Adani Energy Solutions Ltd · NSE:ADANIENSOL
Adani Energy Solutions — Adani Transmission — Investor Presentation (June 2022)
32 slides from Adani Energy Solutions's investor presentation, June 2022
Slide 1: Adani Transmission Limited Equity Presentation
Adani Transmission Limited Equity Presentation June 2022
Slide 2: Contents
CONTENTS 04-07 Adani Portfolio Overview 04 09-15 About ATL 09 17-25 ATL Business Philosophy 17 27 ATL Investment Case 27 29-30 Annexure – Asset Portfolio 29
Slide 3: Adani Portfolio Overview
Adani Portfolio Overview
Slide 4: Adani: A world class infrastructure & utility portfolio
Adani: A world class infrastructure & utility portfolio ~US$ 171 bn1 Combined Market Cap Infrastructure Portfolio Incubator Energy & Utility Transport & Logistics Direct to consumer Other businesses (72.3%) (60.5%) (73.9%) (65.5%) (100%) (44%) AGEL ATL APSEZ AWL AEL NQXT2 Renewables T&D Ports & Logi
Slide 5: Adani: Decades long track record of industry best growth rates across sectors
Adani: Decades long track record of industry best growth rates across sectors Transmission Network (ckm) Port Cargo Throughput (MMT) Renewable Capacity (GW) CGD7 (GAs8 covered) 18% 132% 12% 36% 1.4x 3x 25% 3x 5x 6% 4% 25% Industry Adani Industry Adani Industry Adani Adani Industry Adani 2016 320,000
Slide 6: Adani: Repeatable, robust & proven transformative model of investment
Adani: Repeatable, robust & proven transformative model of investment Phase Development Operations Post Operations Origination Site Development Construction Operation Capital Mgmt Analysis & market Site acquisition Engineering & design Life cycle O&M Redesigning the capital intelligence planning str
Slide 7: A platform well-positioned to leverage growth opportunities in T&D business
ATL: A platform well-positioned to leverage growth opportunities in T&D business Execution Prowess Strategic Presence Balanced pool mix Transmission Network of Transmission - Presence in 13 states Development with 31 transmission projects Transmission(3): 18,795 ckm(1) 52% of EBITDA - Central pool D
Slide 8: About ATL
About ATL
Slide 9: ATL: Business Snapshot
ATL: Business Snapshot Adani Family Public 73.9% Shareholders 26.1%(3) Contracted Assets in ROA Assets in Transmission and Distribution Business Transmission Business 100% QIA is a strategic partner in AEML with 25.1% stake 100% 100% 100% 74.9% 26 TBCB(1) Assets Transmission HVDC MUL Discom AEML Dis
Slide 10: AEML: Century old utility serving the Gateway city of India
AEML: Century old utility serving the “Gateway” city of India Largest Integrated utility in India’s Commercial Capital - Mumbai AEML – Key Milestones Since Acquisition in 2018 About Mumbai Annual Capex (Rs. Crs.) RAB (Rs. Crs.) ~11.0% Real GDP CAGR (FY12 – 18) ~6.0% of India’s real GDP 6,413 7,547 4
Slide 11: ATL: Transformational Journey with Robust Growth and Credit Discipline
ATL: Transformational Journey with Robust Growth and Credit Discipline ATL has delivered an impressive 18.4% CAGR in EBITDA from FY16-22, while still demonstrating credit discipline and maintaining investment grade rating Operating portfolio of 4 Acquired Mumbai • Induction of QIA as • US$ 2 bn GMTN
Slide 12: ATL: Solid Locked-In Growth in both Transmission and Distribution
ATL: Solid Locked-In Growth in both Transmission and Distribution Transmission Project Pipeline (Rs. Bn) AEML Capex Schedule (Rs. Bn) Fully operational Project cost COD/ No. of projects tariff (Rs. Bn) SCOD(2,3) 23 (Rs. Bn)(1) 22 20 Operating ROA COD: Aug’12- Assets 4 projects 107 18.5 16 Mar’15 Ope
Slide 13: Size of Transmission Opportunity for Private Players is ~US$ 30 bn
ATL: Size of Transmission Opportunity for Private Players is ~US$ 30 bn worth projects over FY21-30 Renewable penetration to further boost requirement for transmission Attractive Industry Opportunity backed by strong policy support infrastructure strengthening – Mandatory competitive bidding introdu
Slide 14: Distribution Privatization Opportunity and Other Drivers
ATL: Distribution Privatization Opportunity and Other Drivers – Power distribution is one of the largest consumer facing sectors in the country. 96.7% of ~270 mn households in India are connected to the grid. – Discoms in India have been primarily owned and operated by state governments – Government
Slide 15: Regulated EBITDA: Evolved and Stable Regulatory Regime
ATL: Attractive Industry Opportunity supported by an Evolved and Stable Regulatory Regime EA 2003 ROA Distribution TBCB (AEML) Section 62 (ROA) Tariff Method - Multi Year (5 yr) Tariff Section 63 (TBCB) Tariff Method – License Period Basis Services O&M Power Procurement All other Costs Expenses Cost
Slide 16: ATL Business Philosophy
ATL Business Philosophy
Slide 17: Business Philosophy focusing on De-risking at every stage of project lifecycle
