HF Corporate India

2. SpecialReport 18 HEALTHFARMGROUP Wizard of health supplements Riding sports nutritionbandwagon Boosted by our current age’s fitness crazecuttingacrossallincomegroups, anew star is rising on the global health-and sports nutrition biz horizon. The Jalandhar-based (Punjab) and aptly named Healthfarm group, founded by visionary first generation entrepre- neurAnilBhaskarhasemergedasthe leading bodybuilding and sports nutri-tion entity with its all-you-can-think-of range of nutritional supplements, or- ganic herbs, multi-vitamins, Ayurvedic Medicines.During the last decade, The company has emerged as the top mostsportsnutritionbrandinIndia. Contents CoverStory 32 AnilBhaskar Analysis 27 HINDUSTANAERONAUTICS(HAL) PSUonjet-likegrowthpath HAL recently inaugurated the third production line of the TEJASMK-1Afighterjet,whichisexpectedtoincreasean- nualproductioncapacityoftheplanefromtheearlier16to 24. The Indian Air Force (IAF) had ordered 83 numbers of theTEJASMK-1Ain2020,atacostofover$5.2billion,with delivery schedule from 2024 onwards. The company has registered its highest-ever revenue from operations at around Rs 26,500 crore in the just concluded FY23 as against Rs 24,620 crore reported in FY22, registering a nearly 8% growth yoy. Of course, the figures for FY23 are provisionalandunaudited. Notunliketheirglobalcounterparts,Indianspecialitychemicals stocks,whichwereflyinghighontheIndianstockmarketduringin fiscals 2020, 2021 and early 2022, have seen price dips of 20-40 per cent from their 52-week high levels. The headwinds buffeting thesestockshavecomefromdifferentquarters:thebelatedimpact of the Covid-19 pandemic, the geopolitical tension on account of theRussia-Ukraine conflict and theresultant supply chain bottlenecks, non-availability and the resultant high prices of raw materials, the global economic slowdown and fears of the US and Europeaneconomiesslippingintoarecession. However,mostanalystsandindustryobserversfeelthesetback istemporaryandthelong-termoutlookforthesespecialitychemical companiesandtheirstocksremainspromising. Theyareconfidentthat assoonas theglobalgeo-politicaland economicsituationstartsimproving-andwiththeaddedadvantage of global sources turning from major supplier China to an equally competitive India, the country's speciality chemicals sector will re- enter the growth path with 'double force'. Clearly then, discerning investorscanjudiciouslypickIndianspecialitychemstockswitha long-termperspective. ShareX-Ray 22 SUNFLAGIRON&STEELCO WindfallarbitrationgainofRs900cr Sunflag is in the process of expanding the capacity of its blooming mill. The capital work-in-progress last reported has been Rs 449.50 crore against Rs 373.13 crore as of March 2022. It appears that the company is getting ready for cold trials. With a vision for the future, the company recently made an investment in ESR/VAR/VIM and ven- tured into the production of high-performance materials and super alloys for aviation, space, defence, the power sectorandmedicalimplants. CorporateGrapevine 08 • Diningunicorninthemaking? • InfightingrocksTata’sITgiant • JuniorBirlas’yenforfinediningbiz • UKdebtcloudoverVedanta Jayckieed’sColumn 24 LTFOODS(DAAWAT) RidingglobalyenforBasmati LT Foods is one of the most renowned Basmati rice players not only in India but alsointheUSandEUmarkets.Thecom- pany has also invested in setting up a rice processing facility in Rotterdam in Europe and apackaging unit in the US. Ithasadominantmarketshareof50%+ PortfolioChoice 10 BajajFinserv,HariomPipes,GreenpanelIndustries JayckieedUpadhyay intheUSwhileintheIndianmarketitholdsa27%share. 4CorporateIndiaApril15,2023

