Adani Green Energy Limited · NSE:ADANIGREEN
Adani Green Energy — JP Morgan Debt Conference, February 2020
48 slides from Adani Green Energy's conference presentation, February 2020
Slide 1: Adani Green Energy Limited Debt Presentation
Renewables Adani Green Energy Limited DEBT PRESENTATION JP MORGAN DEBT CONFERENCE, F E B R U R A Y, 2 0 2 0 MIAMI
Slide 2: Contents
CONTENTS Adani Group AGEL – Portfolio and Appendix 04-07 14-17 Growth Strategy 26-46 AGEL Project Details Financials Strategic Priorities 26 Adani: World class infrastructure & utility portfolio 04 AGEL Attractive Industry Outlook Industry Developments Adani: Repeatable, robust & AGEL: Robust Busine
Slide 3: Adani Group
Renewables Adani Group Amongst the Largest Infrastructure & Utility Portfolio of the World
Slide 4: Adani: World class infrastructure & utility portfolio
Adani Green Energy Limited Debt Presentation | February 2020 Renewables Adani: World class infrastructure & utility portfolio Transport & Logistics Portfolio Adani Energy & Utility Portfolio Adani 62.5% 100% 75% 75% Philosophical shift from B2B to B2C businesses – APSEZ SRCPL ATL AGEL Port & Logisti
Slide 5: Adani: Repeatable, robust & proven model to deliver RoE
Adani Green Energy Limited Debt Presentation | February 2020 Renewables Adani: Repeatable, robust & proven model to deliver RoE Development Operations Post Operations Phase Origination Site Development Construction Operation Capital Mgmt Analysis & market Site acquisition Engineering & design Life c
Slide 6: Adani: Repeatable, robust business model applied consistently to drive value
Adani Green Energy Limited Debt Presentation | February 2020 Renewables Adani: Repeatable, robust business model applied consistently to drive value Successfully applied across Infrastructure & utility platform Development at large scale & within time and budget India’s Largest Longest Private HVDC
Slide 7: Adani: world-class credit portfolio attracting global investors
Adani Green Energy Limited Debt Presentation | February 2020 Renewables Adani: world-class credit portfolio attracting global investors Energy & Utility Portfolio Company Issue date Issue Size Coupon Price Current Yield** Average DTD Debt Ratings (USD mn) Maturity structure Renewable Oct,19 362.5 4.
Slide 8: Adani Green Energy Limited ESG
Adani Green Energy Limited Debt Presentation | February 2020 Renewables Renewables Adani Green Energy Limited ESG 08
Slide 9: AGEL ESG Philosophy
Adani Green Energy Limited Debt Presentation | February 2020 Renewables AGEL ESG Philosophy Efficiency Resource Management Waste Management Wind-Solar Hybrid: Matching Unproductive land used for 2.80 million ton CO2 emission load curve plants reduced Remote Operating Nerve Proprietary technologies t
Slide 10: Environment awareness and initiatives
Adani Green Energy Limited Debt Presentation | February 2020 Renewables Environment awareness and initiatives AGEL recognizes that following environment related factors matter to its business model Climate Awareness Offsetting of Carbon Emissions Resource Management Waste Management Increased effici
Slide 11: Technology intervention enabling effective management of resource
Adani Green Energy Limited Debt Presentation | February 2020 Renewables Technology intervention enabling effective management of resource Reduction in water usage for module cleaning Efficiency in land usage AGEL has been a pioneer in adoption of latest technologies for Sites are identified for sett
Slide 12: AGEL's Governance: Journey so far and future glide path
Adani Green Energy Limited Debt Presentation | February 2020 Renewables AGEL’s Governance: Journey so far and future glide path We have charted a glide path to internalise global best practices of governance by September 2021 JOURNEY SO FAR TARGET BY SEP 2021 Bankruptcy Remote Structure for RG1 and
