### **Overview** HP Adhesives Limited, incorporated in the 1980s and originally founded as H.P. International in 1987, has evolved from a single-product manufacturer of PVC solvent cement into a leading Indian manufacturer and distributor of high-quality adhesives, sealants, and allied construction and repair products. Headquartered in Mumbai, the company operates a modern, state-of-the-art manufacturing facility in Khalapur (Raigad), Maharashtra, and has transformed over the past three decades into a professionally managed, diversified enterprise with strong domestic and international presence. With a deep-rooted focus on innovation, brand building, and customer-centric product development, HP Adhesives is strategically positioned to benefit from India’s long-term growth in construction, infrastructure, home improvement, automotive, and real estate sectors. --- ### **Market Presence & Distribution Network** As of **September 2025**, HP Adhesives maintains a **pan-India distribution footprint** covering all **27 states and 5 Union Territories**, supported by a network of **over 1,575 domestic distributors** serving **more than 100,000 dealers**. The company has aggressively expanded into **metro, non-metro, and semi-urban regions**, enhancing last-mile connectivity through targeted sales force growth and improved logistical efficiency. - **Depots:** The company operates **seven strategically located depots** across India (up from five in 2023), including new additions in **Kanpur and Patna**, which improve supply chain agility and delivery speed. - **Regional Strength:** Strong distributor representation in the West (>440), North (>390), South (>340), and East (>260). - **Direct Market Engagement:** The sales team has grown to **over 300 employees** as of March 2025, enabling deeper outreach to dealers, applicators, and end-users. Internationally, HP Adhesives exports to **over 21 countries** across the Middle East, Africa, SAARC, the USA, and GCC nations (including Saudi Arabia, Bahrain, Oman, Qatar, Nigeria), leveraging both distributor partnerships and direct institutional sales. --- ### **Manufacturing & Capacity** - The company’s **Khalapur, Raigad (Maharashtra)** facility is central to its operations, with an **annual production capacity of ~16,800 metric tonnes**—up from 13,500 MT in 2024, reflecting recent expansion efforts. - A **new manufacturing Unit II** has been commissioned, part of a strategic modular expansion. This unit hosts silicone, PVA, and rubber adhesive lines, while the original facility is being optimized for solvent cement production. - The facility is located **~110 km from Jawaharlal Nehru Port Trust (JNPT)**, providing logistical advantages for raw material imports and export shipments. - Operations are supported by: - Advanced automation and lean manufacturing practices - Stringent quality control systems - In-house R&D focused on new product development, cost optimization, and sustainability - **NSF Certification**—a mark of global quality compliance, making HP Adhesives the first non-American company to achieve this for solvent cements --- ### **Product Portfolio & Innovation (as of Sep 2025)** HP Adhesives has diversified into **eight core product categories**, significantly broadening its addressable market and reducing dependency on any single segment. #### **1. Core Products:** - **Solvent Cements:** Flagship product line for **PVC, CPVC, and uPVC** piping systems. Offers **over 300 SKUs** across viscosities and packaging (10ml–5,000L). Used in irrigation, sewage, drainage, and high-pressure plumbing. - Brands: **HP**, **Strong Weld** - Includes compatible **primers and cleaners** - Accounted for **58.6% of revenue in FY2022–23** #### **2. Sealants:** - **Silicone Sealants (Strong Seal):** Available in 260ml, 280ml, and 300ml cartridges and sausage packs, in multiple colors. - Applications: Glazing, weatherproofing, bathroom sealing, glass, aquariums - Variants: 7,400 Neutral Silicone (high adhesion), 7,890 Weather-Resistant, Paintable Acrylic, Hybrid - Contributed **18.3% of revenue in FY2022–23** - **PU, Acrylic, and Hybrid Sealants** also offered under the expanded portfolio. #### **3. Adhesives:** - **Synthetic Rubber Adhesives (Strong Fix):** Sprayable and brushable forms used in **furniture, automotive interiors, footwear, and handicrafts** - **PVA Adhesives (Strong Fix):** Growing focus area for woodworking and general-purpose applications - **Epoxy Adhesives:** Recently launched for construction repair, industrial bonding, and home maintenance - **Cyanoacrylates (Super Glue):** Two new variants launched in 2025 for multi-material fast bonding #### **4. Ancillary & Repair Products:** - **Epoxy Putty (StrongTite):** Two-component DIY solution (1:1 ratio), with GP, Sanitary, and Fast variants - **Spray Paints:** Fast-drying, chip-resistant finishes for home, automotive, and craft use - **Ball Valves, PTFE (Teflon) Tapes, Masking Tapes:** Complementary items sold at plumbing and DIY counters - **Black & White Sealants, Gasket Shellacs, Rubber Lubricants** Product development is driven by trends in **modular kitchens, bathroom upgrades, ready-to-assemble furniture, and green construction**, with R&D focusing on **low-VOC and sustainable formulations**. --- ### **Revenue Streams & Sales Strategy** - **Multi-Channel Sales Model:** - **Domestic Distribution (75–80% of revenue):** Through 1,575+ distributors and 100,000+ dealers - **Institutional Sales (~25% of revenue):** Long-standing B2B partnerships with major **pipe and fitting manufacturers**; products often sold under their private labels - **Exports (10% of revenue, ~18–21 countries):** Growing via distributor alliances and participation in global trade fairs - **Branding & Marketing:** - Core brands: **HP, Strong Weld, Strong Seal, Strong Fix, StrongTite** - Engagement with **end applicators (plumbers, carpenters, masons)** via live demonstrations, events, and incentive programs to influence purchase decisions - Dealer and distributor meets, promotional campaigns, and **participation in national and international exhibitions** to build brand recall --- ### **Growth Strategy & Financial Highlights** - **Strategic Pillars:** - **Product Diversification:** Expansion into epoxy, cyanoacrylate, putty, tapes, and spray paints enhances cross-selling and distributor productivity. - **Market Expansion:** Penetration into rural and semi-urban India, entry into high-growth geographies domestically and internationally. - **Capacity Augmentation:** Capital investments (via IPO proceeds and internal accruals) used to scale up production, improve automation, and reduce lead times. - **Sustainability & Scalability:** Unit II commissioning reflects commitment to responsible manufacturing and modular scale-up. - **Financial Performance (FY2023–24):** - **Total Income:** ₹239.27 crores - **Profitability:** Achieved **highest profit since inception** in FY2023–24 despite raw material volatility - **Balance Sheet:** Strengthened by successful **IPO in December 2021 (₹125.96 crore raised)**, fully funding medium-term growth plans