3. Healthfarmgroup Wizardofhealthsupplements Ridingsportsnutritionbandwagon SpecialReport Boostedbyourcurrentage’sfitnesscrazecuttingacross all income groups, a new star is rising on the global health•andsportsnutritionbizhorizon.TheJalandhar•based (Punjab)andaptlynamedHealthfarmgroup,foundedby visionary firstgenerationentrepreneurAnil Bhaskar has emergedastheleadingbodybuildingandsportsnutri•tion entitywithitsall•you•can•think•ofrangeofnutritional supplements,organicherbs,multi•vitamins,AyurvedicMedi• cines.Thegroupaimsatprovidinghigh•qualityfoodsupple• mentstoathletesandbodybuilders,nottomentiontheover• allgroupofactivepeople.Here’sasampling•proteinpow• ders,massgainers/weightgainers,multi•vitamins,men wellnessproducts, tab•lets,energy drinks, fatburners,meal replacements and im•munity builders. And all these at very purse•friendlyprices!Duringthelastdecade,Healthfarm hasemergedasthetopmostsportsnutritionbrandinIndia. Healthfarm takes no chances with its sourcing, and its rawmaterialsareimportedfromtheUS.Itssupplementsare fullylab•tested,freefrompreservatives,artificialsweet•eners andcolours,andallergens.AllitsproductsadheretoFSSAI norms and guidelines. Besides, every product undergoes severalstrictqualitychecksbeforebeingputoutinthemar• ket.Thesetestsarecarriedoutateverystepofthemanufac• turing process in keeping with Healthfarm’s mantra of pro• viding the best possible nutritional supple•ments to its pa• trons. Listentothemanwhostarteditall.SaysChairmanand Managing Director Anil Bhaskar, the force behind the con•ception, growth and expansion of this nutraceuticals andAyurvedaconglomerate,“AtHealthfarm,weofferawide range of dietary and nutritional supplements consisting of antioxidant formulas, multi•vitamins, minerals and herbs. Wefirmlybelievethateveryonecanachievethebestfitness physically and mentally, so we are serving mankind as a warrior by delivering ultra•premium supplements and fit•ness products to athletes, bodybuilders, active people and sports people. We are a family of highly skilled techni• calexperts,manufacturersandpackagingspecialistsfrom 18CorporateIndiaApril15,2023

4. •AnilBhaskar “Weaimtotakefitnesstothenextlevel” –AnilBhaskar “Ouroverallambitionis to takefitness tothenextlevel,”maintainsAnil Bhaskar,thevisionary architect ofthegroupand nowChairmanandManaging Director ofthe Healthfarm businessempire,andonewhoisknownforhisdeepinsightinthe subject of healthcare and nutrition, his impeccable entrepreneurial acumen andhissharpbusinesssense. Speaking to Corporate India, in an interview, Mr. Bhaskar insists that being fit today is a vital need for everyone. People can’t cater to the exact nutritionalrequirementsofthebodyfromtheirnormalfoodduetotheirbusy schedule; therefore, supplements are essential for every•one to attain the true fitness goal. And as far as army men, police squad, sports•men and sports• women are concerned, their need for fitness emphasizes the importance of supplements. Little wonder that the market for supplements is growing rap• idlythroughouttheworld. Notes Mr. Bhaskar, “At Healthfarm, we aim at taking fitness to the next level and we offer nutritional supplements, organic herbs, multi•vitamins. Intending to provide authentic and high•quality food supplements to ath• letes, bodybuilders and active people, we offer a wide range of products consisting of protein powders, mass gainers, weight gainers, multi•vitamins, Ayurvedic Medicines, men wellness products, tablets, energy drinks, fat burn•ers, meal replacements and immunity builders • and that too at very economicalprices.” Excerptsfrom theinterview: Corporate India: There are many manufacturers of such fitness products at home and abroad. How do you differentiateyourcompanyfromthem? AnilBhaskar:Wearecommittedtotheexcellentqualityofourproducts,sustainedinnovationandremarkablecustomer service.Hencewehavetakenthreeroutestoachieveourobjectiveandemergeasanabove•averageuniquecom•panybystriving hard not onlyto maintain butstrengthenour numerouno positionamong sportsand nutrition brandstores.Asthequality,safety andefficacyofthefinalproductdependonthequalityofrawmaterials,wedon’tcompromiseonthelatter.Wedependonthebest• qualityrawmaterialimported/Indigenous.Again,wechecktheimported/Indigenousrawmaterialinourlaboratorybeforeusingit. Secondly,atHealthfarm,qualityandsafetyaretoppriorities.Infact,qualityisnotanaccidentinourcompany,itisaway of life. Our commitment to quality starts with scientific research and safety checks. This involves testing and analysis at every stage • right from the raw material to finished products. At every stage we take utmost care to ensure that our products are totally free from contaminants and are of the highest quality. We have our own high•quality testing laboratory, which is operated by a team of highly qualified individuals and technicians. Our testing