grasim industries event update centrum 190810

7/30/2019 Grasim Industries Event Update Centrum 190810

1/6

Buy

Target Price: 2,549

CMP: Rs2,060*

Upside: 23.7%*as on 18 August 2010

Rajan [email protected] 22 4215 9640

VSF in sweet spot, Ultratech near troughvaluation

The recent flood in Pakistan is expected to furthertighten the demand-supply balance in cotton, ensuring

buoyant prices for the next season. The recent

imposition of anti-dumping duty on Chinese and

Indonesian VSF provides a further cushion to domestic

VSF prices. In addition, if US cotton subsidies are

removed post a definitive WTO verdict in favour of

Brazil, it would result in a further trigger for long-term

buoyancy in cotton prices (refer to our note Brazil

Retaliation-Leap for VSF Prices dated 15 March 2010).

Grasim becomes a compelling Buy given the

unsustainably high holding company discount of 65%for its 60.4% stake in Ultratech Cement, which has

limited downside. We reiterate a Buy on Grasim, with a

target price of Rs2,549, implying a potential upside of

23.7%.

VSF business in sweet spot: Cotton and VSF prices are

expected to continue their buoyant trend, as the floods in

Pakistan are expected to further tighten the cotton

demand-supply balance. The recent imposition of anti-

dumping duty on Chinese and Indonesian VSF imports is

likely to provide a further cushion to domestic VSF prices.

Limited downside in Ultratech Cements: With the

valuation of Ultratech Cements falling to P/BV of 2.3x,

comparable with ACC valuation during the last trough

(1.9x during FY03), there is little downside on the stock.

We see Ultratech Cement as an attractive long-term

investment.

Holding company discount at an unsustainable 65%:

With limited downside in Ultratech Cements, robust VSF

outlook and unsustainably high holding company

discount of 65% for Grasims 60.4% stake in Ultratech

Cements, Grasim becomes a compelling Buy. We reiterateour Buy rating with a target price of Rs2549, based on

SOTP valuation.

Key Data

Bloomberg Code GRASIM IN

Reuters Code GRAS.BO

Current Shares O/S (mn) 91.7

Diluted Shares O/S(mn) 91.7

Mkt Cap (Rsbn/USDbn) 188.9/4.1

52 Wk H / L (Rs) 2,229/1,496

Daily Vol. (3M NSE Avg.) 150,282

Face Value (Rs) 10

1 USD = Rs46.6

Shareholding Pattern (%)

Foreign, 36.0

Institutions, 21.0

Non Promoter Corp.

Hold., 5.6

Promoters, 25.5

Public & Others, 12.0

As on 30 June 2010

One year Indexed Stock Performance

80

85

90

95

100

105

110

115

120

125

130

Aug-09 Oct-09 Dec-09 Feb-10 Apr- 10 Jun- 10 Aug-10

GRASIM INDS LTD BSE SENSEX 30 INDEX

Price Performance (%)

1M 6M 1Yr

Grasim Ind. 12.7 3.0 11.8

NIFTY 2.8 13.8 24.4

Source: Bloomberg, Centrum Research*as on 18 August 2010

Event Update 19 August 2010

Please refer to important disclosures/disclaimers in Appendix A

Cement

INDIA

Grasim Industries

Y/E Mar (Rsbn) Rev YoY (%) EBITDA EBITDA (%) Adj PAT YoY (%) Fully DEPS RoE (%) RoCE (%) P/BV P/E (x) EV/EBITDA (x)

