1. At a Glance – Blink and You’ll Miss the Business
AG Ventures Ltd currently sits at a market cap of ~₹125 Cr, trading at ₹125 per share, which is ironic because that’s also roughly the emotional value the market assigns to its future right now.
Once upon a time, this was Oriental Carbon & Chemicals Ltd (OCCL) — a global insoluble sulphur heavyweight with 55–60% domestic market share and ~10% global share. Today, after a chemical business demerger, AG Ventures is essentially an investment and asset-holding company wearing the skin of a former specialty chemical beast.
Let’s get the numbers straight:
- TTM Revenue: ₹110 Cr
- TTM PAT: ₹5.98 Cr
- Stock P/E: ~20.9×
- Price-to-Book: 0.47× (market screaming “I don’t trust you”)
- ROCE: 0.77% (yes, decimal point is correct)
- ROE: 0.05% (this is not a typo either)
Over the last 3 months, the stock is down ~22%, and over 1 year, it’s down ~39%. The chart looks less like a staircase and more like gravity doing its job.
So what happened? Why does a company with once world-class margins now look like a confused holding company with chemistry nostalgia?
Let’s rewind.
2. Introduction – From Insoluble Sulphur King to Corporate Sudoku
AG Ventures didn’t wake up one day and decide to become boring. This is the aftermath of a large, legally approved, but financially messy demerger.
Until FY24, the company was:
- A customised insoluble sulphur manufacturer
- Supplying to Apollo, Bridgestone, MRF, Goodyear, JK Tyre, and global tyre giants
- Running three plants with ~1,28,500 MT capacity
- Exporting to 21 countries
- Posting OPM of 20–30% for a decade
Then came the Scheme of Arrangement (April 2024).
The entire Chemical Business was carved out into OCCL Limited (Resulting Company). What remained behind was:
- Investments
- Commodity trading
- Residual assets
- And a massive exceptional accounting loss of ₹37,495 lakh
That one line item alone did more damage than five years of bad margins.
Question for you:
👉 How many investors actually read demerger schemes beyond the headline?
Exactly.
3. Business Model – WTF Do They Even Do Now?
Let’s be blunt.
AG Ventures today is NOT the insoluble sulphur company.
That crown now belongs to OCCL Limited,
