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I have taken a small position in Mohan Meakin Limited (MML).
Rationale for investment:

• MML is domiciled in India with its registered office at Solan Brewery in Himachal Pradesh. It was formerly known as E. Dyer & Co., Dyer Meakin & Co. Ltd., Dyer Meakin Breweries Ltd., and Mohan Meakin Breweries Ltd., and was established as far back as 1855

• The Company is manufacturing Beer of all types and IMFS brands including premium Rums, Whiskies, Brandy, Vodka and GIN (Ready to drink in 3 flavors).

• MML enjoys a strong brand recognition in the domestic market because of its Old Monk Brand.

• At present, the Company has following manufacturing centers, besides other Breweries & Distilleries established under collaboration arrangements in various other places in India.
  #Solan Brewery (H.P.) Brewery for manufacture of Beer and Bottling Plant for bottling of IMFL.
  #Kasauli Distillery (H.P.) Distillery producing Malt Spirit.
  #Mohan Nagar (Ghaziabad)(U.P.) Brewery, Distillery, Breakfast Foods, Fruit Products Factory.
  #Mohangram Bhankarpur (Punjab) Bottling Plant for bottling of IMFL

• MML has introduced premium brand of Single Malt Whisky known as The Solan Gold Indian Single Malt Whisky in H.P., which is being introduced in other States of the Country. It is one of the cheapest single malt whiskey available in Indian Market. Positive reviews of Solan Gold can be seen on you tube.

• 98% of revenues are from liquor segment and rest 2% from non-alcoholic business.

• The Company’s Products like

  • Old Monk Rum Very Old Vatted XXX Rum,
  • Old Monk White Rum,
  • Old Monk Legend Rum,
  • Old Monk Deluxe Very Old Vatted XXX Rum,
  • Old Monk Supreme Rum,
  • Old Monk Apple Rum,
  • Old Monk Orange Rum,
  • Old Monk Gold Reserve Rum, The Solan Gold
  • Indian Single Malt Whisky,
  • Old Monk 10000 Super Strong Beer and Old Monk the Original Premium Beer 650 ML Bottles

• Financial snapshot as on 30.09.2022

  

• The company has shown an increasing trend in last couple of years and also repaid debt, resulting in strengthening of balance sheet.

• Company has approximately cash and liquid investments of Rs 50 cr as on 30.09.2022

Risk involved:

• Liquor Market is highly regulated and has various taxes
• Prices are controlled by Govt
• Single digit EBITDA margins
• No dividend declared.

Dis: Initiated a tracking position only. Not an investment advice.