house design and engineering. Its in-house development (without the support from any clients for R&D) showcases its innovation and research strength, and its expertise in a large range of chemistries and technologies has allowed it to support a number of end use industries. Its R&D Facilities are dedicated to the development of its pipeline and next generation products as well as to its CRAMS customers. As of March 31, 2022, it had a specialized R&D team of 164 scientists and engineers including 92 scientists (with PhDs or Master of Science degrees) and 72 chemical engineers. Its R&D laboratories are fitted with modern synthesis equipment including fume hoods, lab scale continuous and flow reactors and advanced separation equipment.

Long standing relationships with diversified customer base: Of the company’s revenue from operations in the nine months ended December 31, 2021 and Fiscal 2021, its largest customer contributed approximately 13.52% and 19.38%, respectively; its top 10 customers contributed approximately 55.76% and 56.23%, respectively; and its top 20 customers contributed 72.93% and 73.50%, respectively. It enjoy relationships in excess of 5 years with 7 out of its top ten customers. Its long-term relationships and ongoing active engagements with customers also allow it to plan its capital expenditure, enhance its ability to benefit from increasing economies of scale with stronger purchasing power for raw materials and a lower cost base. These enduring customer relationships also have helped it expand its product offerings and geographic reach. Its customer engagements are dependent on it delivering quality products consistently. Its potential customers may require considerable amounts of time to approve it as suppliers to ensure that all their quality controls are met and that it meet all their requirements across a variety of jurisdictions and multiple regulators.

Focus on quality, environment, health and safety: Maintaining a high standard of quality for its products is critical to its brand and continued growth. Across its manufacturing facilities, it has put in place quality systems that cover all areas of its business processes from manufacturing, supply chain to product delivery to ensure consistent quality, efficacy and safety of products. Its products adhere to global quality standards. Its products go through various quality checks at various stages including random sampling check and quality check internally. Many of its key customers have audited and approved its facilities and manufacturing processes in the past, which ensures that the regulator and its customers are able to confirm the continuance of quality of facility and processes. In the past three fiscal years, its facilities were audited 57 times by 43 customers or their external consultants. In addition, its facilities have received certificate of ISO 14001 for Environment and ISO 45001 for Occupational Safety and ISO 27000 certification. As of March 31, 2022, it had an environmental team of 43 employees (constituting 5.98% of its workforce) and a safety team of 30 employees (constituting 4.17% of its workforce).

Risks and concerns

Dependent on R&D activities for future success: The company is dependent on its R&D activities and scientists at its R&D facilities for its future success. Its future results of operations depend, to a significant degree, on its ability to successfully develop new products and continue its product portfolio expansion in a timely and cost-effective manner. Its future results of operations depend, to a significant degree, on its ability to successfully develop new products and continue its product portfolio expansion in a timely and cost-effective manner. In addition, its CRAMs business is dependent its R&D capabilities to assist its customers on their projects including development of their products. Further, as part of its business strategies, it intend to further diversify its product portfolio by entering into new product value chains. In addition, it intend to expand its capacities in existing products as well as expanding and strengthening its research capabilities in order to ensure rapid product innovation. Innovation continues to be the key determinant for its success.

Rely on combination of trade mark, trade secret, copyright law: The protection of the company’s intellectual property is crucial to the success of its business. It rely on a combination of trademark, trade secret, and copyright law and contractual restrictions to protect its intellectual property. It does not own any patents. While its agreements with its employees and consultants who develop its intellectual property including its proprietary intermediates and specialty chemical products, technology, systems and processes on its behalf include confidentiality provisions and provisions on ownership of intellectual property developed during employment or specific assignments, as applicable, these agreements may not effectively prevent unauthorized use or disclosure of its confidential information, its intellectual property including its proprietary products, technology, systems and processes and may not provide an adequate remedy in the event of unauthorized use or disclosure of its confidential information or infringement of its intellectual property.

The company does not have long-term agreements with suppliers for raw materials: The company source a significant amount of the raw materials that it use in its business from India, Japan, Europe, Taiwan and China. In addition, it usually does not enter into long-term supply contracts with any of its raw material suppliers and typically source raw materials from third-party suppliers under contracts of shorter period or the open market. The absence of long-term contracts at fixed prices exposes it to volatility in the prices of raw materials that it require and it may be unable to pass these costs onto its customers, which may reduce its profit margins. It face a risk that one or more of its existing suppliers may discontinue their supplies to it, and any inability on its part to procure raw materials from alternate suppliers in a timely fashion, or on commercially acceptable terms, may adversely affect its business, financial condition and results of operations.

