Slide 1: Varroc Engineering Limited
Varroc Engineering Limited Regd. & Corp. Office L-4, MIDC, Industrial Area Tel + 91 240 6653700 email: varroc.info@varroc.com Waluj, Aurangabad 431 Fax + 91 240 2564540 www.varroc.com 136, Maharashtra, India CIN: L28920MH1988PLC047335 VARROC/SE/INT/2022-23/80 October 7, 2022 To, The Manager- Listing
Slide 2: Varroc Engineering Ltd, 7th October 2022
Varroc Engineering Ltd 7th October 2022
Slide 3: Disclaimer
Disclaimer This presentation may include statements which may constitute forward-looking statements. All statements that address expectations or projections about the future, including, but not limited to, statements about the strategy for growth, business development, market position, expenditures,
Slide 4: Initial Divestment Proposal - Overview; Divestment Completed with Changes
Initial Divestment Proposal - Overview Divestment Completed- with Changes Varroc Engineering Limited (Varroc) has entered into a definitive agreement with Compagnie Plastic Omnium SE, France (PO) to divest its 4-Wheeler lighting business in the Americas and Europe Enterprise value of EUR 600M for 10
Slide 5: Changes to the Bridge between EV and Equity value
Changes to the Bridge between EV and Equity value In EURO Million (Approx.) Start of Likely Closure of Difference Reasons Divestment Divestment Enterprise Value 600 520 (80) Higher raw material inflation (6% vs. estimates) and lower demand caused by Ukraine war and other geo-political issues resulte
Slide 6: Net Debt before and after the divestment (likely)
Net Debt before and after the divestment (likely) BEFORE Rs. in Billion AFTER (Likely) Net Debt as on 30th June'22 Approx. Net Debt (Excludes Escrow amount) Post the 15.2 closure in Continued Operations 11.8 9.9 ~ 13 5.3 1 Standalone plus Indian Overseas Continued VLS Discontinued Subsidiary Operati
Slide 7: Varroc Continued Operations – Way Forward
Varroc Continued Operations– Way Forward Despite the recovery in 2W & 3W being sluggish, we improved our profitability in Q1. Highest ever Revenue* in Aug’22 (~ 4,800 million INR) & Sep’22 (~ 5,200 million INR) for Indian Operations. Have added 3 new customers in last 6 Months in Electric Vehicle. R
Slide 8: Our Core Values
0 69 120 91 155 213 71 71 71 130 177 211 23 112 155 98 153 62 191 191 191 Our Core Values Confidential