Embassy Developments Limited · NSE:EMBDL
Embassy Developments — Indiabulls Real Estate — Investor Presentation (February 2022)
36 slides from Embassy Developments's investor presentation, Feb 14, 2022
Slide 1: Cover letter: Regulation 30 disclosure to stock exchanges
February 14, 2022 Scrip Code – 532832 IBREALEST/EQ BSE Limited National Stock Exchange of India Limited Phiroze Jeejeebhoy Towers, “Exchange Plaza”, Bandra-Kurla Complex, Dalal Street, Bandra (East), MUMBAI – 400 001 MUMBAI – 400 051 Subject: Disclosure under Regulation 30 of the SEBI (Listing Oblig
Slide 2: Indiabulls Real Estate Limited Discussion Materials
Indiabulls Real Estate Limited Discussion Materials February 2022
Slide 3: Disclaimer
Disclaimer This presentation (“Presentation”) does not constitute a prospectus, offering memorandum or an offer, or a solicitation of any offer, to purchase or sell any securities. This presentation should not be considered as a recommendation that any investor should subscribe for or purchase any s
Slide 4: Notes & Glossary
Notes & Glossary Notes: ► All figures in this presentation are as of December 31, 2021 unless otherwise stated ► Figures has been rounded off to nearest single decimal / integer for ease of presentation ► Area (msf) represents unsold residential saleable area including commercial area sold on strata
Slide 5: Today's Presenters
Today’s Presenters Sachin Shah 20+ Years Experience Former Chief Investment Officer of Embassy REIT President Previously with Samsara Capital, Starwood Capital Group & The Blackstone Group Anil Mittal 15+ Years Experience Chief Financial Officer Former VP Finance of Indiabulls Securities
Slide 6: A New Beginning | Larger, Stronger and Diversified
A New Beginning | Larger, Stronger and Diversified ◼ Promoter with a primary focus on real estate ◼ Listed Platform – enhanced ability to attract foreign/domestic institutional investor base ◼ Footprint into the fastest growing commercial and residential markets of Bengaluru(1) ◼ Focus on key market
Slide 7: Key Updates Since Merger Announcement
Key Updates Since Merger Announcement Merger Status Indiabulls Performance Embassy Performance ✓ Approval of the Scheme by Board of Directors • New Sales(1) of 1.3 msf worth ₹1,058 Cr • New Sales of 0.3 msf worth ₹303 Cr (9MFYY22) (9MFY22) vs 1.7 msf worth ₹1,987 Cr (FY21) vs 0.6 msf worth ₹442 Cr (
Slide 8: Strategy & Way Forward
Strategy & Way Forward • Visibility on near-term liquidity & cash flows • Renewed focus on brand re-positioning & • De-lever the balance sheet, reduce cost of governance debt & maintain a prudent capital structure Capital Re-Energize Management Business • Organic growth from new launches on • Focus
Slide 9: Growth Opportunities
Growth Opportunities 1 2 Supportive Macros & Re-Energize & Improving Fundamentals Re-Capitalize Business ✓ Residential sector at the cusp of a cyclical inflection point ✓ Delivery & Sales of OC / near completed inventory ✓ Consolidation amongst developers ✓ Ramp-up development of ongoing projects &
Slide 10: Overview
Overview Particulars Indiabulls(1) Embassy Geographical Footprint Overview ◼ Listed real estate platform with ◼ Residential & commercial assets Area (msf) an inventory of 17.6 msf in India’s leading commercial Indiabulls(1) Area (msf) market of Bengaluru with an Embassy inventory and leasable area o
Slide 11: Visibility on Near Term Liquidity
Visibility on Near Term Liquidity Sold Receivables Pending Costs Inventory (₹ Cr) (₹ Cr) (msf) 1,755 Indiabulls(1) 4,555 7.8 1,190 2.4 521 OC / Near Completed Ongoing OC / Near Completed Ongoing OC / Near Completed Ongoing Pending costs on OC / near completed projects fully covered through sold rece
Slide 12: Upcoming Launches
Upcoming Launches Land Total Area Nature / Our Area Product / Target Partner / Location Micro-market Branding (Acres) (msf) Share (msf) Category Launch Remarks High-rise, Ultra BLU Estate & Club – Mumbai Worli 2 1.8 JV - 50%(1) 0.9 FY2023 Blackstone, Inc. luxury Phase 2 High-rise, One Indiabulls Tha
Slide 13: Amongst the Largest Developers: Size and Scale to Drive Growth
Amongst the Largest Developers: Size and Scale to Drive Growth 3,600 2,412 Land Reserves 1,396 (Acres) 1,000 747 450 334 239 Macrotech Sobha DLF Godrej Puravankara Sunteck Brigade Prestige 44 41 40 Total Residential 25 23 22 19 18 Stock(2) 11 (msf) 7 (1) Godrej Prestige DLF Sobha Oberoi Macrotech Pu
Slide 14: Near-term Focus
Near-term Focus • Completion & Sales of ~2.4 msf(1) of OC / near completed • Completion & sales of ~3.0 msf of OC / near completed / projects, key projects being Sky Forest(1), Golf City & Mega ongoing projects, key projects being Embassy ONE, Lake Residential Development Mall Terraces, Boulevard &
Slide 15: Board and Leadership Team
Board and Leadership Team 30+ Years Experience K. G. Former Managing Director & CEO of HDFC Property Ventures Limited Krishnamurthy Board Member of Booker India Ltd (A TATA and TESCO Enterprise), JM Financial Credit Solutions Ltd, Ajmera Realty & Infra Independent Director India Ltd, Vascon En
Slide 16: Merger – Steps to Completion