FY08 169.7 20.6 49.6 29.2 26.2 33.4 286.2 33.4 21.1 2.6 7.2 4.7

FY09 184.0 8.4 43.3 23.5 21.9 (16.7) 238.5 21.1 15.0 2.0 8.6 5.3

FY10 199.3 8.3 57.9 29.0 27.6 26.2 301.0 22.9 16.4 1.8 6.8 3.9

FY11E 209.1 4.9 50 23.7 20.8 (24.5) 227 15.5 12.0 1.5 9.1 4.6

FY12E 219.0 4.7 49.9 22.8 20.6 (1.3) 224 13.6 10.6 1.3 9.2 4.4

Source: Company, Centrum Research Estimates


2/6

2 Grasim Industries

VSF business in sweet spot

The recent flood in Pakistan is reported to have destroyed about 30% of the countrys crop. This isexpected to lead to lower availability of cotton by 0.7mn mt in the next cotton season (2010/11),and would further tighten the already tight global cotton demand-supply balance. This puts GrasimIndustries VSF business in a sweet spot, as the buoyant streak in cotton prices as well as VSF pricesis expected to continue over FY11/FY12.

A further trigger for long-term buoyancy can be the possible removal of US cotton subsidies post a

definitive WTO verdict in favour of Brazil (refer to our note Brazil Retaliation Leap for VSF Prices,dated 15 March, 2010).

Exhibit 1: World cotton demand supply to further tighten

World Cotton Supply and Demand Forecast (ICAC)August 2010

2008/09 2009/10 2010/11E

MillionTons

Milliontons

MillionTons

BEGINNING STOCKS 12.25 12.01 9.45

PRODUCTION 23.35 21.86 25.24

SUPPLY 35.6 33.88 34.69

CONSUMPTION 23.39 24.47 24.92

EXPORTS 6.63 7.69 8.05

ENDING STOCKS 12.01 9.45 9.77

Likely Scenario Post PakistanFlood Impact)

2010/11

MillionTons

9.45

24.58

34.03

24.92

8.05

9.11

Source: International Cotton Advisory Committee

In addition, the recent imposition of anti-dumping duty on Chinese (@$0.19/kg) and Indonesian(@$0.5/kg) VSF provides a further cushion to the prevailing domestic VSF prices.

Exhibit 2: Snapshot of the VSF segment: robust business with high margin and ROCE

FY02 FY03 FY04 FY05 FY06 FY07 FY08 FY09 FY10 FY11E FY12E

Sales Volume (tonne) 181,520 227,900 229,110 231,533 242,399 250,725 269,781 238,463 308,431 325,502 341,777

Realization (Rs/tonne) 73,215 67,921 72,269 79,008 73,786 85,729 103,316 96,516 106,481 110,103 110,103

Revenue (Rsmn) 13,290 16,400 17,648 19,564 19,130 23,089 29,985 24,765 35,742 35,839 37,631EBIDTA (Rsmn) 3,541 5,916 5,727 6,108 4,950 7,123 10,971 5,136 13,155 12,544 12,794

Margin (%) 26.6 36.1 32.5 31.2 25.9 30.9 36.6 20.7 36.8 35.0 34.0

EBIT (Rsmn) 3,059 5,438 5,204 5,536 4,296 6,380 10,120 4,082 12,035 11,336 11,474

ROCE (%)* 29.5 52.2 45.1 35.2 25.7 33.3 40.2 16.0 48.0 45.0 44.4

*ROCE-- (EBIT(1-tax rate)/Average Capital Employed)Source: Company, Centrum Research Estimates

Ultratechs valuation attractive from long-term perspective

With the valuation of Ultratech Cements (CMP Rs898) falling to a P/BV of 2.3x, which is comparablewith ACCs valuation during the last trough (1.9x during FY03), there is little downside on the stock,which we view as an attractive long-term investment.