Slide 13: Adani Green Energy Limited Portfolio Growth Strategy
Adani Green Energy Limited Debt Presentation | February 2020 Renewables Renewables Adani Green Energy Limited Portfolio Growth Strategy 13
Slide 14: AGEL: Robust Business Model with Rapid Growth & Predictable Returns
Adani Green Energy Limited Debt Presentation | February 2020 Renewables AGEL: Robust Business Model with Rapid Growth & Predictable Returns.. Total Portfolio Diversified Portfolio1 Project Capex / EBITDA 5,9901MW 11 states ~6.0x Execution (2,495 MW Operational/ 3,495 MW 44% solar; 28% wind; 28% hybr
Slide 15: With Large Diversified Portfolio: 70% with SECI and NTPC
Adani Green Energy Limited Debt Presentation | February 2020 Renewables …With Large Diversified Portfolio: 70% with SECI and NTPC 5,9901 MW Portfolio | 2,495 MW operational Strong PPA counterparties Operational Under Implementation Wind Solar Govt. of India Owned • SECI AA+ Domestic Solar-Wind Hybri
Slide 16: Strong Execution Track Record, with Locked-in Growth
Adani Green Energy Limited Debt Presentation | February 2020 Renewables Strong Execution Track Record, with Locked-in Growth Driven by the Risk Adjusted Returns for Portfolio Operational (MW) 2495 MW 800 MW UC (MW) operational up COD in to Dec19 FY 20 5990 5990 4560 1000 3,220 2,590 2570 2000 612 1,
Slide 17: Capital Management Program
Adani Green Energy Limited Debt Presentation | February 2020 Renewables Renewables Capital Management Program 17
Slide 18: AGEL- Replicating Adani Group Business Model
Adani Green Energy Limited Debt Presentation | February 2020 Renewables AGEL- Replicating Adani Group Business Model Key business model attributes Successfully applied across Infrastructure and utility platform Development at scale and within time and budget 648 MW Ultra Mega Pavgada, KN AREGJL, GJ
Slide 19: RG2: Elimination of Liquidity Risk through Capital Management
Adani Green Energy Limited Debt Presentation | February 2020 Renewables RG2: Elimination of Liquidity Risk through Capital Management First Investment Grade bond deal out of the India renewables space Pre & Post refinance schedule Pre-finance Loan Re-financed Loan 900 800 700 600 500 400 300 200 100
Slide 20: AGEL Refinancing Prowess
Adani Green Energy Limited Debt Presentation | February 2020 Renewables AGEL Refinancing Prowess Diversified funding sources and focus on debt maturity & cost rationalization Extended Maturity Profile: Improved Returns and Low Refinancing Risk Pre-finance Debt for TN, RG1 & RG2 Post-finance Debt for
Slide 21: AGEL: RG1 & RG2 Bonds are in the money
Adani Green Energy Limited Debt Presentation | February 2020 Renewables AGEL: RG1 & RG2 Bonds are in the money last Price 110.000 ZR955537 Corp (R1) 103.735 109.378 ADGREG 614 12/10/2024 144 Corp (L1) 109.378 108.000 108.000 106.000 106.000 104.000 103.735 104.000 102.000 102.000 100.000 Jun Jul Aug
Slide 22: Efficient Risk Reduction Leading To Lower Costs & Extended Maturities
Adani Green Energy Limited Debt Presentation | February 2020 Renewables Efficient Risk Reduction Leading To Lower Costs & Extended Maturities RG2 RG1 • Standard project finance features • Standard project finance features Robust Structural Protections • Clean first ranking security • Clean first ran
Slide 23: Global Benchmarking: Adani Energy Portfolio vs. Global peers
Adani Green Energy Limited Debt Presentation | February 2020 Renewables Global Benchmarking: Adani Energy Portfolio vs. Global peers AGEL fares in line or better on various metrics with global peers Renewable Players – Capacity in GW1 EBITDA margin %2 - FY19 EV / EBITDA2 (1 Yr Forward) 90% 14.40 17.
