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Modulex Construction Technologies
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Modulex is India's first and the world's largest steel modular manufacturing facility with an annual capacity of 2,00,000 sq. m. Modulex Construction Technologies Ltd. was originally incorporated in the name, 'Tumus Electric Corporation Limited' on 24th May 1973. The Company changed its name to, 'Modulex Construction Technologies Limited' with effect from 14th December, 2018. The Company is primarily engaged in production, building, supplying, fabricating and manufacture of modular steel buildings.
Consequent upon embarking to execute the business plan, the Company's subsidiary Modulex Modular Buildings Private Limited (MMBPL) is continuing with construction of a factory facility to produce steel modules and the upcoming commercial operation date of the factory, the Company has started the process of recruiting suitable personnel and leading HR firms, both in India and overseas. The factory land owned by MMBPL, 250 kms from Mumbai, is being developed in a 40-acre site, in MIDC, Indapur, Pune Dist. This manufacturing facility is India and world's modular buildings manufacturing cluster. The manufacturing facility in the initial phase will see 20 acres being developed consisting of three sheds totaling to circa 35,000 square meters (circa 3,50,000 square feet) which will produce steel modules and ancillary products such as bathroom pods, doors and windows.
The technology used by MMBPL, i.e., the Group Company is franchised from Modulex Modular Buildings Plc., UK and enables to deliver design and manufacturing (through MMBPL) carbon neutral, Smart, BOPAS certified buildings on a fixed cost and time guarantee in nearly half the time and with high quality. The cost of the modular buildings is similar to traditional construction cost.
MMBPL had secured investment from large industrial and real estate companies as strategic partners who will be adopting the Company's technology and absorbing a significant portion of the factory's output capacity, thereby underpinning the investment made by Company in acquiring shares of MMBPL. The Company has a significant order pipeline from customers in India and in the UK for export order. The Company with unique offering of design and manufacturing of steel modular buildings and the construction thereof, through its subsidiary MMBPL is perfectly positioned. The Company proposes to develop design templates for various sectors within real estate such as hotels, hospitals, schools, hostels, old age homes etc. to offer designing solutions for clients which result in a greater speed in delivery of the completed buildings.
During FY 2015, the Company allotted shares on right basis to existing shareholders in the ratio of 9 Equity shares for every 10 held in Board Meeting dated 9th February, 2015.
On 15th July 2015, the Company received a show cause dated 13th May, 2015 from Securities and Exchange Board of India on account of alleged delay/ non-filings under Regulation of 8(3) SAST Regulations 1997 for prior period of 1997 to 2011 when the Company was under the old promoters'/ management.
Pursuant to approval of Shareholders obtained by way of Postal Ballot Notice dated 12th January, 2016, the Company allotted 1,34,500 Equity Shares of Rs. 10/- each at par on preferential basis to existing promoter of the Company, Uttam Bharat Bagri on 14th March, 2016.
Pursuant to the approval of Shareholders obtained by way of Special Resolution in 43rd AGM of the Company held on 30th September 2016, the Company allotted 1,77,500 Equity shares of Rs. 10/- each at par on preferential basis to existing promoter of the Company, Uttam Bharat Bagri on 5th October, 2016.
Uttam Bagri, the past promoter of the Company had entered into Share Purchase Agreement (SPA) on 27th September 2017 with Redribbon Modulex Buildings Limited (the Acquirer) and the Company, pursuant to which Acquirer made an Open Offer under SEBI (SAST), 2011. Accordingly, acquirer had cumulatively acquired 8,86,890 (68.89%) Equity Shares through SPA and Open Offer. After completion of Open Offer in terms of SEBI (SAST), 2011 in February 2018, Acquirer acquired control of the Company and has been designated as the Promoter of the Company.
During the year 2019, the Company acquired 78.59% of the subscribed Share Capital of the Modulex Modular Buildings Private Limited (MMBPL) by way of swap of shares on preferential basis pursuant to which MMBPL has become a Subsidiary of the Company.
