Operating Toll Road Platform of L&T IDPL. October 2017

Transcription

1 Operating Toll Road Platform of L&T IDPL October 17

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3 1. L&T Infrastructure Development Projects Limited (L&T IDPL) - Overview

4 L&T IDPL - Proven Track Record of Infrastructure Development in India Subsidiary of Larsen & Toubro Limited ("L&T"), one of the largest listed engineering, infrastructure and construction company in India, and investee company of Canada Pension Plan Investment Board ("CPPIB") Pioneer of the Public-Private-Partnership (PPP) model of infrastructure development in India Completed landmark infrastructure projects across Roads, Ports, Power Transmission, Airports, Water Supply, Hydel Energy and Urban Infra Track record of developing and operating large toll road (BOT/DBFOT (1) ) projects developed 21 projects over last years (2) Track record of unlocking value exited 17 large projects with high capital returns across Roads, Ports, Airports and Water Supply Extensive experience of working with governments, multi-lateral agencies, domestic and international financial institutions and corporate entities ROADS PORTS POWER TRANSMISSION METRO RAIL (3) 2 Total Length: 7,182 lane km (5) and project cost of INR bn (4) Number of Projects: 15, out of which 14 operational Toll Plazas: 35 operational; 3 under development Exited 3 projects and successfully completed 2 concessions Holds minority stake in Berth No.4A, Haldia Port, West Bengal (project cost of INR 1.25 bn) Exited Kakinada Seaports in 06 (project cost of INR 1.21 bn) Exited Dhamra Port in 14 (project cost of INR bn) 100% owner of Kudgi Transmission 3 lines with total length of 490 kms (981 ckm) and project cost of INR bn 35 year concession period Hyderabad Metro is amongst the world's largest PPP project in the Metro space (under DBFOT (1) basis) Total network length of 72 km (project cost of INR bn (4) ) Source: Company Filings and Website ( Notes: (1) BOT is Build Operate Transfer and DBFOT is Design-Build-Finance-Operate-and-Transfer (2) Under construction projects are excluded. 1 project near completion. (3) Metro project has been divested to L&T (4) Project cost as per Financial Closure (FC). (5) One Lane km is a one kilometre long, single lane road which is generally 3.5 meters wide. Lane-kms is calculated as the length of the road in kilometers as specified under the concession agreement, multiplied by the number of lanes in that specified toll road.

5 Strong Parentage and Governance Framework Strong parentage of L&T and investee company of CPPIB with globally recognized governance framework. Bellwether of infrastructure in India Presence across 30 countries with over 50,000 employees End-to-end presence across infrastructure domain with strong demonstrated capabilities in construction, operations and management Market Cap of INR 1.59 tn (1) and Revenue of INR 1.1 tn Strong Credit Rating: CRISIL: AAA/Stable; ICRA: AAA/Stable Professionally managed and has won several awards for good corporate governance One of the largest Pension funds in the world Long track record of investing in large infrastructure platforms globally Investor with a long investment horizon Assets Under Management : INR 21.2 tn (USD bn) (as of June 30, 17) (2) Invested INR bn in L&T IDPL over December 14 and December 15 Globally recognized governance system 45 road infrastructure projects executed in the last 10 years 3 Source : Company Website (L&T : CPPIB : ), Filings, Market data from Bombay Stock Exchange Website Note: Exchange Rate USD/INR : 65.0 (1) As of 10 October 17. (2) As per company website.

6 One of India s Largest Road Developers with Diversified Portfolio Mix Rajasthan Industries: Textiles, Minerals FY12 15 GSDP CAGR: 11.9% 4 6 Select Assets Other Assets Haryana Industries: Manufacturing, Business Process Outsourcing, Retail FY12 17 GSDP CAGR: 13.0% Gujarat Industries: Textiles, Chemical, Electrical Engineering FY12 16 GSDP CAGR: 12.7% Odisha Industries: Minerals, Industrials FY12 17 GSDP CAGR: 10.7% Presence Across High Growth Traffic Corridors 10 4 States with High Growth Potential Telangana / Andhra Pradesh Industries: Automobiles, Textiles, IT FY12 17 GSDP CAGR: 13.0% Karnataka Industry: IT, Minerals FY12 16 GSDP CAGR: 14.2% Tamil Nadu Industries: Textiles, Automobiles FY12 17 GSDP CAGR: 12.2% Source: Company filings. Gross State Domestic Product ( GSDP ) data from Reserve Bank of India. Note CAGR : Cumulative Average Growth Rate, calculated between two reference years X and Y as [(f(y)/f(x))^(1/(y-x)) -1], where f(x) is value of relevant parameter in reference year X. 4

