33 slides from Mep Infrastructure Developers's investor presentation, December 2017
Slide 1: Corporate Presentation December 2017
CORPORATE PRESENTATION December 2017 1
Slide 2: Executive Summary
Header Goes Executive Here Summary • MEP Infrastructure Developers Ltd (MEP),an integrated road infrastructure developer, is one of the leading players Company CompanyOverview Overview for HAM,OMT and Toll Collection projects in India. • Founded in 2002 by current promoters Mr Dattatray Mhaiskar and
Slide 3: Company Profile
Header Goes Company ProfileHere Leading and Diversified Player Revenue Mix – FY17 MEP has evolved into an integrated road Infrastructure developer, having operations in EPC, Toll collections & OMT projects together with its entry into construction with the win of six 3.70% LT, 10.50% major Hybrid
Slide 4: Company Overview
Header Goes Here COMPANY OVERVIEW COMPANY OVERVIEW 4
Slide 5: Key Milestones
Header Goes Here Key Milestones Crossed INR 10,000 mn of MEPIDL (in JV with Sanjose India) revenue in a single financial forayed into road development with year (FY 12) for the first time Awarded the Mumbai Entry Hybrid Annuity model projects Launched Electronic Toll Points Projects on OMT b
Slide 6: Diversified Project Portfolio and Geographical Presence
Header Goes Diversified Here Project Portfolio and Geographical Presence Current Portfolio Across Seven States In India Current Project Mix Long Short Location OMT Term Term HAM BOT Total Toll Toll Maharashtra 2 1 - 4 1 8 Delhi Tamil Nadu - - 1 - - 1 Gujarat - - - 2 - 2 Uttar Pradesh Uttar Pradesh -
Slide 7: Corporate Structure
Header Goes Corporate Here Structure MEP Infrastructure Developers Limited Long Term OMT Projects HAM Projects BOT Projects Other Subsidiaries / Associate Toll Collection Projects MIPL - MEP Infrastructure Arawali Kante MEP HS - MEP Highway Solutions Private Private Limited (99.99%) RTBPL - Rideema
Slide 8: Experienced Promoters and Board of Directors
Header GoesPromoters Experienced Here and Board Of Directors Name & Designation Experience Dattatray P. Mhaiskar Founding Director and Promoter of the Company Chairman, Non Independent Holds a Diploma in Civil Engineering from Sir Cursow Wadia Institute of Electrical Technology, Pune and Non Exe
Slide 9: Key Management
Header Goes HereTeam Key Management Name & Designation Experience Uttam Pawar Bachelor’s degree in Commerce from Shivaji University, Kolhapur with over 27 years of experience in tolling business Chief Tolling Officer Previously associated with Ideal Road Builders Private Limited Sameer Apte Ba
Slide 10: Key Management
Header Goes HereTeam Key Management Name & Designation Experience • Bachelor’s Degree in Civil Engineering from Osmania University, Hyderabad; Masters in Business Administration (MBA) from IIBM, Delhi with Construction Management & Six Sigma. • Professional Programmes - Airline System in MIT – USA;
Slide 11: Business Overview
Header Goes Here BUSINESS OVERVIEW 11
Slide 12: Understanding The Business Model
Understanding Header The Business Model Goes Here Risks borne by Concessionaire Types Description Revenue Stream Concession Period Award Criteria Development Financing Traffic ~ 1 year Private party collects toll during the (Short-term) Highest revenue Tolling concession period and pays the Toll ~ 1
Slide 13: Short Term (ST) Toll Collection Projects
Short Term Header (ST) Here Goes Toll Collection Projects Short Term Toll projects do not require any initial capex and bear no maintenance responsibility. The concessionaire are not required to provide any upfront payments to the authorities, rather only a performance security (funded / non-funded)
Slide 14: Long Term (LT) Toll Collection Projects
Header Goes Long Term Here (LT) Toll Collection Projects Long Term Toll projects do not require any initial capex and have no maintenance responsibility. The concessionaire is not required to provide Upfront payment to Authority under NHAI, although upfront payments to authorities are required for c
Slide 15: Operate-Maintain-Toll (OMT) Projects
Header Goes Here Operate-Maintain-Toll(OMT) Projects OMT projects do not require any initial capex but have a maintenance responsibility. The concessionaire is not required to provide Upfront payment to Authority(NHAI). Payment to Authority is an operational expense and needs to be paid from toll ca
Slide 16: Hybrid Annuity Model (HAM)
Header Hybrid GoesModel Annuity Here (HAM) HAM projects require initial capex wherein 60% of project cost is financed by the developer and is to be recovered as bi-annual payments from the authorities over 15 years. Out of total project cost, the balance 40% is invested by the government during th
Slide 17: Project Time-lines