Exhibit 3: Re-Rating: 1.5X P/BV-2xP/BV in FY03 (Oversupply phase) to 3.6X-3.8XP/BV in FY05-07 (Tight demand supply)

Price to Book value (Ambuja Cements)

0.0

1.0

2.0

3.0

4.0

5.0

6.0

Jun-91

Jun-92

Jun-93

Jun-94

Jun-95

Jun-96

Jun-97

Jun-98

Jun-99

Jun-00

Jun-01

Jun-02

Jun-03

Jun-04

Jun-05

Jun-06

Jun-07

Jun-08

Jun-09

(x)

1.5x Average

Value

3.6x Average

Value

Price/Book Value (ACC)

0

2

4

6

8

10

12

14

Apr-

91

Apr-

92

Apr-

93

Apr-

94

Apr-

95

Apr-

96

Apr-

97

Apr-

98

Apr-

99

Apr-

00

Apr-

01

Apr-

02

Apr-

03

Apr-

04

Apr-

05

Apr-

06

Apr-

07

Apr-

08

Apr-

09

(x)

3.8x Average

Value1.9x Average

Value

Source: Bloomberg, Centrum Research


3/6

3 Grasim Industries

Holding company discount unsustainable at 65%, Grasim becomes a compelling Buy

With limited downside in Ultratech Cements, robust VSF outlook and unsustainably high holdingcompany discount of 65% for Grasims 60.4% stake in Ultratech Cements, Grasim becomes acompelling Buy. We reiterate our Buy rating with a target price of Rs2549, based on SOTP valuation.

Exhibit 4: Inexpensive route to play Ultratech Cement

Source: Company, Centrum Research

Exhibit 5: Grasims SOTP valuation

Value Per Share (Rs)

Share in Ultratech (with 30% holding company discount at Ultratech TP of Rs830) 1,049

Value of strategic investments (0.7 x Mcap) 235

Value of liquid investment (1x) 274

Value of VSF business (12X FY11E) 990

Value of Grasim share post restructuring 2,549

Source: Company, Centrum Research

UltraTech (CMP: Rs898)

Grasims equity (Rsmn) 916.9

Grasim's direct holding in UltraTech (Post Samrudhhi merger) 60.4%

Holding in UltraTech that Grasim's shareholders would get in individual capacity 19.11%

UltraTech's market cap @898/share (Rsmn) 246,318

SOTP valuation of Grasim (Rs)

A. Value of Grasims direct holding in UltraTech (post Samrudhhi merger) /share 1,622

B Value of VSF biz per share (PE 12X FY11 E) 991

C. Value of investments in L&T, Hindalco, Idea and AV Nuvo (0.7 X M cap) 237

D. Value liquid investments (1X ) 274

E A+B+C+D Value of Grasim per share (with no holding company discount for UltraTech stake) 3,121

F CMP of Grasim stock 2,060

G E-F Holding company discount 1,061

H G/A Holding company discount (%) to valuation assigned to Ultratech 65.4


4/6

4 Grasim Industries

Financials (Consolidated)

xhibit 6: Income Statement

/E Mar (Rsmn) FY08 FY09 FY10 FY11E FY12E

evenues 169,739 184,039 199,334 209,103 219,011

rowth in revenues (%) 20.6 8.4 8.3 4.9 4.7

BITDA 49,598 43,296 57,867 49,644 49,941

BITDA Margin 29.2 23.5 29.0 23.7 22.8

epreciation 6,703 8,658 9,947 11,557 12,575

BIT 42,895 34,638 47,920 38,088 37,366

nterst expenses 2,221 3,105 3,346 3,817 3,817

BT from operations 40,674 31,534 44,574 34,271 33,550

ther non operating income 4,623 4,532 5,356 6,000 6,000

BT before extra-ordinary items 45,296 36,066 49,930 40,271 39,550

xtra-ordinary income/ (exp) - - - - -

BT 45,296 36,066 49,930 40,271 39,550

rovision for tax 14,658 9,914 15,705 12,581 12,365

ffective tax rate 32.4 27.5 31.5 31.2 31.3

AT 30,639 26,152 34,225 27,690 27,185

Minority Interest 4,565 4,445 7,141 6,853 6,625

AT after minority int. 26,073 21,708 27,084 20,836 20,559

djusted PAT 26,073 21,708 27,084 20,836 20,559

rowth in PAT (%) 15.5 11.9 13.8 10.0 9.4

AT margin 15.4 11.8 13.6 10.0 9.4

ource: Company, Centrum Research Estimates

xhibit 7: Balance Sheet

/E Mar (Rsmn) FY08 FY09 FY10 FY11E FY12E

hare Capital 917 917 917 917 917

eserves 90,462 114,662 124,189 141,801 159,137

hareholders' fund 91,438 115,701 125,246 142,859 160,194Minority Interest 12,760 16,704 37,548 44,402 51,027

