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Valuation: “We are expecting JBF Industries to post healthy growth in next two years and expecting company to deleverage its balancesheet substantially from current levels post commencement of its Mangalore facility and fund infusion from KKR. We are expecting EBIDTA grow from to jump substantially from INR 9,266mn to INR 19,213mn PAT to grow from INR 312mn to INR 7,812mn between FY15 FY17 respectively. We are valuing JBF at 5.5x EV/ EBIDTA its FY17 numbers and arrived at a value of INR 482 per share which gives an upside of 156% from current levels.

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