One key learning from @VijayKedia1 Sir:

Many of the cos he invested in: vaibhav global, Tejas networks, sudarshan chemicals he was tracking for 4-5 years before he decided to invest. Wants to pull the trigger near the bottom of biz cycle

Patience

More from Sahil Sharma

#neulandlab 🌋🌋 read on to understand this company and its story of transformation. On twitter, 🌋 has become synonymous with neuland, and this is how i will use it throughout the thread. If you like the thread, plz retweet & help fellow investors learn


Starting with a simple primer on the Pharma industry. They make medicines for all of us. The part of the medicine which gives it its potency against the ailment it cures is called API: Active Pharmaceutical

(here is a reference few people will get, but have to make it since I love it :D):
If Guardians of the globe (
https://t.co/vH2C1TDbPy) were a medicine, Omniman (https://t.co/0DGb1MAtXN) is the API.


Back to 🌋. There are pharma companies which sell APIs as well as the finished medicine (FDF: Finished Dosage Formulation). Neuland are pureplay API manufacturers. This provides them some advantage since they don't compete with their clients (the FDF makers).

Medicine is diverse. There are medicine which were first discovered in 1920s (https://t.co/6DXNrhOK46), to those being created now (https://t.co/tcr7dAexmO). Naturally then, some of this involves very complex chemistry to manufacture, others are relatively easier to manufacture.

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