Face competition: Although the specialty chemicals industry provides for significant entry barriers, competition in company’s business is based on pricing, relationships with customers, research and development, product registration, product quality, customisation, and innovation. It face pricing pressures from companies, principally in China, that are able to produce chemicals at competitive costs and consequently, may supply their products at cheaper prices. Moreover, Indian chemical companies are faced with poor infrastructure and lack of adequate facilities at ports and railway terminals as well as poor pipeline connectivity, which imposes difficulties in raw material procurement and at a cost competitive price with global peers. It is unable to assure that it shall be able to meet the pricing pressures imposed by such multinational competitors which would adversely affect its business, financial condition and results of operations. Additionally, some of its competitors in the intermediates and speciality chemicals business may have greater financial, research and technological resources, larger sales and marketing teams and more established reputation.

Outlook

Aether Industries, based out of Surat (Gujarat, India), focuses on producing advanced intermediates and speciality chemicals involving complex and differentiated chemistry and technology core competencies. Its products find application in the pharmaceutical, agrochemical, material science, coating, high performance photography, additive, and oil and gas segments of the chemical industry. The company is the sole manufacturer in India of chemicals such as 4-(2-Methoxyethyl) Phenol (4MEP), 3-Methoxy-2-Methylbenzoyl Chloride (MMBC), Thiophene-2-Ethanol (T2E), Ortho Tolyl Benzo Nitrile (OTBN), N-Octyl-D-Glucamine, Delta-Valerolactone and Bifenthrin Alcohol. It has three business models: Large scale manufacturing of intermediates and speciality chemicals, CRAMS (contract research and manufacturing services) and Contract manufacturing. It specialize in products based on an intricate marriage of complex chemistry and technology core competencies. On the concern side, the concentration of all of company’s operations in Gujarat heightens its exposure to adverse developments related to regulation, as well as political or economic, demographic and other changes in Gujarat as well as the occurrence of natural and man-made disasters in Gujarat, which may adversely affect business, financial condition and results of operations. Besides, expansion into new export markets subjects it to various challenges, including those relating to its lack of familiarity with the culture and economic conditions of these new regions, language barriers, difficulties in staffing and managing such operations, and the lack of brand recognition and reputation in such regions. 

The issue has been offered in a price band of Rs 610-642 per equity share. The aggregate size of the offer is around Rs 791.87 crore to Rs 833.41 crore based on lower and upper price band respectively. On the performance front, the company’s revenue from operations increased by 49.04% from Rs 301.80 crore in Fiscal 2020 to Rs 4,49.81 crore in Fiscal 2021. It recorded an increase of 77.99% in its profit for the year from Rs 39.95 crore in Fiscal 2020 to Rs 71.11 crore in Fiscal 2021. Meanwhile, the company plans to continue to expand its product portfolio both in line with its existing new competencies but also by adding new competencies. In the next three years, it planning to invest approximately Rs 125 million towards R&D in the first year with an increasing trend of 30% to 35% in the next two years. In addition, it intend to continue to add new core chemistry and technology competencies, which will lead to additional product line developments. To cater to the growing demand from existing customers and to meet requirements of new customers, it intends to, and are in the process of, expanding its manufacturing capacities for existing products including 4MEP and BFA.

In accordance with Regulation 30 of the SEBI (Listing Obligation and Disclosure Requirements) Regulations, 2015, Aether Industries has submitted the schedule of Investor Meeting with the Company, including plant visit by Investor. During the Meet, no Unpublished Price Sensitive Information (UPSI) is intended to be discussed. The schedule is subject to change by Investor / Company.

The above information is a part of company’s filings submitted to BSE.

In accordance with Regulation 30 of the SEBI (Listing Obligation and Disclosure Requirements) Regulations, 2015, Aether Industries has submitted the schedule of Investor Meeting with the Company. During the Meet, no Unpublished Price Sensitive Information (UPSI) is intended to be discussed.

