We came across the IPO document of Gravita India. It is one of the major competitor to Pondy Oxide and both are operating an identical business. Interestingly, Gravita despite being a smaller company when compared to Pondy, is going public at more than 3 times the valuations commanded by already listed Pondy Oxide.
Here is a quick comparison sheet to highlight the huge valuation gap between two companies:
|Pondy Oxide||Gravita India|
|1. Capacity is calculated on Standalone basis and|
|addition of various sub-segments|
|2. M Cap of Gravita is based on price at upper band|
As highlighted by Gravita in its various articles and documents, the lead recycling business has great potential due to strong battery demand, we feel Pondy Oxide is a much better bet when compared to Gravita as the valuations are very attractive in Pondy Oxide.