Header Project Goes Here Time-lines Hybrid Annuity Model Operate Maintain Toll Construction Period Annuity Period Mahuva Kagavadar Mumbai Entry Points Talaja Mahuva Nagpur Package II Rajiv Gandhi Sea link Nagpur Package I Kante Wakad Hyderabad- Banglore Arawali Kante Short Term Toll Long Term Toll K
Slide 18: Competitive Advantage
Header Goes Here COMPETITIVE ADVANTAGE 18
Slide 19: Leadership Position Among HAM Project Developers
Header Goes Leadership Here Position Among HAM Project Developers NHAI / MoRTH has awarded 56 HAM Projects during last two years. Of the ~ 39 infrastructure players participated, MEP has emerged as one of the leading player in HAM projects MEP- Monteca Sadbhav PNC Dilip GR Infra MBL Apco Ashoka Wels
Slide 20: Leadership Position In Toll Collection and OMT Projects In India
Header Goes Leadership Here Position In Toll collection and OMT projects In India Leading Player In The OMT No. of Projects Awarded Lane (Km) Estimated Project Cost (INR mn) 5 5 2,550 2,400 4150 2,200 3,400 3,000 1,600 2,600 2 2 1,050 1,850 1 MEPIDL PATH DRAIPL SMS PI MEPIDL PATH DRAIPL SMS PI MEPID
Slide 21: Integrated Structure with in-house capabilities
Header Goes Integrated Here with in-house capabilities Structure In-house business development team prepares tendering documents for all the bids. Tendering Company’s ability to tender appropriately depends significantly on the assessment of the future traffic patterns and the amount of toll to
Slide 22: Use Of Advanced Technology For Toll Collection
Header Goes Here Use Of Advanced Technology For Toll Collection Use of Advanced Technology for Toll Collection leads to improved Operational Efficiency And Transparency ETC System: Electronic Toll Collection (ETC) systems are based on prepaid mode of toll collection either through smart cards or R
Slide 23: Strategic Relationships
Header StrategicGoes Here Relationships Collaboration with Sanjose India Marquee Projects by Sanjose LOUVRE ABU DHABI MUSEUM SANJOSE is a diversified global company present in over twenty countries around Europe, America, Asia and Africa. Its main business lines are: Construction, Energy and Envir
Slide 24: Industry Overview
Header Goes Here INDUSTRY OVERVIEW 24
Slide 25: Indian Road Sector On Revival Path
Header Goes Indian Road HereOn Revival Path Sector The total length of the National highways is expected to cross ~200,000 km in next 5 years. a) A total 83,677 km of roads will be built till 2022, which includes about 34,800 km covered Significant Pickup In New Projects under Bharatmala programme b
Slide 26: Outlook On OMT, TOLL, HAM & TOT Models
Header Outlook Goes Here On OMT, TOLL, HAM & TOT Models According to CRISIL estimates, the total stretch under OMT model for NHAI and key states (combined) is expected to double from ~ 5,600 km in 2014 -15 to ~ 11,600 km by 2018-19. OMT The total number of OMT projects is expected to increase fr
Slide 27: Infrastructure Trust (InvIT)
Header GoesInvestment Infrastructure Here Trust (InvIT) Key Highlights InvIT Framework Sponsor Institutional Investors Not more than 3 The Sponsor is required to hold a minimum of 25% stake in the InvIT. SEBI has proposed to relax the minimum Sponsor Listing is Mandatory Asset Management holding t
Slide 28: Financial Overview
Header Goes Here FINANCIAL OVERVIEW 28
Slide 29: Yearly P&L Statement as per Ind-AS
Header Goes Yearly P&L Here as per Ind-AS Statement In INR Mn Particulars FY17 FY16 YoY% Total Revenues from Operations 17,291 19,052 -9.2% Other Income 864 757 14.1% Operating and Maintaining Expenses 3,280 2,600 26.2% Employee Expenses 734 744 -1.3% Other Expenses 389 400 -2.8% Depreciation & Amor
Slide 30: Consolidated Balance Sheet as per Ind-AS
Header GoesBalance Consolidated Here Sheet as per Ind-AS In INR Mn Particulars in INR Mn FY17 FY16 Particulars in INR Mn FY17 FY16 Equities & Liabilities Assets Shareholder's Funds Non-Current Assets Share Capital 1,626 1,626 Fixed Assets 508 609 Other Equity -1,705 -2,750 Capital Work-in-Progress 2
Slide 31: FY17 Financial Highlights as per Ind-AS
Header Goes Highlights FY17 Financial Here as per Ind-AS REVENUE FROM OPERATIONS (INR Mn) EBIT (INR Mn) & EBIT MARGIN 7,000 31.2% 35.0% 29.3% 21,000 6,000 19,000 5,000 25.0% 4,000 17,000 3,000 15.0% 15,000 19,052 17,291 2,000 5,943 5,072 13,000 1,000 5.0% FY16 FY17 FY16 FY17 PAT (INR Mn) & PAT MARGI
Slide 32: Capital Market Information
Header Capital GoesInformation Market Here Share Price Performance Market Data As on 30.11.2017 350% MEP SENSEX 300% Share price 99.3 250% Market Capitalization (INR Mn) 16,151 200% 150% No. of shares outstanding (Mn) 162.6 100% 50% Face Value (INR) 10.0 0% 52 week High-Low (INR) 148.0 – 34.2 -50% 1
Slide 33: Disclaimer
Header DisclaimerGoes Here MEP infrastructure Developers Ltd. Disclaimer: No representation or warranty, express or implied, is made as to, and no reliance should be placed on, the fairness, accuracy, completeness or correctness of the information or opinions contained in this presentation. Such inf