Slide 24: Journey of Immense Value Creation throughout Life Cycle
Adani Green Energy Limited Debt Presentation | February 2020 Renewables Journey of Immense Value Creation AGEL (3 years of throughout Life Cycle operation) FY17 FY20 Strict Credit Rating Not Covenant BBB-/ Rated Management Baa3 Key Highlights Total capital employed: Cost of Debt USD ~2.0 bn ~11.5% -
Slide 25: Appendix
Adani Green Energy Limited Debt Presentation | February 2020 Renewables Appendix 25
Slide 26: Appendix A: Project Details, Financials, Strategic Priorities
A Adani Green Energy Limited Debt Presentation | February 2020 Renewables Appendix Adani Green Energy Limited Project Details Financials Strategic Priorities 26
Slide 27: AGEL: Leading Renewable Player in India
Adani Green Energy Limited Debt Presentation | February 2020 Renewables AGEL : Leading Renewable Player in India… AGEL AGEL RG 2 AGEL RG 1 TN SPVs Operational Wind U/c Solar U/c Wind U/c Hybrid 570 MW 930 MW 648 MW Assets 347 MW 475 MW 1330 MW 1690 MW Operational Solar Assets 2,148 MW Under-construc
Slide 28: Environment & Safety Focus across Project Life-Cycle
Adani Green Energy Limited Debt Presentation | February 2020 Renewables Environment & Safety Focus across Project Life-Cycle Benefit area Environment Community Land Acquisition Engineering Procurement Construction Operation Priority to set up Land resource Policy and signed Auxiliary Power From wate
Slide 29: Asset Level Details - Operational
Adani Green Energy Limited Debt Presentation | February 2020 Renewables Asset Level Details - Operational Wind Projects Solar Hybrid Contracted Capacity Counterparty Counterparty SPV Project Name / Location Type Tariff COD PPA Term Capacity (AC) (DC) Name Credit Rating AGETNL Solar 216 260 7.01 Mar-
Slide 30: Asset Level Details – Under Construction
Adani Green Energy Limited Debt Presentation | February 2020 Renewables Asset Level Details – Under Construction Wind Projects Solar Hybrid Contracted Capacity Counterparty Counterparty SPV Project Name / Location Type Tariff COD PPA Term Capacity (AC) (DC) Name Credit Rating AGEONEL Gujarat Solar 1
Slide 31: Consolidated Statement of P&L
Adani Green Energy Limited Debt Presentation | February 2020 Renewables Consolidated Statement of P&L Particulars (USD Mn) Q3’20 Q2’20 Q3’19 9M’20 9M’19 FY19 Revenue from operations Revenue from Power Supply 63 65 64 205 192 268 Other operating income 0 2 0 3 1 1 Revenue from EPC and Traded Goods 7
Slide 32: Other Financial Metrics
Adani Green Energy Limited Debt Presentation | February 2020 Renewables Other Financial Metrics Revenue 1 (USD Mn) EBITDA (USD Mn) 76 78 66 70 66 63 64 65 63 62 56 56 59 49 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q1 Q2 Q3 Q4 Q1 Q2 Q3 FY19 FY19 FY19 FY19 FY20 FY20 FY20 FY19 FY19 FY19 FY19 FY20 FY20 FY20 Cash profit 2 (
Slide 33: Power Generation Receivables Ageing
Adani Green Energy Limited Debt Presentation | February 2020 Renewables Power Generation Receivables Ageing Off Takers (in USD Mn) Not Due 1 0-60 days 61-90 days 91-120 days 121-180 days >180 days Total Overdue2 (as of 31th December) TANGEDCO3 18 17 8 9 9 41 83 NTPC4 8 0 0 0 0 0 0 SECI5 7 0 0 0 0 0
Slide 34: AGEL's Strategic Priorities
Adani Green Energy Limited Debt Presentation | February 2020 Renewables AGEL’s Strategic Priorities Growth & Optimal Project Operational Stable ESG Returns Capital Execution Excellence Cash Flows Focus Management Vision to be one Leverage Build on Drive high and Predictable Strong focus on of the la
Slide 35: Pillars for Capital Management Plan
Adani Green Energy Limited Debt Presentation | February 2020 Renewables Pillars for Capital Management Plan Liquidity Interest Forex Structural Risk Rate Risk Risk Protections Tenor in Fixed Foreign Counter-party Resource O&M line with Interest Rate currency debt Risk Risk Risk concession for the fu
Slide 36: Appendix B: Attractive Industry Outlook, Developments, Regulatory Landscape
