Company history & products information:
Kaveri
Seed Company was consolidated on 27 August 1986 as 'Kaveri Seed Company Private
Limited'; with Mr. Gundavaram Venkata Bhaskar Rao Mrs. Gundavaram Vanaja Devi
and Mr. Rangineni Venu Manohar Rao as its originator advertisers of the
Company. Mr. Gundavaram Venkata Bhaskar Rao is one of the alumni in agrarian
science and began the matter of seed creation of public reared assortments of
corn bajra and sunflower on his own properties in the town of Gatla Narsingapur
Karimgar District Andhra Pradesh. The organization has kept on carrying on the
business into research seed creation handling pressing and promoting of
different excellent crossovers seeds and at the same time set up a preparing
plant in Bellary in Karnataka. In 1987 the Company has set up its showcasing
office at Davangere in Karnataka. In 1996 and set up a R and D office at
Bollaram to continue research and to raise new hybrids. In 1997 the organization
has set up a Seed Processing Plant at Biramulguda close to Hyderabad. Around
the same time the organization has presented sunflower mixture seeds. In 1999
the organization has expanded the seed molding ability to satisfy the
developing needs by setting up a huge scope preparing plant at Kandlakoi close
to Hyderabad. In the year 2002 the organization's advertisers has gone into a
correlative business of Bio-Products and Micro-Nutrients for which they set up
an association firm under the name and style of M/s. Kaveri Agriteck for
assembling and advertising bio-items and miniature supplements under the brand
Microteck'. The organization has gone into a sub-authorizing concurrence with
Mahyco Monsanto Biotech (India) Limited for Bt. transgenic innovation for
cotton in the year 2004.A new seed molding plant with Cob Dryers was set up at
Gundla Pochampally close to Hyderabad in 2005 and in Eluru in Andhra Pradesh in
2006. These cobs drying offices help in handling Corncobs gathered from
creation fields with high dampness levels. These offices gave us the benefit of
acquiring seeds with ideal dampness level with delayed timeframe of realistic
usability and expanded life. In September 2006 the organization has gained the
business resources and liabilities of M/s. Kaveri Agriteck; giving us the
capacity of addressing ranchers' requirements of seeds just as plant
supplements (for example bio-items and miniature supplements) under one
rooftop. At present the organization has drawn in into creation and showcasing
of agri-inputs (seeds of wide scope of yields, for example, corn sunflower
cotton pearl millet grain sorghum paddy and half and half vegetables and
furthermore micronutrients bio items and natural items. The company become public limited on Nov 2006
and the name of the company was changed into kaveri seeds ltd company in Aug 2007.
The
organization has gone into a non-elite permitting concurrence with JK Agri
Genetics Limited for utilizing bug open minded seed lines for creating testing
advertising and selling hereditarily altered mixture cotton sowing seed in
India.During the year 2014 the Company's Equity Share has partitioned bearing
the assumed worth of Rs.10/ - each into 5 Equity Shares of the presumptive
worth of Rs.2/ - each into completely settled up Equity Shares. Resulting to
stock split the organization's settled up capital is of 68742205 Equity Shares
of Rs.2/ - each.The Board of Directors of the Company at its gathering hung on
27th March 2017 has supported buyback up to 2962963 Equity Shares of Rs.2/ -
each on a proportionate premise at a cost of Rs.675/ - per value share payable
in real money for a total thought not surpassing Rs.200 Crores barring exchange
costs viz. business appropriate charges, for example, protections exchange
charge administration charge stamp obligation and so on via a Tender offer
course through Stock Exchange Mechanism. This is as per the arrangements of the
Companies Act 2013 and the Securities and Exchange Board of India (Buy Back of
Securities) Regulations 1998 and other relevant laws and guidelines. The
buyback is a capital distribution choice taken with the goal of looking for a
more attractive valuation of the organization's stock while working on the
organization's Return on Equity and expanding investor esteem in the more
extended term. The offer size of the buyback is inside the endorsed furthest
reaches of 25% of the total of settled up capital and free holds of the
organization and addresses 4.29% of the absolute gave and settled up value
share capital of the organization as on 31st March 2016.
Personal View on the company Stock:
Kaveri seeds Ltd It is the ones of the old company in agriculture sector and the brand of this company is favourite of farmers. Today I have chosen this company because I found that this company is highly undervalued at this stage of the market when there is panic into the world market due to corona. But the demand of this company will always be in demand because in which sector this company product uses that sector always in focus anywhere in the world economy.
The financials of the company is also better as compared to other peers. The Govt has also focus on this sector and upcoming financial support package my also give good support for up move in the price of the company. It is highly recommended that please book profit on higher levels if you will get profit coming months. From my point of view this is the company which can give very good upside in coming days. I will personally accumulate this stock. I will not give more reason to buy this company share. The only one line is sufficient to explain the reason.
Disclaimer:
It is my personal view on this stock. Kindly do your own research before making any investment in this stock. My view may differ from others. The company profile data may have collected from company website but the view on the stock is personal.
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