team is dedicated to ensuring that every product that leaves our facility meets a high benchmark. Thirdly, investing in the latest technology and experience, we can ensurethatourcustomers receive productsthataresafe,effectiveandofthehighest quality. CI:Areyouplanningtoexportyourproductsorremaincontentbysellingthemathome? AB: Certainly, we have already started planning to sell our products in overseas countries • particularly in the US, Latin America, Middle East and Africa where there will be very good demand for our supplements and Ayurvedic Medicines. With aviewtocateringto the globalmarkets,wehavealreadyestablishedourpresencewithgrowing strategic alliancesin the US, LatinAmerica,MiddleEastandAfrica CI:WhatistheexportpotentialforIndiansportsnutritionproductsinoverseasmarkets? AB:Thereishugeexportpotential.AccordingtothelatestresearchstudybytheDublin•basedResearchandMarkets,the globalsportsnutritionmarketisexpectedtogrowatacompoundedannualgrowthrate (CAGR)of9.05percent.Thegrowth is mainly due to the companies resuming their operations and adopting a ‘new normal’ while recovering from the Covid•19 pandemic impact which had earlier led to restrictive containment measures involving social distancing, remote working and theclosureofthecommercialactivities.Thingsaregettingtonormalandthesportsnutritionmarketisexpectedtoreach$ 51.02billionby2026. April15,2023CorporateIndia19

5. CI:WhatabouttheIndianmarketforsportsnutrition? AB: In India also, the importance of sports is steadily improving, which is evident from the increased participation of Indians in the Olympic, Commonwealth, Asian and other Games including cricket. Of late, the sports nutrition market is experiencing strong growth. According to the Research and Markets research report, North America was the largest region in the sportsnutritionmarketin2021and2022.Goingahead,AsiaPacificisexpectedtobethefastestgrowingregion.Indiais also a part of this region where the demand for sports nutrition has started rising briskly. Healthfarm would like to participate actively inthisdemandupsurge. CI:Sowhatareyourfutureplans? AB: Innovation plays a very important role in sports nutrition. We are going to established at Jalandhar a well•equipped and resourceful research and development centre to develop new products which will enable us to penetrate overseas markets effectively.OurR&Dcentreisstaffedwithcapableandinnovativetechnicalexpertswho are busydevelopingnewproducts.We aimatestablishingourbrandinlinewithrenownedinternationalbrandslikeGlanbiaPlc,PepsicoInc,CliffBar&Co,Musclefarm, Post HoldingsIncandUltimateNutrition.Weintendtoexpandourbusinessgoingaheadso that wecanreach the milestoneof Rs500•croresalesturnoverduringthenextfiveyearsandcrossRs.1000•croremarkwithinadecade.  SpecialReport Familybizwithprofessionaltouch Healthfarmis a family•run group witha difference •members oftheBhaskarfamily ofJalandharwho arepart ofthemanagementareprofessionalmanagersthroughandthrough. The man behind it all is first•gen entrepreneur Anil Bhaskar, Group Chairman and Managing Di• rector. He was a senior marketing representative for a leading pharma company for years. But in 1987, the bug of entrepreneurship started biting him and he made up his mind to do something on his own. Interestingly, his wife Rashi not only agreed to his risky plan but encouraged him to go ahead. Admits Mr. Bhaskar, “But for her powerful affirmation, I wouldnothaveventuredtotakethisjump.” AnilBhaskarlooksaftertheoverall manage•ment. But his major responsibility and contribu•tion are to ensure strict adherence to qual• ity stan•dards and a continuous focus on research and innovation. He has an engineer’s sharp mind and his deep knowledge of marketing strategies, along with his penchant for the latest technology and the highest quality of products, have laid the strong foundation for the Healthfarm group’s singu• larsuccess. CLEAR-CUTROLES Executive Director Karan Bhaskar, an M. Pharma, takes care of production, purchase and fi• nance.whileExecutiveDirectorBhuvanBhaskar,a B.PharmaandanMBA(Marketing),looksaftersales andpro•duction. RashiBhaskaristheuncrownedqueenoftheHealthfarmbusinessempire.Wheneverthereareanydifferencesof opiniononanybusinessissue,herdecisionisconsideredfinal.Shemaintains,“Thoughathomewearealoving family, atthefactoryandoffice we act as business executivesandallourdecisionsaretakenprofessionally.” 20CorporateIndiaApril15,2023