The above information is a part of company’s filings submitted to BSE.

Further with reference to the intimation dated August 22, 2022, submitted vide Ref. No. AIL/SE/39/2022-23, in accordance with Regulation 30 of the SEBI (Listing Obligation and Disclosure Requirements) Regulations, 2015, Aether Industries has informed that the Company Officials had Meeting (including plant visit) with Investor- ITI Mutual Fund on August 23, 2022. During the Meeting, discussion was on the publicly available information only assuring no Unpublished Price Sensitive Information (UPSI) be discussed.

The above information is a part of company’s filings submitted to BSE.

In accordance with Regulation 30 and Regulation 47 of the SEBI (Listing Obligation and Disclosure Requirements) Regulations, 2015, read along with circulars issued by Ministry of Corporate Affairs, Aether Industries has informed that the newspaper advertisement published in ‘Gujarat Mitra’ and ‘Financial Express’ with regard to forthcoming 10th Annual General Meeting to be convened on Tuesday, September 27, 2022 at 11:30 Hrs. (IST) through VC / OAVM and remote e-voting facility offered to the eligible members, are enclosed.

The above information is a part of company’s filings submitted to BSE.

In accordance with Regulation 30 of the SEBI (Listing Obligation and Disclosure Requirements) Regulations, 2015, Aether Industries has submitted the schedule of Investor Meeting with the Company. During the Meet, no Unpublished Price Sensitive Information (UPSI) is intended to be discussed. The schedule is subject to change by the Investor / the Company.

The above information is a part of company’s filings submitted to BSE.

In accordance with Regulation 30 of the SEBI (Listing Obligation and Disclosure Requirements) Regulations, 2015, Aether Industries has submitted the schedule of Investor Meeting with the Company. During the Meet, no Unpublished Price Sensitive Information (UPSI) is intended to be discussed. The above schedule is subject to change by the Investor / the Company.

The above information is a part of company’s filings submitted to BSE.

Further with reference to the intimation dated September 19, 2022, submitted vide Ref. No. AIL/SE/48/2022-23, in accordance with Regulation 30 of the SEBI (Listing Obligation and Disclosure Requirements) Regulations, 2015, Aether Industries has informed that Company Officials had Meeting with Investor, Edelweiss Broking on Tuesday, September 20, 2022. During the Meeting, discussion was on the publicly available information only assuring no Unpublished Price Sensitive Information (UPSI) be discussed.

The above information is a part of company’s filings submitted to BSE.

In accordance with Regulation 30 of the SEBI (Listing Obligation and Disclosure Requirements) Regulations, 2015, Aether Industries has submitted the schedule of Investor Meeting (including plant visit) with the Company. During the Meet, no Unpublished Price Sensitive Information (UPSI) is intended to be discussed. The above schedule is subject to change by the Investor / the Company.

The above information is a part of company’s filings submitted to BSE.

In accordance with Regulation 30 of the SEBI (Listing Obligation and Disclosure Requirements) Regulations, 2015, Aether Industries has informed that the Press Release (News-Paper publication) about Renewal of Long-Term Agreement for 2 products is enclosed, published in ‘Financial Express’ Mumbai edition dated 29.10.2022, Ahmedabad edition dated 30.10.2022 and ‘Gujarat Mitra’ edition dated 30.10.2022.

The above information is a part of company’s filings submitted to BSE.

Total income of the company increased by 1.45% to Rs 146.56 crore for Q2FY23

Aether Industries is currently trading at Rs. 922.25, up by 39.95 points or 4.53% from its previous closing of Rs. 882.30 on the BSE.

The scrip opened at Rs. 887.55 and has touched a high and low of Rs. 932.05 and Rs. 887.55 respectively. So far 7900 shares were traded on the counter.

The BSE group 'B' stock of face value Rs. 10 has touched a 52 week high of Rs. 1050.00 on 19-Sep-2022 and a 52 week low of Rs. 699.85 on 03-Jun-2022.

Last one week high and low of the scrip stood at Rs. 946.35 and Rs. 862.25 respectively. The current market cap of the company is Rs. 11483.53 crore.

The promoters holding in the company stood at 87.09%, while Institutions and Non-Institutions held 9.88% and 3.02% respectively.