ebt 55,771 59,162 55,992 58,162 57,662

eferred Tax Liability 11,575 15,919 20,057 22,557 25,057

otal Capital Employed 171,544 207,485 238,844 267,979 293,940

ross Block 157,198 210,623 229,509 245,559 265,559

ccumulated dep. 63,397 68,254 71,646 83,202 95,777

et Block 93,801 142,369 157,864 162,357 169,782

apital WIP 55,335 19,822 7,734 25,134 20,134

otal Fixed Assets 149,136 162,191 165,598 187,491 189,916

nvestments 16,607 35,626 66,759 66,759 66,759

nventories 17,443 22,210 21,835 22,905 23,990

ebtors 10,185 8,239 8,803 9,234 9,672

ash & bank balances 2,903 2,270 2,370 9,520 32,960

oans and Advances 12,047 12,615 12,362 12,870 13,370

otal current assets 42,578 45,333 45,370 54,529 79,992

urrent lia & provisions 36,783 35,685 38,891 40,797 42,730

et current assets 5,795 9,649 6,478 13,732 37,262

Misc. Expenditure - - - - -

otal Assets 171,544 207,485 238,844 267,979 293,940

ource: Company, Centrum Research Estimates

Exhibit 8: Cash flow

Y/E Mar (Rsmn) FY08 FY09 FY10 FY11E FY11E

CF from operating

Profit before tax 45,296 36,066 49,930 40,271 39,550

Depreciation 6,703 8,658 9,947 11,557 12,575

Interest expenses/other (382) 67 1,064 3,817 3,817

OP profit before WC change 51,617 44,791 60,941 55,644 55,941

Wo rking capital adjustment ( 574) (4,657) (1,497) (94) (90)

Gross cash from operations 51,043 40,134 59,445 55,550 55,852

Direct taxes paid (14,072) (5,509) (11,190) (10,081) (9,865)

Cash from operations 36,972 34,625 48,254 45,469 45,987

Extraordinary (Inc) 2,980 - 10,249 - -

Cash From Op & EI 39,952 34,625 58,503 45,469 45,987

CF from investing

Capex (51,181) (26,468) (14,555) (33,450) (15,000)

Investment 5,885 (10,183) (30,662) - -

Cash from investment (45,296) (36,651) (45,216) (33,450) (15,000)

CF from f inancing

Proceeds from sh cap & prem. 634 438 18 - -

Borrowings/ (Repayments) 7,201 7,991 (4,647) 2,169 (500)

Interest paid (3,095) (3,483) (5,015) (3,817) (3,817)

Dividend paid (185) (3,553) (3,545) (3,224) (3,224)

Cash from financing 4,555 1,392 (13,188) (4,872) (7,541)

Net cash increase/ (dec) (789) (633) 99 7,147 23,446


Exhibit 9: Key RatiosY/E Mar FY08 FY09 FY10 FY11E FY12E

Margin Ratios (%)

EBITDA Margin 29.2 23.5 29.0 23.7 22.8

PBIT Margin 28.0 21.3 26.7 21.1 19.8

PBT Margin 26.7 19.6 25.0 19.3 18.1

PAT Margin 15.5 11.9 13.8 10.0 9.4Growth Ratios (%)

Revenues 20.6 8.4 8.3 4.9 4.7

E BITDA 24.9 ( 12.7) 33 .7 (14.2) 0.6

Net Profit 33.4 (16.7) 26.2 (24.5) (1.3)

Return Ratios (%)