6. (who is a four•time Olympics champion) is known for its premium quality, scientifically backed formulas and com• mitmenttoinnovation.AsMr.Bhaskarnotes,“Ourpartner• shipwithRawreflectsHealthfarm’scommitmenttobringing innovative and effective products to its customers. Raw supplements(ProteinEAA,Intra•workoutandPre•workout) andwheyproteinarehighlypopularintheUS.” Thankstoawideningproductrangeandrisingdemand for its products, Healthfarm has made rapid strides on the financialfront.Duringfiscal2020•21,thegroup’ssalesturn• overamountedtoRs80.83croreonwhichitearnedaprofit of Rs 5.39 crore. During the next year (2021•22), the sales turnovercrossedthemilestoneofRs 100croretoreachRs 101.41crore,withtheprofitalsorisingtoRs6.31crore. theAyurvedicMedicines,bio•technologyandfoodtechnol• ogy world. With the aim of providing authentic ingredients, we ensure that every client of Healthfarm gets pure, clean, high•qualitynutritionandenjoysahealthyandfitlifestyle.” HOWITBEGAN It was a calm and cool morning in 1987 when Mr. Bhaskar, then a well•paid sales representative of a leading pharmaceutical company, decided to quit and branch out on his own. His wife Rashi fully supported him without worrying about how to run their home in the absence of a steadysalary.ThecouplesetuptheTrojangroup,takingup a crusade of its own for the health and well•being of the nation.Thegroupfirstpromotedasmall•scalecompany, Bison Pharma, for the manufac• ture ofPharmaceutical and AyurvedicMedicinesin Jalandhar,Punjab. In 2002, A new manufactur• ing unit established in sansarpur terrace,kangra,Himachal Pradesh. As the business expanded and Mr. Anil Bhaskar and Rashi were joined by their sons Karan andBhuvan,anewbrand,styled Healthfarm, was created under thebanneroftheTrojangroupin 2012. Healthfarmmainlydealsinsportsnutritionsupplements, gym clothing, Ayurvedic Medicines consisting of protein powders, multi•vitamins, weight gainers, fat burners, en• ergy drinks, immunity builders, tablets and health syrups. StressesKaran Bhaskar, “Wehaveforgedahead unhesitatingly, with no looking back ever since.” Adds Bhuvan Bhaskar, “Our quest for excellence in the fields of AyurvedicMedicineandNutraceuticalshasbeenthebench• mark behind all the endeavours that led to the inception of a network of various manufacturing units.” Pater familias Anil Bhaskar notes, Healthfarm group consists of as many as seven companies •Trojan Pharma, Divine Pharma, Bison Organics, Divinity Healthcare, Bison Pharma, Herbalways AyurvedicandNeutraherbs.” TOPU.S.SOURCE A visionary in a hurry, Anil Bhaskar in order to ensure that Healthfarm made rapid strides entered into strategic alliancesintheUK,CanadaandMalaysia,thusopeningthe way for the group to penetrate overseas markets. Going a step ahead, Healthfarm joined hands with Florida (US)• based Raw Nutrition to bring the latter’s quality sports supplementstoIndia.RawNutrition,ownedbyDr.Dominic Iacavone,MathesonJanesenandChristopherBumstead Duringtheyearjustended(2022•23),itearnedahigher profitofRs7.80croreonanexpandedturnoverofRs124.89 crore. In fact, Anil Bhaskar projects the group’s turnover and profit to reach the Rs 200•crore mark and the Rs 10• crore mark respectively in the current year ending March 2024. EXPANSIONMODE Prospectsforthegroupgoingaheadareallthemore promising. Reveals Mr.Bhaskar, “Divinity Wellnessis all set to establish a new factory in Jalandhar on land spread over 5 acres, which will be a significant addition to our Ayurvedic Medicines and nutraceuticals output.” The new factory is fast coming up and is expected to go on stream by December 2023. Itwill be dedicated to producing high•quality nutraceuticals and Ayurvedic medicines, reflecting the company’s strong focus on qualityandexcellence. The group plans to expand its presence in the global marketbyexportingsupplementstotheUS,LatinAmerica, Middle East and Africa. “These developments will pave the wayforabrightfutureforDivinityWellness,withthepoten• tial for further growth and expansion in the coming years,” confidentlyconcludesAnilBhaskar. April15,2023CorporateIndia21