UNJHA FORMULATIONS Share price

M/s. Unjha Formulations Limited was established in June 1987as a partnership firm for manufacturing PharmaceuticalFormulations at Khali Char Rasta Tal: SidhpurDist: Mehsana. The firm has now been converted into aPublic Limited Company vide Certificate of IncorporationNo.04/22932 of 1994-95 dated 2.9.94. The company ispresently manufacturing pharmaceutical formulations likeliquids powder tablets capsules injectibles etc. TheCompany is one of the largest manufacturers of Isabgulproducts in India. The company is located in the heart ofIsabgul growing region worldwide.The Company has seen uninterrupted growth sinceincorporation and the sales have consistently risen fromRs.85 lacs in 1991-92 to Rs.348.50 lacs in 1994-95. TheCompany is presently manufacturing an extensive range ofPharmaceutical Formulations for human consumption and forveteniary use. The sales therefore are divided into the twosegments viz: human consumption and veterinary products.In the proposed expansion programme the company proposesto manufacture additional tablets and injectibles for humanconsumption and also catering veterinary market. Thecompany has identified the market segment for veterinarydrugs as a less competitive market. Other Companiespromoted by the promoter are in the business of procuringand trading in Psyllium husk. The Company procures thisprocessed husk for its various products. Therefore thereis no conflict of interest. Also not all the raw materialis procured from companies promoted by the same promotersand procurement is based on best rates available."Gelax" is one of the main products of the companycatering to the domestic market. The Company has signed aMOU with the Indian Immunological Hyderabad (a unit of theNational Dairy Development Board) for the offtake of theirproducts.The Company has seen its exports continuously increase fromRs.5.52 lacs in 1991-92 to Rs.38.56 lacs in 1994-95. Thecompany has received Export Orders from Companies in Kenyaand Dubai for Magnesium Silicate Compound and IsabgulProducts worth Rs.46.10 lacs. The Company is operating in an industry where there aremajor pharmaceutical companies - both Indian andMultinational - operating. However the company has aninherent advantage in that it is located in the heart ofthe Isabgul growing regions in the world with promoterswell experienced in the procurement of Psyllium Husk - themajor raw material for the company''s products. Also it hasfirm marketing tie up with a major concern which has a strongbrand image.