ROCE 21.1 15.0 16.4 12.0 10.6

ROIC 24.9 16.3 21.6 14.8 13.3

ROE 33.4 21.1 22.9 15.5 13.6

Turnover Ratios

Asset turnover ratio (x) 1.0 0.9 0.8 0.8 0.7

Working capital cycle (days) (20.2) (11.0) (15.7) (15.7) (15.7)

Avg collection period (days) 21.9 16.3 16.1 16.1 16.1

Avg payment period (days) 79.1 70.8 71.2 71.2 71.2

Inventory holding (days) 37.0 43.4 39.4 39.4 39.4

Per share (Rs)Fully diluted EPS 286.2 238.5 301.0 227.2 224.2

CEPS 359.3 332.9 409.4 353.3 361.3

DPS 30.0 30.0 30.0 30.0 30.0

Book Value 997.3 1,261.9 1,365.8 1,557.9 1,746.9

Solvency ratios

Debt/ Equity 0.5 0.4 0.3 0.3 0.2

Net Debt/Equity 0.3 0.2 (0.1) (0.1) (0.2)

Interest coverage 21.4 12.6 15.9 11.6 11.4

Valuation parameters (x)

P/E 7.2 8.6 6.8 9.1 9.2

P/BV 2.1 1.6 1.5 1.3 1.2

EV/ EBITDA 4.7 5.3 3.9 4.6 4.4

EV/ Sales 1.5 1.3 1.2 1.1 1.0

M-Cap/ Sales 1.1 1.0 0.9 0.9 0.9



5/6

5 Grasim Industries

Appendix A

Disclaimer

entrum Broking Pvt. Ltd. (Centrum) is a full-service, Stock Broking Company and a member of The Stock Exchange, Mumbai (BSE) and National Stock Exchange of India Ltd. (NSE). Our holdingompany, Centrum Capital Ltd, is an investment banker and an underwriter of securities. As a group Centrum has Investment Banking, Advisory and other business relationships with a significantercentage of the companies covered by our Research Group. Our research professionals provide important inputs into the Group's Investment Banking and other business selection processes.

ecipients of this report should assume that our Group is seeking or may seek or will seek Investment Banking, advisory, project finance or other businesses and may receive commission,rokerage, fees or other compensation from the company or companies that are the subject of this material/report. Our Company and Group companies and their officers, directors andmployees, including the analysts and others involved in the preparation or issuance of this material and their dependants, may on the date of this report or from, time to time have "long" orhort" positions in, act as principal in, and buy or sell the securities or derivatives thereof of companies mentioned herein. Centrum or its affiliates do not own 1% or more in the equity of this

ompany Our sales people, dealers, traders and other professionals may provide oral or written market commentary or trading strategies to our clients that reflect opinions that are contrary to thepinions expressed herein, and our proprietary trading and investing businesses may make investment decisions that are inconsistent with the recommendations expressed herein. We may havearlier issued or may issue in future reports on the companies covered herein with recommendations/ information inconsistent or different those made in this report. In reviewing this document,ou should be aware that any or all of the foregoing, among other things, may give rise to or potential conflicts of interest. We and our Group may rely on information barriers, such as "Chinese

Walls" to control the flow of information contained in one or more areas within us, or o ther areas, units, groups or affiliates of Centrum. Centrum or its affiliates do not make a market in the securityf the company for which this report or any report was written. Further, Centrum or its affiliates did not make a market in the subject companys securities at the time that the research report wasublished.

