Clean Science & Technology Ltd. share price target

Clean Science and Technology’s (Clean Science) Q2FY23 EBITDA margin at 39.4%
was up only 40bps QoQ despite softening raw material costs due to drop in PBQ
prices.

Clean Science (CLEAN) reported a beat on our revenue, however sharp rise in raw materials resulted in gross margin collapsing to 65% vs. our expectation of 70%. Despite higher absolute gross margin, higher operating expenditure led to in-line EBITDA (margin at 42.1% v/s 49.8% in 3QFY21 and 44.9% in 2QFY22). The Pharma and FMCG Chemicals segment performed better while the Performance Chemicals segment saw weak performance in the quarter....

Sarfraz Bhimani, CFA - Research Analyst (Sarfraz.Bhimani@MotilalOswal.com) Investors are advised to refer through important disclosures made at the last page of the Research Report. Motilal Oswal research is available on www.motilaloswal.com/Institutional-Equities, Bloomberg, Thomson Reuters, Factset and S&P; Capital....

Raised Rs.464 crs from anchor investors ahead of its initial public offer Primary focus on export growth by gaining access to new markets. Has a strong established Market Position Revenue generated by top 10 customers as of March FY21 represented 48% of total revenue. The Operations of the company in terms of Revenue, EBIDTA, and PAT has registered a CAGR growth of 14%, 38% &43% respectively during FY19-FY21. It is offered at P/E of 42 FY21 earnings which is below industry average of 55x, therefore we...

CLEAN SCIENCE AND TECHNOLOGY LTD. (CSTL) is a globally focused entirely on developing newer technologies using in-house catalytic. It manufactures functionally critical specialty chemicals such as Performance Chemicals (MEHQ, BHA and AP), Pharmaceutical Intermediates (i.e., Guaiacol and DCC), and FMCG Chemicals (i.e., 4-MAP and Anisole). Within 17 years of incorporation, it has grown to be

Axis Capital Limited, JM Financial Limited and Kotak Mahindra Capital Company Limited Link Intime India Private Limited...

Incorporated in 2003, Clean Science and Technology manufactures critical specialty chemicals such as performance chemicals (MEHQ, BHA, AP), pharmaceutical intermediates (Guaiacol, DCC), and FMCG chemicals (4MAP and Anisole). The company's products are used as key starting level materials, as inhibitors, or as additives, by customers, for products sold in regulated markets. Key customers include Bayer AG, SRF Ltd, Gennex Laboratories, Nutriad International NV and Vinati Organics. It has two certified production facilities with a combined installed capacity of 29,900...

Clean Science and Technology Limited IPO Note Issue Open: July 07 July 09, 2021 Price Band: Rs. 880 900 *Issue Size: 17,184,689 eq shares (Entirely Offer for Sale) Issue Size: Rs.1546.62 cr Reservation for: QIB Upto 50% eq sh Non Institutional atleast 15% eq sh Retail atleast 35% eq sh