ATL: Business Philosophy focusing on De-risking at every stage of project lifecycle DE-RISKING AT EVERY STAGE Route Identification & Survey Project Execution − Complex projects experience: Completed HVDC project − Route alignment on topographic maps to optimize route & (~1000 kms) in a record time o
Slide 18: Structure & processes developed to ensure seamless completion of projects
ATL: Structure & processes developed to ensure seamless completion of projects Tightly Woven & Interlinked Disciplines With Proven Strengths, Enabling delivery of Large Projects from Plan to Operational Readiness Execution focus Route Identification and Project Planning and Contracting Methodology P
Slide 19: Technology enabled O&M Excellence
ATL: Technology enabled O&M Excellence Design and Technology Excellence Project Excellence O&M Excellence • In-house design team capable of designing • Completed HVDC project (~1,000 kms) • In-house team with vast O&M experience Execution Excellence towers using software tools like PLS Tower and wit
Slide 20: Shifting from Time-based to Reliability Centered Maintenance
ATL: As a matured O&M player, shifting from Time-based Maintenance to Reliability Centered Maintenance Time-based Maintenance Preventive Maintenance Condition-based Reliability Centered (TBM) (PM) Maintenance (CBM) Maintenance (RCM) • Emergency restoration • SAP Integration for • Performing key test
Slide 21: O&M Philosophy focused on Reliability, Longevity, Sustainability & Safety
ATL: O&M Philosophy focused on Reliability, Longevity, Sustainability & Safety Average Availability Analytical dashboard 99.9% 99.8% 99.8% 99.9% 99.7% Asset Integration in SAP Reliability Health Index formulation FY18 FY19 FY20 FY21 FY22 Longevity • Industry-leading ENOC Benefit System Availability
Slide 22: AEML Business philosophy: Sustainability, Reliability and Consumer Focus
AEML Business philosophy: Sustainability, Reliability and Consumer Focus (Affordability & Responsiveness) Reliability Affordability & Responsiveness • Pioneer in adoption of advanced technologies • Consumer-centric service delivery model Emerging • Only utility with integrated GIS, WMS, OMS, CRM a
Slide 23: Capital Management Philosophy to achieve growth at scale with capital discipline
ATL: Capital Management Philosophy to achieve growth at scale with capital discipline ATL is the only private sector transmission and distribution company in India with International IG Rating – Long life contracted assets with sovereign counterparties in a stable regulatory regime (Transmission: 35
Slide 24: Transformational Capital Management Plan in AEML resulting in value unlocking
ATL: Transformational Capital Management Plan in AEML resulting in value unlocking Capital structure Elongated maturity High quality stable Diversified and deep Fully funded long term consistent with reflecting perpetual nature cashflow profile to ensure investor base, to provide capex program under
Slide 25: Case Study: TBCB portfolio takeout through USPP
Case Study: TBCB portfolio takeout through USPP USPP: 30 years USD notes (USD 400 mn) issued by restricted group of 7 subsidiaries of ATL (2,084 ckm network) with fixed coupon and amortizing structure matching the concession period & revenue profile of the issuer companies Case study USPP: Fully fun
Slide 26: Investment Case
Investment Case
Slide 27: ATL: Compelling Investment Case
ATL: Compelling Investment Case − Significant growth opportunities in Transmission and Distribution with favourable government policy and strong T&D Favorable Industry infrastructure demand with increasing shift to renewable energy Landscape − Evolved and stable regulatory regime conducive for infra
Slide 28: Annexure – Asset Portfolio
Adani Transmission Limited Debt Presentation | February 2 0 2 0 Transmission Annexure – Asset Portfolio 14
Slide 29: ATL's Operational Asset Portfolio as of FY22
ATL’s Operational Asset Portfolio as of FY22 Adani Transmission Limited 100% 100% 75% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% AEML MUL ATSCL & WTGL, PPP Bikaner ATIL MEGPTCL ATBSPL APTL ATRL RRWTL CWRTL STL FBTL Khetri GTL Discom Discom MTSCL WTPL 8/9/10 Mundra - Tiroda - Ad
Slide 30: ATL's Under-construction Asset Portfolio as of FY22
ATL‘s Under-construction Asset Portfolio as of FY22 Adani Transmission Limited Since ATL’s evolution its Transmission 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% Network (ckt km) has grown 3.4x and Obra-C WRSS – Lakadia Jam Kham- MP Kharghar NKTL Banas- WKTL HVDC# Khavda Karur expanded in
Slide 31: Legal Disclaimer
Legal Disclaimer The information contained in this presentation is provided by Adani Transmission Limited (together with its subsidiaries, the “Company” or “ATL”) to you solely for your reference and for information purposes only. This presentation is highly confidential and is being given solely fo
Slide 32: Thank You
adani Transmission adani Transmission Thank You -¢
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