Indofil Industries Limited Unlisted Share

⭐ A Global Agrochemical & Specialty Chemical Leader

Indofil has built a strong reputation for delivering advanced crop protection solutions that enhance farm productivity and promote sustainable agriculture. Its portfolio includes fungicides, herbicides, insecticides, and specialty chemicals used across multiple crop categories. With a network across 96+ countries, the company generates nearly 50% of its revenue from international markets, validating its global leadership.

To support its international growth, Indofil has established subsidiaries in key markets such as Netherlands, Brazil, Costa Rica, Bangladesh, and the Philippines, enabling local distribution, faster registrations, value-added distribution (VAD), and closer engagement with customers.

⭐ Backward Integration & Manufacturing Strength

Indofil’s manufacturing infrastructure is one of the most advanced in the Indian chemical industry. The company operates major facilities in Thane (Maharashtra) and Dahej (Gujarat)—the latter being a state-of-the-art multi-product complex.
Capacity expansions include:

• EBDC Plant – 35,000 TPA
• Innovative Solution Plant – 35,000 TPA
• Carbon Disulphide (CS2) Plant through a JV with Shanghai Baijin Group
• Synthesis Plants with growing production capabilities

This backward integration ensures supply security for critical raw materials, cost optimization, and robust margins.

⭐ Business Performance & FY24 Highlights

Indofil delivered a resilient performance in FY24 despite pricing pressures in the global agrochemical market:

📌 Revenue

• Grew marginally to ₹3,118 Cr (vs ₹3,095 Cr in FY23)
• Volume growth: 18% overall, 38% in international markets
• Brazil recorded a 65% volume surge, strengthening Indofil’s global foothold

📌 Profitability

• Gross Margins improved to 42% (from 37%) due to lower raw material costs
• PAT increased 45% to ₹332 Cr, showcasing strong operational leverage

📌 Cash Flow & Capital Allocation

• Operational cash flow: ₹426 Cr (vs –₹67 Cr last year)
• Debt repaid: ₹200 Cr
• Dividend paid: ₹27 Cr
• Capex: ₹67 Cr

📌 Financial Ratios

• ROE: 8.5%
• EPS: ₹155

⭐ Valuation of Indofil Unlisted Shares

• Current Unlisted Price: ₹1,375 per share
• Market Capitalization: ~₹3,100 Cr
• P/E Ratio: ~10x

Compared to top listed peers:

• Rallis India: P/E ~47x
• Bharat Rasayan: P/E ~37x
• Industry Median P/E: ~40x

Indofil is significantly undervalued relative to the broader agrochemical sector.

⭐ Why Indofil’s Valuation Is Depressed (Despite Strong Fundamentals)

1️⃣ Ongoing Modi Family Legal Dispute

The ownership conflict involving Bina Modi, Lalit Modi, and Samir Modi has created uncertainties around leadership stability and long-term strategic direction. Investor sentiment remains cautious until a resolution emerges.

2️⃣ No IPO Roadmap

With no planned or expected IPO in the near future, investors lack a clear exit route—reducing demand and valuation in the unlisted market.

⭐ Conclusion

Indofil Industries Limited is a high-potential agrochemical leader with strong global presence, improving margins, and powerful manufacturing capabilities. Despite temporary valuation constraints caused by governance disputes and the lack of an IPO timeline, the company’s robust fundamentals, strong global demand, and improving cash flows position it as an attractive long-term opportunity in the unlisted market.