Karvy initiates coverage of IFGL Refractories with a Buy Rating. Doubling of high margin shaped refractory capacity at Kandla Gujarat and Ohio USA, to commence production through FY15-16E. Kandla to serve European markets leading to lower distribution expenses and freeing up of capacity at Odisha plant to cater to domestic steel industry. We expect EPS to grow at a CAGR of 18.6% during FY14-16E to reach to Rs.25.7 and RoE and RoCE to reach to 21.4% and 26% respectively by FY16E.