his report is for information purposes only and this document/material should not be construed as an offer to sell or the solicitation of an offer to buy, purchase or subscribe to any securities, andeither this document nor anything contained herein shall form the basis of or be relied upon in connection with any contract or commitment whatsoever. This document does not solicit anyction based on the material contained herein. It is for the general information of the clients of Centrum. Though disseminated to clients simultaneously, not all clients may receive this report athe same time. Centrum will not treat recipients as clients by virtue of their receiving this report. It does not constitute a personal recommendation or take into account the particular investmentbjectives, financial situations, or needs of individual clients. Similarly, this document does not have regard to the specific investment objectives, financial situation/circumstances and thearticular needs of any specific person who may receive this document. The securities discussed in this report may not be suitable for all investors. The securities described herein may not beigible for sale in all jurisdictions or to all categories of investors. The countries in which the companies mentioned in this report are organized may have restrictions on investments, voting rightsr dealings in securities by nationals of other countries. The appropriateness of a particular investment or strategy will depend on an investor's individual circumstances and objectives. Personsho may receive this document should consider and independently evaluate whether it is suitable for his/ her/their particular circumstances and, if necessary, seek professional/financial advice.ny such person shall be responsible for conducting his/her/their own investigation and analysis of the information contained or referred to in this document and of evaluating the merits and risksvolved in the securities forming the subject matter of this document.

he projections and forecasts described in this report were based upon a number of estimates and assumptions and are inherently subject to significant uncertainties and contingencies.rojections and forecasts are necessarily speculative in nature, and it can be expected that one or more of the estimates on which the projections and forecasts were based will not materialize orill vary significantly from actual results, and such variances will likely increase over time. All projections and forecasts described in this report have been prepared solely by the authors of this

eport independently of the Company. These projections and forecasts were not prepared with a view toward compliance with published guidelines or generally accented accounting principles.o independent accountants have expressed an opinion or any other form of assurance on these projections or forecasts. You should not regard the inclusion of the projections and forecastsescribed herein as a representation or warranty by or on behalf of the Company, Centrum, the authors of this report or any other person that these projections or forecasts or their underlyingssumptions will be achieved. For these reasons, you should only consider the projections and forecasts described in this report after carefully evaluating all of the information in this report,cluding the assumptions underlying such projections and forecasts.

he price and value of the investments referred to in this document/material and the income from them may go down as well as up, and investors may realize losses on any investments. Pasterformance is not a guide for future performance. Future returns are not guaranteed and a loss of original capital may occur. Actual results may differ materially from those set forth in projections.orward-looking statements are not predictions and may be subject to change without notice. Centrum does not provide tax advice to its clients, and all investors are strongly advised to consultegarding any potential investment. Centrum and its affiliates accept no liabilities for any loss or damage of any kind arising out of the use of this report. Foreign currencies denominated securitiesre subject to fluctuations in exchange rates that could have an adverse effect on the value or price of or income derived from the investment. In addition, investors in securities such as ADRs, thealue of which are influenced by foreign currencies effectively assume currency risk. Certain transactions including those involving futures, options, and other derivatives as well as non-vestment-grade securities give rise to substantial risk and are not suitable for all investors. Please ensure that you have read and understood the current risk disclosure documents before

ntering into any derivative transactions.

his report/document has been prepared by Centrum, based upon information available to the public and sources, believed to be reliable. No representation or warranty, express or implied ismade that it is accurate or complete. Centrum has reviewed the report and, in so far as it includes current or historical information, it is believed to be reliable, although its accuracy and

ompleteness cannot be guaranteed. The opinions expressed in this document/material are subject to change without notice and have no obligation to tell you when opinions or information inhis report change.

his report or recommendations or information contained herein do/does not constitute or purport to constitute investment advice in publicly accessible media and should not be reproduced,ansmitted or published by the recipient. The report is for the use and consumption of the recipient only. This publication may not be distributed to the public used by the public media without

he express written consent of Centrum. This report or any portion hereof may not be printed, sold or distributed without the written consent of Centrum.

his report has not been prepared by Centrum Securities LLC. However, Centrum Securities LLC has reviewed the report and, in so far as it includes current or historical information, it is believed toe reliable, although its accuracy and completeness cannot be guaranteed.

he distribution of this document in other jurisdictions may be restricted by law, and persons into whose possession this document comes should inform themselves about, and observe, any suchestrictions. Neither Centrum nor its directors, employees, agents or representatives shall be liable for any damages whether direct or indirect, incidental, special or consequential including lostevenue or lost profits that may arise from or in connection with the use of the information.

