ACPL as a company is good, 53% of their revenues come from Phosphonates and ACPL ranks as the second largest producer of the same, globally along with 31% gross margins and around 20% EBITDA margins.
That’s a big thing.
However, this is completely unrelated to the existing business of PCBL. They have no expertise in running it. They would have to carry on the existing management of ACPL and then learn from them how to run it.
Yes, the valuations at which they acquired are good but what’s the point if you don’t know how to run it. Isn’t it diworsification?
| Subscribe To Our Free Newsletter |
