Concord Enviro Systems Ltd - Stock Valuation and Financial Performance

Concord Enviro Systems Limited was originally incorporated as ‘Concord Enviro Systems Private Limited’ under the provisions of the Companies Act, 1956 pursuant to a certificate of incorporation dated July 1, 1999, issued by the RoC. Pursuant to a memorandum of understanding dated August 18, 1999 executed between the company, and ‘Universal Blenders’, a partnership firm constituted pursuant to partnership deed dated August 19, 1992, as amended, the company took over the assets and liabilities of Universal Blenders, which ceased its business operations, and whose operations were taken over and carried in the name of the Company with effect from July 3, 1999. The name of the company was subsequently changed to ‘Concord Enviro Systems Limited’, upon conversion into a public company, pursuant to a board resolution dated May 23, 2022 and a shareholders’ resolution dated May 25, 2022, and a fresh certificate of incorporation was issued by the RoC consequent upon change of name on conversion to public limited company on June 9, 2022.

The company is a global provider of water and wastewater treatment and reuse solutions, including zero liquid discharge (ZLD) technology. It has in-house capabilities to develop solutions across the entire value chain including designing, manufacturing, installation and commissioning, operation and maintenance (O&M) and digitalization solutions including Internet of Things (IoT). The sources through which it generates its revenue include (i) sale of systems and plants (ii) operations and maintenance of installed plants, and (iii) supplying consumables and spares for installed plants. Its business operations include Systems and Plants, operations and maintenance and Consumables and Spares. It has also implemented digitalization solutions (including IoT) to provide data capture and analysis platforms that enable real-time monitoring, troubleshooting and preventative maintenance of its installed systems and plants.

It is an integrated provider of wastewater treatment and ZLD solutions, with focus upon energy optimization and recovery helping industries achieve water conservation and sustainability goals. It also provides its solutions to customers on a turnkey basis. Its integrated solutions incorporate its own custom designs for systems and plants including effluent treatment plants, anaerobic digestors, membrane bio-reactors, sewage treatment plants, membrane-based systems including ultra-filtration (UF), nano-filtration (NF), reverse osmosis (RO), desalination systems and waste heat evaporators (WHE). In addition, it offers its customers a comprehensive suite of O&M services including providing consumables and spare parts. It has also implemented digitalization solutions (including IoT) to provide data capture and analysis platforms that enable real-time monitoring, troubleshooting and preventative maintenance of its installed systems and plants.

Business area of the company

The company is engaged in the business of manufacturing water treatment systems, water pollution control equipment, bio filters, resource recovery systems using membrane technology and operational and maintenance services.

History and milestones

• 1992-1993: Company received an enquiry for the supply of a reverse osmosis distillation plant to the Indian Navy for user and evaluation trials.
• 1994-1995: Company ventured into offshore seawater desalination equipment supply via its Subsidiary, Rochem Separation Systems (India) Private Limited.
• 1994-1995: Order from Goa Shipyard Limited for supply of RO type fresh-water generators for survey vessel yards.
• 1994-1995: Investment by Rochem Group S.A., Switzerland, into 50% equity share capital of its Subsidiary, Rochem Separation Systems (India) Private Limited.
• 1995-1996: First order for RO system to be installed on submarines.
• 2000-2001: Expanded into industrial wastewater reuse through its Subsidiary, Rochem Separation Systems (India) Private Limited by industrial installation along with Aurobindo Pharma Limited.
• 2006-2007: Set up operations in Sharjah Airport International Free Zone through incorporation of its Subsidiary, Blue Water Trading and Treatment (FZE).
• 2006-2007: Acquisition by Concord Shipping Private Limited of 50% of the equity share of its joint venture from Rochem AG by purchase of shares of Rochem Separation Systems (India) Private Limited held by Rochem AG
• 2008-2009: Company expanded its customer segment through its Subsidiary, Rochem Separation Systems (India) Private Limited to the oil and gas sector.
• 2009-2010: The company acquired the entire shareholding in Reva Enviro Systems Private Limited pursuant to a share purchase agreement dated June 2, 2009.
• 2009-2010: Earned a total income of Rs 1,000 million in the financial year 2009-10.
• 2010-2011: Expanded its manufacturing and export facilities in the UAE through incorporation of its Subsidiary, Concord Enviro FZE.
• 2010-2011: Company expanded its customer segment through its Subsidiary, Rochem Separation Systems (India) Private Limited to the food and beverage sector.
• 2013-2014: Expanded product portfolio with High Pressure Reverse Osmosis (“HPRO”) and Low-Pressure Reverse Osmosis (LPRO) plants.
• 2014-2015: Sold NF membrane plant through its Subsidiary, Rochem Separation Systems (India) Private Limited.
• 2016-17: Incorporation of Roserve Enviro Private Limited, to carry on business of owning and providing on rent/ lease, operating/ maintaining and buying, selling, reselling, all kinds of reverse osmosis plants and allied equipment, machinery, plants, and other equipment.
• 2017-2018: Rochem Separation Systems (India) Private Limited installed its first HPRO System.
• 2018-2019: Commercialization of waste heat evaporators by its Subsidiary, Rochem Separation Systems (India) Private Limited.
• 2018-2019: Commencement of exports to China and Africa, by its Subsidiary Concord Enviro FZE.
• 2022: Largest export order till date received from one of its international customers namely Diageo Mexico Operaciones, S.A. De C.V.
• 2024: Orders received for: Integrated membrane brine concentrator for RO rejects from Ranjan Polysters Limited; and Complete wastewater package from refinery sector from Megha Engineering & Infrastructures Limited.