Overview
I am pleased to present our eighth Annual Report and the second after listing to the
shareholders of our Company.
Your Company was listed on the SME Emerge platform of National Stock Exchange of India
Ltd. (NSE) on 24th March 2022 following an offer price of Rs. 38 per share. Your Company
finished the year under review at Rs. 497.60 per share and a market capitalisation of Rs.
575.23 Crore, a 1209.47 per cent appreciation over the offer price.
The appreciation in value for our shareholders represents a validation of the prospects
of our sector and the performance of our Company in line with the growing potential. The
improvement in our business was also in line with the promises that we had made at the
time of going public and how we delivered during the year under review.
Reinventing
If there is one word that encapsulates faithfully our positioning and direction, it is
'reinventing'. The Company is not just living to fight another day; it is perpetually
reinventing itself by staying ahead of the industry curve.
This commitment was validated during the year under review when the Company did not
just commission higher capacities of the same products; the Company entered new product
spaces under the same roof, and in doing so, emerged as possibly the earliest mover within
the sector. The ability to stay ahead of the curve reinforced the Company's pioneering
personality and widening its competitive lead.
Power of relationships
The most important development within the country's mineral water and carbonated soft
drink sector is the word 'relationships.'
In the past, every single buyer within the sector (except two of the largest
multi-national beverage brands) bought a range of bottling components from different
specialised vendors. These components would then be aggregated by the bottling company;
thereafter, the contents would be filled, the bottle dispatched and distributed.
There are signs that the days of component aggregation may be coming to an end.
More customers we speak to indicate that they would rather buy everything related to
their bottling needs from one vendor than engage with a range of vendors. This will, in
their opinion, liberate the bottlers from the responsibility of aggregation and focus more
on marketing and branding.
The result is that customers are seeking product solutions, complete portfolios, fewer
vendors, reliable vendors within proximity and the possibility of using recycled polymer,
enhancing their profitability, responsibility towards the environment and sustainability.
The Cool Caps relevance
I am pleased to communicate that the Cool Caps business model addresses all these
customer needs. In doing so, we have emerged as one of the most exciting vendors to the
country's carbonated soft drink and mineral water sectors.
Until 2019, Cool Caps' manufacturing operations were centred in one location; in the
last three years, the Company has either expanded or intends to expand to four locations,
making it one of the fastest growing in its sector from the perspective of geographical
footprint.
Until 2021, Cool Caps manufactured just one product (caps); in the last one year, the
Company has extended to five products and intends to extend to two more within the next
year.
Distinctive
At Cool Caps, we believe we are attractively placed to widen our sectorial leadership.
Our Company is the only listed company in its sector, which validates its credibility
in terms of systems, processes, certifications and compliances.
Our Company is extensively promoter-owned (73.5% post listing), enhancing stakeholder
confidence related to the alignment of promoter interests.
Our Company has been able to enhance recall and visibility on account of its listing,
opening doors to prospective customers.
Game transformer
At Cool Caps, we are attractively placed to graduate to the next orbit.
The Company is engaged in commissioning additional capacity, extending into adjacent
product areas, venturing into new locations and exploring the use of environment-friendly
raw material - all at the same time.
The complement of these initiatives is expected to do more than just reinforce our
thought leadership and statesmanship; it is expected to help Cool Caps transform the game
and carve out a disproportionately large share that enhances value for all its
stakeholders in a sustainable way.
Rajeev Goenka
Chairman and Managing Director