Shiv Texchem

About the Company

Shiv Texchem Limited, established in 2005, imports and distributes hydrocarbon-based chemicals critical for industries such as paints, coatings, printing inks, agrochemicals, pharmaceuticals, specialty polymers, and industrial chemicals.The company imports a diverse range of chemicals, including acetyls, aromatics, ketones, isocyanates, and glycols, with these sourced from countries such as China, Taiwan, and the USA, serving clients across various industries. In recent years, it has expanded its product range from 21 to 39 products and grown its customer base to over 650.

Strengths

• The company integrates commercial and supply chain solutions, leveraging global hydrocarbon supplier relationships and providing insights to support distribution.
• The company provides a variety of products from numerous suppliers to a wide customer base across different industries, reducing reliance on any one sector.
• Storage facilities at major ports allow safe, efficient handling and timely delivery of materials to customers.

Risks

• A large portion of revenue depends on a select group of products, any disruption in their supply or demand could impact business performance.
• The company relies on a few key suppliers without long-term contracts, which could disrupt their operations if supplies are delayed.
• The business is highly dependent on specific industries, such as paints, coatings, and agrochemicals, making revenue vulnerable to fluctuations in these sectors.
• Potential policy shifts towards import substitution in India might reduce demand for imported products, affecting the company’s business model.
• The company depends on bank credit for its operations; any challenges in renewing or increasing these facilities could strain its finances.
• Unsecured debt, including loans from related parties, poses risks if recalled, as it can strain cash flow and impact financial stability.