Aether Industries reported results for second quarter ended September 30, 2022.

The company has reported rise of 8.02% in its net profit at Rs 27.20 crore for Q2FY23 as compared to Rs 25.18 crore for the corresponding quarter previous year. Total income of the company increased by 1.45% to Rs 146.56 crore for the quarter under review as compared to Rs 144.46 crore for the same quarter in the previous year.

Aether Industries is a specialty chemicals manufacturer in India focused on producing advanced intermediates and specialty chemicals involving complex and differentiated chemistry and technology core competencies.

In accordance with Regulation 30 of the SEBI (Listing Obligation and Disclosure Requirements) Regulations, 2015, Aether Industries has informed that the (One on One) Investor Meeting to be held on December 7, 2022 with IIFL AMC. During the Meet, no Unpublished Price Sensitive Information (UPSI) is intended to be discussed. The schedule is subject to change by the Investor / the Company.

The above information is a part of company’s filings submitted to BSE.

In accordance with Regulation 29 of the SEBI (Listing Obligation and Disclosure Requirements) Regulations, 2015, Aether Industries has informed that the Meeting of Board of Directors of the company is scheduled to be held on Friday, January 20, 2023, to consider the unaudited standalone and consolidated Financial Results for the third quarter ended on December, 2022.

The above information is a part of company’s filings submitted to BSE.

The Manufacturing Site 3 will add capacities to the north of 3500 MT per annum for production of its five new specialty chemicals

Aether Industries is currently trading at Rs. 873.70, up by 9.40 points or 1.09% from its previous closing of Rs. 864.30 on the BSE.

The scrip opened at Rs. 876.55 and has touched a high and low of Rs. 885.40 and Rs. 863.85 respectively. So far 1263 shares were traded on the counter.

The BSE group 'B' stock of face value Rs. 10 has touched a 52 week high of Rs. 1050.00 on 19-Sep-2022 and a 52 week low of Rs. 699.85 on 03-Jun-2022.

Last one week high and low of the scrip stood at Rs. 913.00 and Rs. 850.05 respectively. The current market cap of the company is Rs. 10906.52 crore.

The promoters holding in the company stood at 87.09%, while Institutions and Non-Institutions held 9.88% and 3.02% respectively.

Aether Industries has commercialized its Manufacturing Site 3 at GIDC Industrial Estate, Sachin, Surat, Gujarat, India. The total CAPEX planned for the site is around Rs 190 crore, of which Rs 163 crore has been raised from the IPO that the company concluded in June 2022 and remaining Rs 27 crore funded from internal accruals.

The trial runs have been started off and the commercial production of the plant will start within next ten days from January 16, 2023. The Manufacturing Site 3 will add capacities to the north of 3500 MT per annum for production of its five new specialty chemicals / intermediates for the Pharma Sector, which will be launched.

Aether Industries is a specialty chemicals manufacturer in India focused on producing advanced intermediates and specialty chemicals involving complex and differentiated chemistry and technology core competencies.

In accordance with Regulation 30 of the SEBI (Listing Obligation and Disclosure Requirements) Regulations, 2015, Aether Industries has informed that its Manufacturing Site 3 has been commercialized today at Plot No. 8202/1, Road No. 8, GIDC Industrial Estate, Sachin, Surat-394230, Gujarat, India.

The above information is a part of company’s filings submitted to BSE.

The company will manufacture 3 new products at this Manufacturing Site - 3+

Aether Industries is currently trading at Rs. 893.80, up by 20.95 points or 2.40% from its previous closing of Rs. 872.85 on the BSE.

The scrip opened at Rs. 862.25 and has touched a high and low of Rs. 905.35 and Rs. 861.75 respectively. So far 7697 shares were traded on the counter.

The BSE group 'B' stock of face value Rs. 10 has touched a 52 week high of Rs. 1050.00 on 19-Sep-2022 and a 52 week low of Rs. 699.85 on 03-Jun-2022.

Last one week high and low of the scrip stood at Rs. 905.35 and Rs. 861.70 respectively. The current market cap of the company is Rs. 11143.71 crore.

The promoters holding in the company stood at 87.07%, while Institutions and Non-Institutions held 9.91% and 3.01% respectively.

