Savita Oil Technologies Ltd

Promoted by N K Mehra and incorporated as Staffuer Chemicals Pvt Ltd in Jul.'61, the name of the company was changed to Savita Chemicals (SCL) in Feb.'65. It became a full-fledged public limited company in Apr.'94. It started operations in 1961, manufacturing liquid paraffin, an import substitute, for the first time in India at its plant in Bombay. Since then, it has expanded its product profile and is today one of the leading manufacturers of petroleum specialities, which include products such as petroleum sulphonates, transformer oils / white oils and petroleum jellies, among other speciality products. The company has tied up with a Japanese oil major, Idemitsu, which will supply the technical know-how to manufacture and market its entire range of automotive and industrial lubricants. It launched the automotive range of lubricants under the Idemitsu brand name in Nov.'94 for this project company came with public issue. The demand for company's product is increasing, for this company has plan to expand its network in Western, Northern and Southern India. SCL has initiated steps for obtaining the ISO 9001 certificate. Company has establish of power plant to generate, distribute & Supply electric based on Wind Energy at Satara District, Maharashtra. The Plant Was Commissioned on March-99. This power generate plant will be used for captive consumption & also supply to third parties on commercial basis. Development work is continuing on Sulfonates,Hot Melt Adhesives and Specialty Waxes.

      products by Savita Oil Technologies Ltd:

• Liquid Parrafin- sold under brand SAVONOL used for pharma and cosmetic applications
• Transformer Oil – sold under brand TRANSOL used in continuous process industry
• Lubricants – sold under brand SAVSOL used widely in lubrication engineering
• Waxes – sold under brand SAVOWAX used for various industrial applications
• Automotive & Industrial lubricants – sold under brand IDEMITSU following collaboration with Idemitsu, Japan
• Petroleum Jellies – sold under brand SAVOGEL as per specs from pharmaceuticals to defence applications
• Cable filling compounds and emulsifiable polyethylene wax

The small-cap industrial lubricants maker has an equity capital of Rs 14.60 crore. Face value per share is Rs 10.Savita Oil Technologies' net sales rose 22.2% to Rs 497.93 crore in Q3 December 2011 over Q3 December 2010. The company said that loss on account of foreign exchange fluctuation amounting to Rs 37.28 crore has been recognized in the profit and loss account in Q3 December 2011 in accordance with the accounting policy consistently followed by the company.

As crude prices rally's to peek level . transformer oil precises are going to increase from 65- 70 levels soon. so expect sharp rally in the counter from c.m.p 470 to 550soon .it's debit free company.  last 2 years paid 150-200 % dividend.

 so accumulate between 450-470 levels for a price target 550.