The Board of Directors of the Company vide its approval dated June 23, 2018 and Shareholders of the Company vide its approval dated August 1, 2018 had considered and approved the proposal of raising funds by issue of shares on preferential basis. Consequent to the Shareholder approval, the Board of Directors allotted 4,15,72,186 Equity Shares of Face Value of Rs. 10/- each, on 26th October, 2018, against Equity Shares of Modulex Modular Buildings Private Limited on preferential basis by way of swap of Equity Shares. Shares. Since the said Shares were issued for consideration other than Cash, the price at which the said Shares were to be allotted was determined on the basis of a valuation report of a registered valuer. Consequently, Redribbon Modulex Buildings Limited, Mr. Suchit Punnose (Whole Time Director) and Redribbon Advisory Services Private Limited, are designated as New Promoters of the Company, within the meaning of Securities and Exchange Board of India (Issue of Capital and Disclosure Requirements) Regulations, 2018.
Modulex Construction Technologies share price reflects investor sentiment toward the company and is impacted by various factors such as financial performance, market trends, and economic conditions. Share price is an indicator which shows the current value of the company's shares at which buyers or sellers can transact.
Market capitalization of Modulex Construction Technologies indicates the total value of its outstanding shares. Marketcap is calculated by multiplying share price and outstanding shares of the company. It is a helpful metric for assessing the company's size and market Valuation. It also helps investors understand how Modulex Construction Technologies is valued compared to its competitors.
Modulex Construction Technologies PE ratio helps investors understand what is the market value of each stock compared to Modulex Construction Technologies 's earnings. A PE ratio higher than the average industry PE could indicate an overvaluation of the stock, whereas a lower PE compared to the average industry PE could indicate an undervaluation.
The PEG ratio of Modulex Construction Technologies evaluates its PE ratio in relation to its growth rate. A PEG ratio of 1 indicates a fair value, a PEG ratio of less than 1 indicates undervaluation, and a PEG ratio of more than 1 indicates overvaluation.
Return on Equity (ROE) measures how effectively Modulex Construction Technologies generates profit from shareholders' equity. A higher ROE of more than 20% indicates better financial performance in terms of profitability.
Return on Capital Employed (ROCE) evaluates the profitability of Modulex Construction Technologies in relation to its capital employed. In simple terms, ROCE provides insight to investors as to how well the company is utilizing the capital deployed. A high ROCE of more than 20% shows that the business is making profitable use of its capital.
Total debt of Modulex Construction Technologies shows how much the company owes to either banks or individual creditors. In simple terms, this is the amount the company has to repay. Total debt can be a very useful metric to show the financial health of the company. Total debt more than equity is considered to be a bad sign.
The Debt-to-Equity (DE) ratio of Modulex Construction Technologies compares its total debt to shareholders' equity. A higher Debt to Equity ratio could indicate higher financial risk, while a lower ratio suggests that the company is managing its debt efficiently.
CAGR shows the consistent growth rate of Modulex Construction Technologies over a specific period, whether it is over a month, a year, or 10 years. It is a key metric to evaluate the company’s long-term growth potential. Main metrics for which CAGR is calculated are net sales, net profit, operating profit, and stock returns.
Technical analysis of Modulex Construction Technologies helps investors get an insight into when they can enter or exit the stock. Key components of Modulex Construction Technologies Technical Analysis include:
There are usually multiple support levels, but the main support levels for a stock are S1, S2, S3. Support levels indicate price points where stock might get support from buyers, helping the stock stop falling and rise.
There are usually multiple resistance levels, but the main resistance levels for a stock are R1, R2, R3. Resistance levels represent price points where Modulex Construction Technologies shares often struggle to rise above due to selling pressure.
Dividends refer to the portion of the company’s profits distributed to its shareholders. Dividends are typically paid out in cash and reflect Modulex Construction Technologies ’s financial health and profitability.
Bonus shares are usually given by companies to make the stock more affordable, increase liquidity, boost investor confidence, and more.
Stock split increases the number of its outstanding shares by dividing each existing share into multiple shares. When the company offers a stock split, the face value of the stock reduces in the same proportion as the split ratio.
The financials of Modulex Construction Technologies provide a complete view to investors about its net sales, net profit, operating profits, expenses, and overall financial health. Investors can analyze financial data to assess the company’s stability and also understand how the company has been growing financially.
The profit and loss statement of Modulex Construction Technologies highlights its net sales, net profit, total expenditure, and operating profits in the current financial year. This Profit and Loss statement is crucial for evaluating the profitability and financial stability of Modulex Construction Technologies .
The balance sheet presents a snapshot of Modulex Construction Technologies ’s assets, liabilities, and equity of shareholders, providing insights into the financials of the company.
Cashflow statements track the company's cash inflows and outflows over a period. It is an essential tool for understanding how well the company manages its liquidity and finances.