Aether Industries has acquired and taken possession of New Industrial premises, located at GIDC Industrial Estate, Sachin, Surat, Gujarat. The site is adjacent to the recently commercialized Greenfield Manufacturing Site - 3. The said site will be termed as Manufacturing Site - 3+, as the company will merge the same with Manufacturing Site - 3 for various regulatory approvals. Trial runs for Site - 3 have commenced and commercial production timeline which has been stated for month end will not be affected. The total cost for Site - 3+ will be Rs 60 crore to Rs 70 crore and this will be funded by internal accruals and funding from banks.

The company will manufacture 3 new products (specialty chemicals and intermediates), at this Manufacturing Site - 3+. These three products are developed in company’s in-house R&D Centre. These products will be manufactured for the first time in India, like most of its products.

Aether Industries is a specialty chemicals manufacturer in India focused on producing advanced intermediates and specialty chemicals involving complex and differentiated chemistry and technology core competencies.

In accordance with Regulation 30 and Regulation 47 of the SEBI (Listing Obligation and Disclosure Requirements) Regulations, 2015, Aether Industries has informed that the newspaper advertisement published in January 22, 2023, in ‘Gujarat Mitra’ and ‘Financial Express’ for the standalone and consolidated unaudited Financial Results for the Third Quarter ended on December 31, 2022.

The above information is a part of company’s filings submitted to BSE.

Further with reference to the intimation dated February 7, 2022, submitted vide Ref. No. AIL/SE/103/2022-23, in accordance with Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, Aether Industries has informed that Company Officials had participated in the ‘Nuvama India Conference, 2023’ in Mumbai, on February 9, 2023. During the meeting, discussion was wholly based on the publicly available information ensuring that no Unpublished Price Sensitive Information (UPSI) was discussed.

The above information is a part of company’s filings submitted to BSE.

In accordance with Regulation 30 of the SEBI (Listing Obligation and Disclosure Requirements) Regulations, 2015, Aether Industries has informed that the Company will be participating in ‘14th Enterprising India Global Investors’ Conference’ in Mumbai, organized by ‘IIFL’ on February 16, 2023 in the form of One on One cum Group Meeting. during the Meet, no Unpublished Price Sensitive Information (UPSI) is intended to be discussed. The above schedule is subject to change by the Organizers / the Investor / the Company.

The above information is a part of company’s filings submitted to BSE.

Aether Industries will be exclusive supplier to Otsuka Chemical Co., Japan for the products for which the Agreement is executed

Aether Industries is currently trading at Rs. 884.00, up by 10.15 points or 1.16% from its previous closing of Rs. 873.85 on the BSE.

The scrip opened at Rs. 890.00 and has touched a high and low of Rs. 905.60 and Rs. 871.85 respectively. So far 1946 shares were traded on the counter.

The BSE group 'B' stock of face value Rs. 10 has touched a 52 week high of Rs. 1050.00 on 19-Sep-2022 and a 52 week low of Rs. 699.85 on 03-Jun-2022.

Last one week high and low of the scrip stood at Rs. 905.60 and Rs. 852.00 respectively. The current market cap of the company is Rs. 11006.75 crore.

The promoters holding in the company stood at 87.07%, while Institutions and Non-Institutions held 9.91% and 3.01% respectively.

Aether Industries has executed a long-term Supply and Sales Agreement on March 3, 2023 with Otsuka Chemical Company, Japan, along with Chori Company, Japan (being the Agent of Otsuka Chemical Company).

The Agreement is executed for supply and sale of specific existing specialty intermediates of Aether Industries to the Otsuka Chemical Co., Japan. The Agreement is for supply and sales by Aether Industries to Otsuka Chemical Co., Japan for a period of 10 years, which will be enhanced for further period (after 10 years) with mutual consent of both the parties to the Agreement.

At maturity, within 3 years, a combined quantity of 300 MT (of the products) per year will be supplied by Aether Industries to Otsuka Chemical Co., Japan, and hence the revenue potential for the said agreement would Rs 510 million per year in the Large-Scale Manufacturing business model. Aether Industries will be exclusive supplier to Otsuka Chemical Co., Japan for the products for which the Agreement is executed.

Aether Industries is a specialty chemicals manufacturer in India focused on producing advanced intermediates and specialty chemicals involving complex and differentiated chemistry and technology core competencies.

