Buy call for Praj Indusetries Ltd

Buy Praj Ind. for 12-months at current price with target price of Rs.230 Praj Industries Ltd (PIL) is in the business of design, manufacture, supply and commissioning of fermentation and distillation equipment for manufacture of alcohol, using latest continuous fermentation technology.The subsidiaries of PIL are Pacecon Engineering Projects Ltd, Praj Far East Pte Ltd, Yaan eSites Ltd and Process IT LLC. PIL has been awarded ISO Certification from TUV Cert, for its hi-flux range of plate heat exchangers.The company has made diversification in the areas of Dairy plant & equipment, fruit processing and bio-technology.The company was awarded ISO 9002 during 2000 for its manufacturing facility.The order-book stood at Rs 950 crore, with orders from all geographies including a recent $25-million order for two greenfield plants for Pantaleon ? one of the largest sugar groups in Central America ? in Guatemala. Around 60% of the order book comprises international orders, which is equally distributed between Europe, US and South East Asia. About 15% of the order book is for brewery plants. Out of the balance, 60% is for ethanol plants using grain feedstock and the rest for plants using non-grain feedstock. Non-grain feedstock includes sweet sorghum.