Strategic Management
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Standard Capital Securities (Pvt) Ltd
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TRIGGERS….LONG TERM INVESTMENT PROSPECTS
¾ The company is planning on being the #2 player in juices and nectar segment within the next 5 years, after Nestle;
¾ Planning on expanding in the growing milk powder and infant nutrition category
(constituting 55% and 18% respectively of total market share) which will enable Engro
Foods to attain major portion of market share;
¾ It has strategic advantage in terms of raw material supply, utilities, manpower and warehousing as the Ice cream plant has been set up in the same facility as the Dairy plant in Sahiwal;
¾ Engro Foods is also making efforts to export rice and thereby earn revenues in foreign currency; ¾ Engro Foods has already started incurring capital expenditure for future expansions;
¾ It is getting listed in order to raise finance for its future projects;
¾ Some expansions are already being completed in CY11 such as Rice Plant capacity expansion, Ultra Heat Treatment (UHT) machine imports already done and commercial production expected to commence in July CY11.
ENGRO FOOD’S HISTORY AND ITS PRESENT….
Engro Foods Limited was formed as a wholly owned subsidiary
Standard Capital Securities (Pvt) Ltd
p
TRIGGERS….LONG TERM INVESTMENT PROSPECTS
¾ The company is planning on being the #2 player in juices and nectar segment within the next 5 years, after Nestle;
¾ Planning on expanding in the growing milk powder and infant nutrition category
(constituting 55% and 18% respectively of total market share) which will enable Engro
Foods to attain major portion of market share;
¾ It has strategic advantage in terms of raw material supply, utilities, manpower and warehousing as the Ice cream plant has been set up in the same facility as the Dairy plant in Sahiwal;
¾ Engro Foods is also making efforts to export rice and thereby earn revenues in foreign currency; ¾ Engro Foods has already started incurring capital expenditure for future expansions;
¾ It is getting listed in order to raise finance for its future projects;
¾ Some expansions are already being completed in CY11 such as Rice Plant capacity expansion, Ultra Heat Treatment (UHT) machine imports already done and commercial production expected to commence in July CY11.
ENGRO FOOD’S HISTORY AND ITS PRESENT….
Engro Foods Limited was formed as a wholly owned subsidiary