Aether Speciality Chemicals is yet to commence business activities

Aether Industries is currently trading at Rs. 875.35, up by 2.25 points or 0.26% from its previous closing of Rs. 873.10 on the BSE.

The scrip opened at Rs. 865.30 and has touched a high and low of Rs. 876.10 and Rs. 845.90 respectively. So far 1019 shares were traded on the counter.

The BSE group 'B' stock of face value Rs. 10 has touched a 52 week high of Rs. 1050.00 on 19-Sep-2022 and a 52 week low of Rs. 699.85 on 03-Jun-2022.

Last one week high and low of the scrip stood at Rs. 905.60 and Rs. 845.90 respectively. The current market cap of the company is Rs. 10899.05 crore.

The promoters holding in the company stood at 87.07%, while Institutions and Non-Institutions held 9.91% and 3.01% respectively.

Aether Industries has invested further in its Wholly Owned Subsidiary Company viz. ‘Aether Speciality Chemicals’ on March 7, 2023. The newly incorporated Company will manufacture chemicals and operate in allied area, in-line with the Holding Company. Aether Speciality Chemicals is yet to commence business activities.

Aether Industries is a specialty chemicals manufacturer in India focused on producing advanced intermediates and specialty chemicals involving complex and differentiated chemistry and technology core competencies.

Quarterly Results

Audited Results

The centre will house seven synthetic labs with 55 German-made fume hoods

Aether Industries has inaugurated newly expanded R&D centre in Surat, Gujarat. The centre will help serve the growing demand in the CRAMS business segments and underpin efforts to achieve improved efficiency for existing products. In addition to that, Aether Industries’ latest R&D centre will support innovation for the company's continually-growing internal product pipeline to support its Large Scale Manufacturing business model. The new R&D centre is also accompanied by the world’s largest pilot plant with more than 100 reactors and plenty of other necessary downstream equipment.

The centre will house seven synthetic labs with 55 German-made fume hoods. This setup will allow the Company to conduct 110 reactions daily. Each of the fume hoods, conducive to the achievement of the highest levels of safety, features automation to control several experiment-related parameters. A specialised quality control and assurance lab is also available at the R&D centre. The pilot plant, also includes the DCS automation system, which enables the Company to test products at varying scales, starting from a few grams to several kilograms to several MTs, using various advanced technologies, such as continuous reactions and high pressure reactions.

Aether Industries is a specialty chemicals manufacturer in India focused on producing advanced intermediates and specialty chemicals involving complex and differentiated chemistry and technology core competencies.

Total income of the company increased by 1.45% to Rs 146.56 crore for Q2FY23

Aether Industries reported results for second quarter ended September 30, 2022.

The company has reported rise of 8.02% in its net profit at Rs 27.20 crore for Q2FY23 as compared to Rs 25.18 crore for the corresponding quarter previous year. Total income of the company increased by 1.45% to Rs 146.56 crore for the quarter under review as compared to Rs 144.46 crore for the same quarter in the previous year.

Aether Industries is a specialty chemicals manufacturer in India focused on producing advanced intermediates and specialty chemicals involving complex and differentiated chemistry and technology core competencies.

Polaroid is the holding company of the global Polaroid group of companies which is best known and world-famous for its instant photography products

Aether Industries has executed a long-term Master Supply Agreement (MSA) with Europe based Polaroid. Polaroid is the holding company of the global Polaroid group of companies which is best known and world-famous for its instant photography products.

The MSA includes cooperation in the areas of R&D and manufacturing services for Polaroid Film (instant photography chemistry) as well as Polaroid Sciences (new chemistry in fields of sustainability and medical use). Consequentially, the MSA proposes the groundwork for the creation of four different and specific research and supply agreements between the two companies. The MSA anticipates, based on historical data of the existing supply agreement between the two companies, an overall revenue of $ 15 million (approximately Rs. 1,215 million) over the partnership period of minimum 3 years.

This partnership contributes to the CRAMS (Contract Research and Manufacturing Services) business model of Aether Industries. This business model has already seen a growth of 68% year on year for Aether, and this new MSA with Polaroid is expected to further fuel this growth. 