B Adani Green Energy Limited Debt Presentation | February 2020 Renewables Appendix Adani Green Energy Limited Attractive Industry Outlook Industry Developments Regulatory Landscape 36
Slide 37: Attractive Outlook of Indian Renewable Industry
Adani Green Energy Limited Debt Presentation | February 2020 Renewables Attractive Outlook of Indian Renewable Industry Low Per Capita Power Consumption Untapped Solar and Wind Resources Low Generation Share Per capita power consumption (KWh) Potential Installed capacity in GW (Apr-2019) 3.0% 10.0%
Slide 38: Power Sector Policy Reforms & Updates
Adani Green Energy Limited Debt Presentation | February 2020 Renewables Power Sector Policy Reforms & Updates MoP/MNRE continues with reforms in the power sector: MNRE issues draft Guidelines for Tariff Based Competitive Bidding Process for Procurement of Power From Grid Connected Wind Solar Hybrid
Slide 39: Operating in a robust and tested regulatory framework over 20 years
Adani Green Energy Limited Debt Presentation | February 2020 Renewables Operating in a robust and tested regulatory framework over 20 years Ministry of Power (MOP) Empowered Committee CEA Tariff Determination Methodology Participants/Statutory bodies under Electricity Act, 2003 Section 62 (RoA) Sect
Slide 40: Regulatory Bodies across energy landscape in India
Adani Green Energy Limited Debt Presentation | February 2020 Renewables Regulatory Bodies across energy landscape in India Ministry Ministry of (conventional) Power (MoP) / Ministry of New & Renewable Energy (MNRE) Central Electricity Authority of India (CEA) Advisory Advisory arm of MoP on matters
Slide 41: Appendix C: Restricted Group-1 Financials & Key Operational Numbers
C Adani Green Energy Limited Debt Presentation | February 2020 Renewables Appendix Restricted Group-1: Financials & Key Operational Numbers Financials & Key Operational Numbers 41
Slide 42: RG-1 – 930 MW Solar Operational Update
Adani Green Energy Limited Debt Presentation | February 2020 Renewables RG-1 –930 MW Solar Operational Update Key Highlights: Solar RG-1: Grid availability at 98.6% for 9M FY20; Grid availability lower at PSEPL2 (40 MW Karnataka DCR), & PDPL3 (50MW Ghani) Continue to have plant availability in exces
Slide 43: RG-1 – Key Financial Number and Receivable Ageing
Adani Green Energy Limited Debt Presentation | February 2020 Renewables RG-1 –Key Financial Number and Receivable Ageing Key Financial number Particulars (USD Mn) Q3’20 Q2’20 9M’20 FY19 Revenue from operation 29 28 92 117 EBITDA 25 22 78 107 Outstanding Gross Debt as on December 2019 of USD Mn 649 P
Slide 44: Appendix D: Restricted Group-2 Financials & Key Operational Numbers
D Adani Green Energy Limited Debt Presentation | February 2020 Renewables Appendix Restricted Group-2: Financials & Key Operational Numbers 44
Slide 45: RG-2 – 570 MW Solar Operational Update
Adani Green Energy Limited Debt Presentation | February 2020 Renewables RG-2 – 570 MW Solar Operational Update Key Highlights: Solar RG-2: • Grid availability at 97.6% for 9M FY20. Grid availability lower at Wardha Solar1 (40MW Nalwar & 10 MW Kallur) • Continue to have plant availability in excess o
Slide 46: RG-2 – Key Financial Number and Receivable Ageing
Adani Green Energy Limited Debt Presentation | February 2020 Renewables RG-2 – Key Financial Number and Receivable Ageing Key Financial number Particulars (USD Mn) 9M’20 Revenue from operation for the period ended Dec’19 (USD Mn) 40 EBITDA for the period ended Dec’19 (USD Mn) 36 O/s Gross Debt, post
Slide 47: Disclaimer
Adani Green Energy Limited Debt Presentation | February 2020 Renewables Disclaimer Certain statements made in this presentation may not be based on historical information or facts and may be “forward-looking statements,” including those relating to general business plans and strategy of Adani Green
Slide 48: Thank You
Ni ae Renewables Thank You
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