We were retained by Toubro Industries Limited (now known as Alchemist Limited), a Chandigarh (250 kms from Delhi) based company to help them set up their floriculture project in 1994. We helped the client in drafting and negotiating their joint venture agreement with a Dutch company. We made out the Business Plan which was appraised by a leading nationalized bank of India. Innovative capital structuring saw the company raise funds from a mix of very low cost debt, equity and Governmental subsidy. Government subsidies were also arranged for specific items. Debt was sourced at extremely low interest rates from specialized industry specific Government agency. As Advisors to the issue, we coordinated the entire IPO of the company which included retaining of merchant bankers, drafting of prospectus, handling their communications, press and brokers conferences, and placement with Mutual Funds. The IPO in November 1994 was a huge “blooming” success.

Alps Industries Limited, a widely held North India based listed company, retained our services for preparing detailed financial projections for their Rs. 4000 million yarn spinning and fabric weaving project. The projections were presented to various lenders to tie up project finance in excess of Rs. 3000 million. The plan had features to enable one to assess the effect on profitability with each change in product mix or cost variables. This model was then used for planning product mix and preparing production plans. Our ability to comprehend production processes and their interplay with operational parameters, as well as appreciation of the requirements of corporate financial control, helped us build a financial model that went beyond the immediate requirement presented by the client.