Aether Industries is a specialty chemicals manufacturer in India focused on producing advanced intermediates and specialty chemicals involving complex and differentiated chemistry and technology core competencies.

The Manufacturing Site 3 will add capacities to the north of 3500 MT per annum for production of its five new specialty chemicals

Aether Industries has commercialized its Manufacturing Site 3 at GIDC Industrial Estate, Sachin, Surat, Gujarat, India. The total CAPEX planned for the site is around Rs 190 crore, of which Rs 163 crore has been raised from the IPO that the company concluded in June 2022 and remaining Rs 27 crore funded from internal accruals.

The trial runs have been started off and the commercial production of the plant will start within next ten days from January 16, 2023. The Manufacturing Site 3 will add capacities to the north of 3500 MT per annum for production of its five new specialty chemicals / intermediates for the Pharma Sector, which will be launched.

Aether Industries is a specialty chemicals manufacturer in India focused on producing advanced intermediates and specialty chemicals involving complex and differentiated chemistry and technology core competencies.

The company will manufacture 3 new products at this Manufacturing Site - 3+

Aether Industries has acquired and taken possession of New Industrial premises, located at GIDC Industrial Estate, Sachin, Surat, Gujarat. The site is adjacent to the recently commercialized Greenfield Manufacturing Site - 3. The said site will be termed as Manufacturing Site - 3+, as the company will merge the same with Manufacturing Site - 3 for various regulatory approvals. Trial runs for Site - 3 have commenced and commercial production timeline which has been stated for month end will not be affected. The total cost for Site - 3+ will be Rs 60 crore to Rs 70 crore and this will be funded by internal accruals and funding from banks.

The company will manufacture 3 new products (specialty chemicals and intermediates), at this Manufacturing Site - 3+. These three products are developed in company’s in-house R&D Centre. These products will be manufactured for the first time in India, like most of its products.

Aether Industries is a specialty chemicals manufacturer in India focused on producing advanced intermediates and specialty chemicals involving complex and differentiated chemistry and technology core competencies.

Total income of the company increased by 10.98% to Rs 170.53 crore for Q3FY23

Aether Industries reported results for third quarter ended December 31, 2022.

The company has reported rise of 37.94% in its net profit at Rs 35.04 crore for Q3FY23 as compared to Rs 25.40 crore for the corresponding quarter previous year. Total income of the company increased by 10.98% to Rs 170.53 crore for the quarter under review as compared to Rs 153.66 crore for the same quarter in the previous year.

Aether Industries is a specialty chemicals manufacturer in India focused on producing advanced intermediates and specialty chemicals involving complex and differentiated chemistry and technology core competencies.

Aether Industries will be exclusive supplier to Otsuka Chemical Co., Japan for the products for which the Agreement is executed

Aether Industries has executed a long-term Supply and Sales Agreement on March 3, 2023 with Otsuka Chemical Company, Japan, along with Chori Company, Japan (being the Agent of Otsuka Chemical Company).

The Agreement is executed for supply and sale of specific existing specialty intermediates of Aether Industries to the Otsuka Chemical Co., Japan. The Agreement is for supply and sales by Aether Industries to Otsuka Chemical Co., Japan for a period of 10 years, which will be enhanced for further period (after 10 years) with mutual consent of both the parties to the Agreement.

At maturity, within 3 years, a combined quantity of 300 MT (of the products) per year will be supplied by Aether Industries to Otsuka Chemical Co., Japan, and hence the revenue potential for the said agreement would Rs 510 million per year in the Large-Scale Manufacturing business model. Aether Industries will be exclusive supplier to Otsuka Chemical Co., Japan for the products for which the Agreement is executed.

Aether Industries is a specialty chemicals manufacturer in India focused on producing advanced intermediates and specialty chemicals involving complex and differentiated chemistry and technology core competencies.

Aether Speciality Chemicals is yet to commence business activities

Aether Industries has invested further in its Wholly Owned Subsidiary Company viz. ‘Aether Speciality Chemicals’ on March 7, 2023. The newly incorporated Company will manufacture chemicals and operate in allied area, in-line with the Holding Company. Aether Speciality Chemicals is yet to commence business activities.

Aether Industries is a specialty chemicals manufacturer in India focused on producing advanced intermediates and specialty chemicals involving complex and differentiated chemistry and technology core competencies.