Incorporated in **1991**, Asian Petroproducts and Exports Limited is an Indian chemical and petrochemical entity specializing in the manufacturing, trading, and export of **Ethylene Oxide (EO)** derivatives and industrial raw materials. Headquartered in **Baroda** with a corporate presence in **Mumbai**, the company serves critical sectors including refineries, pharmaceuticals, textiles, and infrastructure. The company is currently undergoing a strategic pivot, transitioning from a period of operational dormancy and financial distress toward a diversified, high-growth model supported by recent capital restructuring and new leadership. --- ### **Core Industrial Operations & Product Portfolio** The company operates a dual-model business comprising manufacturing and high-volume trading. While historically focused on EO derivatives, the portfolio has expanded to include infrastructure-grade materials and polymers. #### **1. Ethylene Oxide (EO) Derivatives & Chemicals** * **Ethanolamines:** Production of **Monoethanolamine (MEA)**, **Diethanolamine (DEA)**, and **Triethanolamine (TEA)**. * **Ethoxylates:** Manufacturing of **Lauryl Alcohol** and **Steric Acid** based ethoxylates. * **Industrial Oils:** Trading of **Rubber Processed Oil (RPO)** and **Furnace Oil**. #### **2. Infrastructure & Plastics Segment** * **Bitumen:** Supply of **Bitumen** and specialized derivatives for large-scale road development and national infrastructure projects. * **Polymers:** Distribution of **LDPE/HDPE granules** and a comprehensive range of polymers designed to enhance manufacturing efficiency for the plastics industry. * **Value-Added Packaging:** Provision of **LDPE** and **HDPE** plastic bag packaging to ensure regulatory compliance and safe delivery of traded products. --- ### **Manufacturing Infrastructure & Supply Chain** The company’s operational backbone is centered in the chemical hub of Gujarat, supported by strategic domestic and international sourcing. | Feature | Details | | :--- | :--- | | **Plant Location** | Village Anjesar, Tal. Savli, Dist. Baroda (**25 kms** from Baroda) | | **Land Area** | **87,000 Square Meters** (Owned) | | **Installed Capacity** | **300 MT** (Current); Infrastructure ready for expansion to **10,000 MT** | | **Utilities** | Power via **MGVCL**; In-house **Effluent Treatment Plant (ETP)** | | **Strategic Sourcing** | Domestic: **IOCL, HPCL, OPAL, GNFC, GSFC, RIL**; International: **Dubai** | | **Logistics** | Strategic partnership with **M/S. Tulsi Logistics** for Middle East imports | --- ### **Strategic Growth Pivot & "China+1" Alignment** Under the leadership of **Mr. Jaykishor Chaturvedi** (appointed **Managing Director** in **May 2024**), the company is executing a multi-pronged expansion strategy to capitalize on the **Production Linked Incentive (PLI)** scheme and the **PCPIR** policy. * **Contract Manufacturing:** Transitioning to a model where manufacturing is outsourced to third parties while the company provides raw materials, allowing for portfolio diversification without heavy immediate CAPEX. * **Inorganic Growth:** Actively identifying **distressed units** with potential synergies for acquisition or merger to accelerate market share. * **Greenfield & Biofuels:** Exploring entry into the **biofuels** market and new greenfield projects, driven by government incentives for the **MSME** sector and clean energy demand. * **Technological Integration:** Implementing **blockchain** technology to optimize supply chain logistics, inventory handling, and cost reduction. * **R&D and Sustainability:** Investing in research to develop environmentally friendly chemical solutions to mitigate risks from shifting global environmental regulations. --- ### **Capital Restructuring & Financial Performance** The company has recently concluded a significant fundraising exercise to stabilize its balance sheet and address historical liquidity constraints. #### **The 2024-25 Rights Issue** In **December 2024**, the company allotted **1,58,90,416 equity shares** at **₹10 per share**, raising **₹1,600 lakhs**. * **Debt Reduction:** **₹511.73 lakhs** utilized for the repayment of unsecured loans from the Promoter Group. * **Working Capital:** **₹1,013.27 lakhs** earmarked for operational scaling. * **General Corporate Purposes:** **₹40.00 lakhs**. #### **Comparative Financial Summary** | Metric (₹ in Crore) | FY 2024-25 | FY 2023-24 | FY 2022-23 | | :--- | :---: | :---: | :---: | | **Gross Revenue** | **41.67** | **0.00** | **16.94** | | **Operating Profit / (Loss)** | **(1.18)** | **(1.04)** | **—** | | **Net Profit / (Loss)** | **(1.18)** | **(1.04)** | **0.11** | | **Capacity Utilization** | **—** | **0.00%** | **33.33%** | *Note: The company received shareholder approval in **April 2026** to borrow up to **₹1,000 crore** through NCDs, Bonds, and ECBs to fund future large-scale expansions.* --- ### **Risk Factors & Investment Considerations** #### **1. Audit Qualifications & Financial Stability** The **Statutory Auditors** have consistently issued a **Qualified Opinion** regarding the company’s status as a **Going Concern**. Key concerns include: * **Net Worth Erosion:** Persistent losses have significantly eroded the company's net worth. * **Liability Mismatch:** Current liabilities have historically exceeded current assets. * **Regulatory Non-compliance:** Ongoing violations regarding **TDS provisions** and **Ind AS-119** (Employee Benefits). #### **2. Operational Concentration** * **Customer Dependency:** In previous active years, the **top 5 customers** accounted for **100%** of revenue. * **Contractual Vulnerability:** The business operates on a **purchase order basis** without long-term supply or sales agreements. * **Lean Human Capital:** The company operates with only **7 employees**, including Executive Directors, creating high key-man dependency. #### **3. Market & Competitive Risks** * **Margin Sensitivity:** The business is a **high-volume, low-margin** model, making it highly sensitive to fluctuations in raw material costs and turnover. * **Intellectual Property:** The company’s **logo is not yet registered** as a trademark, posing a risk to brand protection. * **Global Volatility:** Expansion into international markets exposes the company to **currency fluctuations** and stringent international quality benchmarks. #### **4. Governance** * **Promoter Influence:** The Promoter Group holds **56.17%** of equity, granting them substantial control over corporate decisions. * **Internal Controls:** Auditors have noted deficiencies in the disclosure of specific transactions, though the **Audit Committee** has initiated regular reviews to strengthen internal checks.