Merger – Steps to Completion SN. Particulars Status 1 Approval of the Scheme and share swap ratio by respective Board of Directors ✓ 2 Filing of the draft Scheme with the Indian Stock Exchanges / SEBI for obtaining their NOC ✓ 3 Notification of the Merger Transaction to the CCI for its approval ✓ 4
Slide 17: Indiabulls Project Visuals
Indiabulls Project Visuals Blu Estate & Club, Worli Indiabulls Greens, Panvel Blu Estate & Club, Worli 16
Slide 18: Indiabulls Project Visuals (Cont'd)
Indiabulls Project Visuals (Cont’d) Enigma, Gurugram Indiabulls Golf City, Savroli Centrum Park, Gurugram Mega Mall, Jodhpur 17
Slide 19: Embassy Project Visuals
Embassy Project Visuals Embassy ONE(1), Bengaluru Embassy Residency, Chennai Embassy Lake Terraces, Bengaluru Note: 18 (1) Embassy ONE complex also comprises hotel asset, owned by Embassy REIT
Slide 20: Embassy Project Visuals (Cont'd)
Embassy Project Visuals (Cont’d) Embassy Springs, Bengaluru Embassy Pristine, Bengaluru Embassy Boulevard, Bengaluru Embassy Grove, Bengaluru 19
Slide 21: Embassy Project Locations
Embassy Project Locations 20
Slide 22: Portfolio Summary
Portfolio Summary Residential Commercial(4) OC / Near Completed msf Ongoing msf Planned msf msf Blu Estate & Club, Mumbai 0.1 Blu Estate & Club, Mumbai(3) 0.9 Indiabulls Golf City, Savroli 3.8 Mega Mall, Jodhpur 0.3 Sky Forest, Mumbai(2) 0.3 Indiabulls Park, Panvel 1.2 Silverlake Villas, Alibaug 0.3
Slide 23: Appendix
Appendix
Slide 24: Industry & Market Overview
Industry & Market Overview
Slide 25: Supportive Macro Factors
Supportive Macro Factors India residential sector at the cusp of a cyclical inflection point; consolidation amongst developers, along with the shift towards developers with strong track record for execution Narrowing gap between home loan rates and rental yields Decline in number of developers (% ch
Slide 26: India Office Market Overview
India Office Market Overview Office supply has averaged ~32 msf over the last 5 years on annual basis; interest from global PE players continues; prevailing cap rates are ranging between 7.5 and 8.5% • India office market witnessed significant growth over past few years, until COVID-19 Office Market
Slide 27: India Residential Market Overview
India Residential Market Overview In CY2021, Indiabulls & Embassy has a presence in the key markets of MMR, NCR & Bengaluru, which contributed 63% of pan-India residential absorption Existing pipeline of 10.6 msf in MMR, a key core market, with high barriers to entry due to limited land Top 7 Indi
Slide 28: Indiabulls Overview
Indiabulls Overview
Slide 29: Projects Overview
Projects Overview Area (msf) Sold Average Pending Particulars (₹ Cr) Category Saleable Sold Unsold Receivables Selling Price Costs OC Received Blu Estate & Club, Worli Residential 1.4 1.4 0.0 (67) 29,853 - Indiabulls Greens, Panvel Residential 3.8 3.8 0.0 3 4,557 - Indiabulls Golf City, Savroli Resi
Slide 30: Projects Overview (Cont'd)
Projects Overview (Cont’d) Area (msf) Sold Average Pending Particulars (₹ Cr) Category Saleable Sold Unsold Receivables Selling Price Costs Ongoing Projects Blu Estate & Club, Worli(1) Residential 0.9 0.0 0.9 - 29,853 907 Indiabulls Park, Panvel Residential 4.8 3.7 1.2 1,167 4,053 1,201 One Indiabul
Slide 31: Significant Land Reserves
Significant Land Reserves Considerations Strategic land bank which can fuel the next phase of growth • Land reserves near major metropolitans, among the largest among all listed players Location Sonepat Gurgaon-Sec 103 Gurgaon-Sec 99 North Sohna • This allows us to develop projects to take advantage
Slide 32: ESG Initiatives
ESG Initiatives • Free primary healthcare services • Conducted educational camps • The company has implemented provided at doorstep to the and awarded scholarships to rain water harvesting across its underprivileged population of eligible students developments urban slums with the assistance of mobi
Slide 33: Embassy Group Overview
Embassy Group Overview
Slide 34: Embassy Group | Known for Execution Skills and Deep Relationships
Embassy Group | Known for Execution Skills and Deep Relationships ✓ Track record of executing +64 msf with over 30+ years sole focus on real estate development ✓ Developed commercial IT office park concept in India, having built Embassy Manyata & Embassy TechVillage; 100+ acre IT parks in India Jite
Slide 35: Projects Overview
Projects Overview Asset Land Gross Area Embassy Share Sold Average Pending Launched Residential Projects Location Area Saleable Sold Unsold Nature Unsold Receivables Sales Price Costs (City) (Acres) (msf) (msf) (msf) (msf) (₹ Cr) (₹ psf) (₹ Cr) OC/ Near Completed Projects Embassy Pristine, Bellandur
Slide 36: Projects Overview (Cont'd)
Projects Overview (Cont’d) Asset Land Gross Embassy Share Planned Residential Projects Location Area Saleable Nature Saleable (City) (Acres) (msf) (msf) Embassy Bayview, Juhu Mumbai 3 0.5 JDA - 65% 0.3 Serene Amara at Embassy Springs, Airport Road Bengaluru 2 0.3 JV - 50% 0.1 Senior Living at Embass
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