Greaves Cotton Limited

Greaves Cotton Limited, a diversified engineering company that is a leading manufacturer and marketer of diesel engines, petrol engines, generator sets, pump sets, and construction equipment. With a 160-year-old engineering legacy spreading across India and a growing global presence, we take pride in our quality products and services. (i) Agri Equipment: Manufactures and market agri equipment and is a market leader in petrol/ kerosene engines. The product range includes such as lightweight petrol, diesel engines, pump sets, power tillers, reapers, and mini-farming equipment, etc. The manufacturing facility is located at Gummidipondi (TN). (ii) Automotive: Manufactures light diesel engines for automotive application (4.4 to 25 HP) for three and four wheeler small commercial vehicles. Greaves is the market leader in single and twin cylinder diesel engine. The manufacturing facility is located at Aurangabad and Ranipet (TN). (iii) Auxiliary Power and Industrial Engine: Manufactures diesel and gas gensets in the range of 50-500 KVA, engines for marine, fire fighting pump sets, mining, rail cars, etc. The manufacturing facility is located at Pune. The diesel engines range from 1.4 to 750 HP range with an option for CNG/LPG fuel. (iv) Construction Equipment: Manufacture range of compaction, concreting and earthmoving equipment. The manufacturing facility is located at Gummidipondi (TN). The financials of the company are almost static and FY18 seen decline in bottom-line, RoNW is 30.71% and at CMP its looks fully priced. Price difference is around 18% and acceptance ratio as per current share holding for retail will be around 6% and if we assume all share holders won't apply in buyback than also the final acceptance ratio may be around 20% and profit may be 4%. So we give NEUTRAL rating to this buyback.

• 1 Mr. Rajesh Pirogiwal
• 2 Mrs. Sunita Pirogiwal
• 3 Miss Tanvi Pirogiwal