Murthy's Family Office Buys Key Foundry Supplier

On August 27, 2026, Catamaran Ventures LLP purchased 55,978 shares of Foseco India for Rs 33.01 crore, acquiring a 0.74% stake. This investment aligns with a deliberate, sectoral strategy by the family office, which has recently invested in five companies within the metal forming and related industries over two quarters.

Foseco India's parent, the Vesuvius group, reduced its ownership from 74.98% to 63.54% following a deal where Foseco India acquired 75% of Morganite Crucible (India). This dilution increased public shareholding and created an opportunity for significant block sales.

Morganite Crucible Limited and Morgan Terrassen BV subsequently sold their shares, offloading 11,50,800 shares for Rs 678.6 crore. This transaction was the entry point for Catamaran and other institutional investors like SBI Mutual Fund and Motilal Oswal Mutual Fund.

Foseco India, established in 1958, operates plants in Pune and Puducherry, supplying filters, coatings, and binders to various industries. While showing solid industrial growth with an 11% sales CAGR and 14% net profit CAGR from CY19 to CY25, its stock currently trades at a higher PE ratio than the industry median.

The company boasts a debt-free balance sheet with reserves exceeding Rs 1,000 crore and strong operating cash flow. The recent acquisition of Foseco Crucible (India) contributes significantly to consolidated margins, with the crucible business showing impressive profitability.

Looking ahead, Foseco India plans a fund raise via qualified institutional placement and must sell down 1.77% of its crucible subsidiary to meet public shareholding norms. These upcoming supply events will add more paper to the market.