Catamaran Bets Big on Indian Manufacturing Powerhouses

Catamaran Ventures has recently entered two new investments, TD Power Systems and Vardhman Special Steels, reflecting a focus on export-oriented, precision engineering firms in India. TD Power Systems, a Bengaluru-based AC generator and electric motor manufacturer, boasts a debt-free balance sheet and exports to over 100 countries, including a manufacturing tie-up with Japan's Toshiba group. Its stock has seen a remarkable surge of 2,775% over five years.

Vardhman Special Steels, a niche producer of special and alloy steel bars for the automotive sector, also operates with a debt-free model. It counts Toyota and Maruti Suzuki among its clients, backed by a significant stake increase from its Japanese partner, Aichi Steel. Despite flat sales, Vardhman achieved record profits in FY26 through operational efficiencies.

These two distinct investments highlight Catamaran's strategy: TD Power represents a high-growth, momentum-driven stock with a 75x P/E, while Vardhman is a steadier, value-focused company trading at a 22x P/E. Both share a common thread of strong Japanese partnerships and lean operations, aligning with Catamaran's stated investment thesis.

The investment in TD Power Systems, valued at approximately Rs 262 cr, is a substantial stake, while the Vardhman Special Steels position, around Rs 28 cr, appears to be a starter position. Both companies are recognized for their precision manufacturing, global sales reach, and commitment to financial discipline.