his document does not constitute an offer or invitation to subscribe for or purchase or deal in any securities and neither this document nor anything contained herein shall form the basis of anyontract or commitment whatsoever. This document is strictly confidential and is being furnished to you solely for your information, may not be distributed to the press or other media and mayot be reproduced or redistributed to any other person. The distribution of this report in other jurisdictions may be restricted by law and persons into whose possession this report comes shouldform themselves about, and observe any such restrictions. By accepting this report, you agree to be bound by the fore going limitations. No representation is made that this report is accurate or

omplete.

he opinions and projections expressed herein are entirely those of the author and are given as part of the normal research activity of Centrum Broking and are given as of this date and are subjecto change without notice. Any opinion estimate or projection herein constitutes a view as of the date of this report and there can be no assurance that future results or events will be consistent

ith any such opinions, estimate or projection.his document has not been prepared by or in conjunction with or on behalf of or at the instigation of, or by arrangement with the company or any of its directors or any other person. Information this document must not be relied upon as having been authorized or approved by the company or its directors or any other person. Any opinions and projections contained herein are entirely

hose of the authors. None of the company or its directors or any other person accepts any liability whatsoever for any loss ari sing from any use of this document or its contents or otherwise arising connection therewith.

entrum and its affiliates have not managed or co-managed a public offering for the subject company in the preceding twelve months. Centrum and affiliates have not received compensationom the companies mentioned in the report during the period preceding twelve months from the date of this report for service in respect of public offerings, corporate finance, debt restructuring,vestment banking or other advisory services in a merger/acqaisition or some other sort of specific transaction.

s per the declaration given by him/her Mr Rajan Kumar analyst and the author of this report and/or any of his/her family members do not serve as an officer, director or are any way connected tohe company/companies mentioned in this report. Further, as declared by them, they have not received any compensation from the above companies in the preceding twelve months. Our entireesearch professionals are our employees and are paid a salary. They do not have any other material conflict of interest of the research analyst or member of which the research analyst knows ofas reason to know at the time of publication of the research report or at the time of the public appearance.

While we would endeavor to update the information herein on a reasonable basis, Centrum, i t's associated companies, their directors and employees are under no obligation to update or keep theformation current. Also, there may be regulatory, compliance or other reasons that may prevent Centrum from doing so.

on-rated securities indicate that rating on a particular security has been suspended temporarily and such suspension is in compliance with applicable regulations and/or Centrum policies, inrcumstances where Centrum is acting in an advisory capacity to this company, or any certain other circumstances


6/6

6 Grasim Industries

Key to Centrum Investment Rankings

Buy: Expected outperform Nifty by>15%, Accumulate: Expected to outperform Nifty by +5 to 15%, Hold: Expected tooutperform Nifty by -5% to +5%, Reduce: Expected to underperform Nifty by 5 to 15%, Sell: Expected to underperform Nifty

by>15%

Centrum Broking Private LimitedMember (NSE, BSE, MCX-SX), Depository Participant (CDSL) and SEBI registered Portfolio

Manager

Regn NosCAPITAL MARKET SEBI REGN. NO.: BSE: INB 011251130, NSE: INB231251134

DERIVATIVES SEBI REGN. NO.: NSE: INF 231251134 (TRADING & SELF CLEARING MEMBER)CDSL DP ID: 12200. SEBI REGISTRATION NO.: IN-DP-CDSL-20-99

PMS REGISTRATION NO.: INP000000456MCX SX (Currency Derivative segment) REGN. NO.: INE 261251134

Website: www.centrum.co.inInvestor Grievance Email ID: [email protected]

REGD. OFFICE AddressBombay Mutual Bldg.,2nd Floor, Dr. D. N. Road, Fort,

Mumbai - 400 001

Correspondence AddressCentrum House, 6th Floor, CST Road, Near Vidya Nagari Marg,

Kalina, Santacruz (E), Mumbai 400 098.Tel: (022) 4215 9000

grasim industries event update centrum 190810

Documents