Rajoo Engineers Ltd. Stock Analysis

Rajoo Engineers, having made a modest beginning in 1986, has emerged as an undisputed global player in blown film and sheet extrusion lines. Inspired by a unique blend of spiritual professionalism and technological prowess, the company has become major supplier of world class machines at affordable prices.

The company entered into development of various extrusion systems and delivered its first PPTQ film plant in 1988. And since then, never looked back, continuing to add one after the another extrusion line into its product range consistently.

The company made an initial public offering in 1994 and received an overwhelming response from the capital market culminating in over-subscription by about 24 times, which by itself is a record in the Asian Plastic Machinery Manufacturing Industry.

It is a fact that none of their customers have ever gone sick. It is also a fact that all the customers when expanding or diversifying, have repeatedly ordered for their machines which is an ample proof of customer satisfaction. Repeat orders contribute to more than 60% of company's sales.

The company enjoys the largest market share of blown film lines, sheet lines and thermoformers on the Indian sub-continent. Leadership amongst the Asian manufacturers of such equipments is undisputedly established.

The exports constitute over 60% of its total sales. The company now enjoys successful and satisfied customer base across the globe. CE compliant machines have been sold into Germany and also to U.K. and U.S.A., a major break-through, supplying to the very source of such machines.

The company's machines also operate from as far as in, Colombia, Ecuador and Mexico in Latin America, Kenya, Tanzania, Sudan and Uganda in East Africa, Ghana and Nigeria in West Africa, Angola, Lesotho, Namibia and Zambia in South Africa, Iran, Kuwait, and U.A.E. in the Gulf. Closer home, the company has witnessed growth of satisfied customers in Bangladesh, Japan, Malaysia, Nepal, Pakistan, Papua New Guinea, Russia, Sri Lanka, Thailand and Vietnam.

Product range of the company includes:

The company is engaged in the design and manufacture of an impressive range of blown film lines, sheet lines and thermo formers:

• Monolayer Blown Film Lines
• Multilayer Blown Film Lines
• Downward Extrusion Blown Film Lines
• Foam Extrusion Lines
• Mono & Multilayer Sheet Lines
• Thermoforming Machine

Milestones

• 1986  Commenced business as Rajoo Engineers at Manavadar, a small village in Junagadh district to manufacture cutting-sealing machines. 
• 1988  Ventured into the manufacture of blown film lines and delivered first PPTQ blown film line. 
• 1990  Made an entry into the International market with maiden export of a blown film line to Tanzania.
• 1990  Launched the first ever blown film line to manufacture chemically foamed PE films and displayed the line at Plastindia 1990. 
• 1991  Introduced the first Indian co-extrusion feed block for multilayer sheet line and today command the largest market share of sheet extrusion lines in India. 
• 1994  Begun operations at Rajkot. Entered into a technical collaboration with a British company. Went public and the issue was over-subscribed by nearly 24 times.
• 1994  Introduced the first ever indigenously designed and developed Oscillating Haul-off System for blown film lines and displayed at Plastindia 1994.
• 1995  Introduced the first indigenously designed extruder incorporating grooved feed bush, barrier screw and cross-hole mixing section.
• 1995  Introduced the first indigenously designed wide width blown film line for a lay-flat width of 3000 mm.
• 1996  Exported country’s first “CE” marked machine to the most demanding European market and since regularly exporting to Europe.
• 1997  Introduced an Internal Bubble Cooling System for blown film lines and displayed at Plastindia 1997. 
• 1999  Secured ISO 9001 certification and further improved the quality management systems. The company has now graduated to ISO 9001:2000.
• 2000  Introduced stack type Universal Co-Extrusion Die christened UCD® in Asia. The die was displayed on a five layer co-extrusion blown film line at Plastindia2000.
• 2000  Launched the first ever sheet line for PET at Plastindia 2000, which received overwhelming response from India and abroad. 
• 2001  Introduced world’s highest output TQPP downward extrusion blown film line at Plastivision 2002, christened Aquaflex. 
• 2002  Introduced India's first Electro-hydro-pneumatic plug-assist thermoformer with in-mould cutting for Polypropylene & PS containers.
• 2003  Introduced world’s first two layer TQPP downward extrusion blown film line displayed at Plastindia 2003. The line is an alternative to produce lower end BOPP films for lamination. This line was also displayed at K-2004.
• 2003  Awarded Export Excellence Certificate from Engineering Export Promotion Council of India in recognition of highest exports during the year.
• 2004  Received Gujarat Gaurav Award for its outstanding contributions to the plastic industry.
• 2004  Became a Star Export House recognized by Government of India for excellent exports. 
• 2004  Developed and supplied first sheet line for physically foamed PE sheets using carbon dioxide as blowing agent.
• 2004  Developed a CE compliant high output sheet line for processing PET regrind at the rate of 700 kg/hr and exported the same to Germany.
• 2005  Developed Asia's first seven layer blown film die and exported to Colombia.
• 2005  Developed Asia's first resin sack blown film line and exported to Iran.
• 2006  Developed Asia’s first seven layer blown film line incorporating conical spiral stack (INCOSS)® die and displayed at Plastindia 2006.
• 2006  Developed Asia’s first three layer blown film line incorporating fully automatic touch screen control and 2100 mm roll width oscillating haul-off and fully automatic center-surface-gap winder exported to Gulf.
• 2006  Developed Asia’s first three layer wide width blown film line incorporating die dia 1200 mm and 4000 mm LFW. The maximum output is 1000 kg/hr.
• 2007  Entered into technical collaboration with Commodore Inc. USA for manufacture of XPS sheet line and thermoformar.
• 2008  Entered into technical collaboration with Techno Coating Engineering, Italy for manufacture of Cast film lines.

Achievements/ recognition:

•  An ISO 9001:2000 certified company
• 2010 - Vacuum forming machine with mould: model RECR - 7086 XPS received an award in "Machinery for packing operations" from IPMMI - IMDIR 2009
• 2011 - Recognition of excellence for "Three Layer Lab-Line - LabEX Machine" in the category of "Machinery for Package Conversion" Presented at Mumbai on 23rd March 2012
• 2013 - Lifetime Achievement Award