Paper Manufacturing / Hospitality

Magnum Ventures Limited

₹00.1302

MAGNUM

Company Overview

Magnum Ventures Limited is a diversified enterprise operating across two key sectors: Paper Manufacturing and Hospitality. With over 30 years of experience in paper production, the company has established itself as one of Northern India's largest manufacturers of newsprint and duplex boards.

The company's manufacturing division produces a wide range of paper products, including paper board and newsprints, printing and writing papers, duplex boards, xerox paper, and wrapping/packing paper. It is recognized as one of the largest paper mills in Northern India, producing significant quantities of Cream wove Paper, Maplitho, Copier, and Coated Duplex Board. The company also operates a significant hotel business, contributing to its overall revenue.

Corporate History and Incorporation

Magnum Ventures Limited was originally incorporated as 'Magnum Papers Private Limited' on May 29, 1980, in New Delhi. It was converted into a Public Limited Company and renamed 'Magnum Papers Limited' on May 31, 1995. The company adopted its current name, 'Magnum Ventures Limited', on November 15, 2006. The business was taken over in 1984 by the Late Mr. Salek Chand Jain and his son Late Mr. Vinod Jain.

The company benefits from a strategic location in Sahibabad, NCR region, which is approximately 15 KM from Connaught Place, New Delhi, providing significant logistical advantages for its operations and distribution networks.

Business Operations and Industry Position

Magnum Ventures Limited's operations are primarily divided into two segments: Paper Manufacturing and Hospitality.

Paper Division

The Paper Division is a core part of the company's business, with over three decades of experience. The mill is equipped with an installed capacity of 85,000 TPA (Tonnes Per Annum). The manufacturing activities encompass a broad spectrum of paper products including:

- Newspaper

- Printing Paper

- Grey and Duplex Boards

- Paper Board and Newsprints

- Printing and Writing Papers

- Copier Paper

- Coated Duplex Board

The company is positioned as one of the largest paper manufacturing mills in Northern India.

Hotel Business Division

The Hotel Business Division contributes significantly to the company's revenue, accounting for approximately 24% as of 9MFY25. The company owns and operates the Country Inn & Suites by Radisson in Sahibabad, Ghaziabad, Uttar Pradesh. This is an all-vegetarian, five-star hotel featuring 216 rooms across four categories:

- 64 Standard Rooms

- 76 Superior Rooms

- 70 Club Rooms

- 6 Executive Suites

Financial Performance

Market Capitalization and Valuation Metrics

- Market Capitalization: ₹169 Crore (as of July 2025)

- BSE Code: 532896

- NSE Symbol: MAGNUM

Key Financial Metrics

- Stock P/E Ratio: 16.6

- Book Value: ₹105

- ROCE (Return on Capital Employed): 3.66%

- ROE (Return on Equity): 1.48%

- Face Value: ₹10.0

Recent Quarterly Performance (Q3 FY2025 vs. Q3 FY2024)

- Net Profit: Increased by 226.95% to ₹8.37 Crore (ended December 2024) from ₹2.56 Crore in Q3 FY2024.

- Sales: Increased by 6.77% to ₹103.16 Crore from ₹96.62 Crore in the previous year quarter.

Annual Financial Metrics

- Revenue: ₹396 Crores

- Profit: ₹9.50 Crores

Shareholding Pattern

- Promoter Holding: 56.9%

- Promoter holding increased to 56.86% as of September 2024 from 54.27% as of June 2024.

Recent Corporate Developments

- EGM Resolutions (June 2025): Resolutions passed to enhance borrowing limits and issue ₹400 crore secured debentures.

- Acuité Rating: Reaffirmed BB rating, with plans for ₹240 crore NCD refinancing and ₹90 crore capex.

Manufacturing Capacity and Infrastructure

The company's paper mill is one of the largest in Northern India, with an installed manufacturing capacity of 85,000 Tonnes Per Annum (TPA). The existing manufacturing activities cover a wide range of paper products including Newspaper, printing paper, and grey and duplex boards.

Management

- Audit Firm: Sahni Bansal & Associates / Aggarwal & Rampal

- Chairman: Praveen Kumar Jain

- Company Secretary: Aaina Gupta

The company's foundations were laid in 1980 as Magnum Papers Limited, with the current promoters, including the late Shri Salek Chand Jain and his sons (Mr. Vinod Jain, Mr. Parmod Jain, Mr. Pradeep Jain, and Mr. Praveen Jain), being instrumental since the 1984 takeover.

Magnum Ventures Limited represents a unique business model combining traditional paper manufacturing expertise with modern hospitality services. It leverages its strategic NCR location to drive both business verticals while maintaining strong promoter involvement and a consistent operational performance.