Ind Swift Ltd - Rs.37.00

Incorporated in 1986, Ind-Swift Ltd. (ISL) is the flagship company of the Chandigarh based Ind-Swift Group. Today, it has emerged as a leading formulations company manufacturing various dosage forms including oral solutions and suspensions, dry syrups and hard gelatin capsules (General and Beta-lactam), tablets (general, coated, sustained release and effervescent forms), dermatologicals comprising of creams, ointments and gels, eye and eardrops and injectables (Ampoules and vials). It focuses on the needs of various therapeutic segments, which include Cardiology, Diabetology, Pediatrics, Gynaecology, Surgery, Orthopaedics, Ophthalmology, Neuropsychiatry, Anesthesiology etc. All its products are marketed in an organized manner through its different divisions namely Ethical Division, Ayurveda Divsion, Super Speciality Division, Mukur Division, Resurgence Division, Health Care Division, Max Care Division and Biosciences Division.

Presently, ISL has six manufacturing facilities located in four different states; Two facilities in Parwanoo (H.P.), one facility each in Baddi (HP), Panchkula in Haryana, Derabassi in Punjab and Jammu in J&K. Of these three units commissioned only last year doubling its production capacity and making it one of the largest manufacturing facilities in India. Importantly, these new facilities are US FDA, TGA-Australia, MHRA-UK, MCC South Africa, ANVISA-Brazil, WHO-Geneva compliant primarily to cater the international regulated markets. In fact, its’ Jawaharpur, Derabassi – Punjab facility is 100% EOU. To further seize market opportunities, ISL has recently purchased another 7 acres of land in the tax-free zone of Baddi for setting up a new formulation facility dedicated for manufacturing Oncology, Cephalosporin's, Beta Lactum, Herbal & Neutraceutical products. Last year, the company introduced several new product ranges in the domestic markets including the launch of a unique combination of the Quinoline derivative, antidiarrheal and antibacterial drug which was launched for the first time in India after successful clinical trials. It also launched a new marketing division namely Institutions & Hospitals Division to look after the institutional sales. It added over 250 new marketing professionals to the strong 1000 Marketing team. And 27 new C&Fs were also appointed by the company to further strengthen the distribution network.

ISL has stepped its efforts to tap global markets by filing over 100 product dossiers in countries in Africa, South East Asia, South America & CIS. It is also in an advanced stage of negotiation for signing contract manufacturing agreements with various partners in Europe from its new manufacturing facility. Other additional activities taken up for international alliances include contract research including product development and technology transfer arrangements. ISL’s new R&D set up houses more than 50 scientists, state of the art equipment, separate product development units, IPR cell for patent search and filing, regulatory cell for technical dossiers, is in the process of developing more than 30 new products which includes 4 products to be launched for the first time in India and 5/6 products being developed from the non-infringing processes to be launched in Europe over the next 18 months. Recently, ISL announced decent results for Dec.’06 quarter out and is expected to clock a turnover of Rs.400 cr. with net profit of Rs.23 cr. for FY07. This works out to an EPS of Rs.6 on its current equity of Rs.7.44 cr. with a face value of Rs.2 per share. The scrip is poorly discounted due to promoter concerns but investors can expect a price target of Rs.50 (i.e. 35% returns) in a year’s time.