7 2. Assets Overview

8 1 Sizeable Portfolio of Diversified Road Assets Sizeable Portfolio (1) with 2,748 Lane-Kms (613 Route Kms) and 17.6 Year Residual Life (2) Diversified Traffic Profile Passenger vs Commercial Traffic (based on 17 PCU (3) ) (5) (%) 49% 68% 36% 85% 71% 64% BPPTL New Delhi 64% 51% 32% 29% 36% 15% KWTL KTTL DHTL BPP WATL Portfolio Total InvIT (1) Assets Total (4) (4) Passenger Commercial Kolkata Presence in High Growth Strategic Traffic Corridors Key Corridors Description Assets Mumbai DHTL WATL Chennai KWTL KTTL North-South and East- West Corridors Project Corridors Golden Quadrilateral Golden Quadrilateral Delhi Mumbai Industrial Corridor North South Corridor Highway network connecting four major cities of Mumbai, New Delhi, Kolkata and Chennai Planned industrial development project between Delhi and Mumbai Connects the northern and southern states of India KWTL BPPTL KTTL WATL 5 Source: Company Filings and Website ( Consultant reports. (1) Portfolio represents select road assets namely Krishnagiri Walajahpet Tollway Limited ( KWTL ), Krishnagiri Thopur Toll Road Limited ( KTTL ), Devihalli Hassan Tollway Limited ( DHTL ), L&T BPP Tollway Limited ( BPPTL ), Western Andhra Tollways Limited ( WATL ) (2) Weighted average (by route km) residual life as of September 17. (3) PCU = Passenger Car Unit. (4) Passenger includes Car/Van/Jeep and Bus. Commercial includes LCV, Trucks (2 and 3 axle) and Mutli Axle vehicles.(5) Average of PCUs across Toll Plazas

9 2 Stable Assets with Long Residual Life and Limited Construction Risk Projects With Long Residual Life (1) Strong Gross Toll Revenue Growth And High EBITDA (4) Margin KWTL KTTL DHTL BPPTL WATL Life Expired Residual Life Toll Collection History (years) (1) Total Concession Period % 10.6% 29.9% 7.9% 12.4% (9) (6) (3) KWTL KTTL DHTL BPPTL WATL (7) (7)(8) Gross Toll Revenue CAGR from 1st full year of Toll Gross Toll Revenue Collections % 76% 72% 88% 84% (5) KWTL KTTL DHTL BPPTL WATL (5) performance long-term Strong Limited Operational projects with established track record Strong, stable base traffic levels leading to steady and sustainable cash flows WPI linked annual tariff revision KTTL & WATL: 100% of WPI movement Others: 3% + 40% of WPI movement operational expertise construction risk L3Y Avg. EBITDA Margin (%) EBITDA Source: Company Filings and Website ( NHAI. Note: FY16 and financials as IND-AS. Financials for FY15 and before as per INDIAN-GAAP (1) Residual Concession Life as per Concession Agreement and Toll Collection History calculated as of end of September 17; (2) Toll Revenue CAGRs for periods: KWTL - FY13-17; DHTL-FY15-17; BPPTL-FY16-17; WATL-FY10-17; KTTL ; (3) Revenue number for BPPTL annualized for FY16 by a factor of (365 / 295) for calculating the growth rate, give the asset commissioned on 11-Jun-15; (4) As per audited financial statements, EBITDA = Gross Revenue from Operations Revenue share to NHAI Operating Expenses before provision for periodic major maintenance and premium payable to NHAI Employee benefit expenses Administration and other expenses. Excludes the claim against the loss of revenue / profit on account of demonetization in ; (5) EBITDA margin for BPP for last 2 years; EBITDA margin for KWTL for FY15 corresponds to part year; (6) Though 1st full year operation is FY10, CAGR is represented from FY11-16 since FY10 revenue number is not comparable with other financial years as the toll road was extended by 16.6km in July 10; (7) Toll Revenue CAGR and gross toll revenue number post adjustment for demonetization impact for 23 days as per traffic consultant report. (8) Gross toll revenue for includes claims on NHAI pertaining to FY16: KWTL INR 0.073bn, KTTL INR 0.067bn, DHTL INR 0.045bn. (9) KWTL CAGR is for years FY Toll collections 6 up to August 14 have been reduced from capital cost.

10 Krishnagiri Walajahpet Tollway Limited Project Highlights Traffic Evolution (since tolling start date) (1)(4) Gross Toll Revenue Evolution (since tolling start date) (1)(6) EBITDA (3) Evolution 75.1% 73.6% 71.9% FY12 FY13 FY14 FY15 FY16 FY18E FY19E FYE FY21E FY26E FY31E FY36E FY41E 2a (AADT '000) Key Growth Drivers Key Traffic Influencers Broad Project Influence Area Key Industries Key Commodities Transported Key Port Connected Major Factories Serviced by the Project Route Descriptions Bangalore-Chennai Industrial Corridor project (BCIC), which will help in spreading the industrial development in the corridor Krishnagiri district is connected by Golden Quadrilateral corridor Tamil Nadu, Karnataka and Kerala Automobiles and heavy industries Leather, textile and engineering Handloom Agricultural and mining Mineral based industries and power Automobiles, petroleum products, vegetables and food grains Chennai Port Hyundai, Nissan, Ford, Daimler Chrysler FY CAGR FY'12-17: 4.6% FY13 FY14 FY15 FY FY15 FY16 FY18E CAGR FY'18E-41E: 7.0% CAGR FY'13-17: 9.6% (5) CAGR FY'18E-41E: 10.6% FY19E FYE FY21E 1.62 (5) FY26E 4.28 Capital Structure 40 FY31E FY36E FY41E Project Cost as per FC As on 30 th September 17 Equity Invested (2) 0.90 Mezzanine Debt + Promoter Loan Outs (2) 0.04 Debt outstanding to banks/fi (2) 7.65 Total 8.59 Source: Company filings. Estimates from Traffic consultant Delhi Integrated Multi Modal Transit System Limited. EBITDA EBITDA Margin (%) Notes: FY16 and financials as per IND-AS. Financial year FY15 and before as per INDIAN-GAAP (1) Extension of 1.8 years in concession period is estimated as per traffic consultant report. Same has not been presented above in the AADT and revenue forecast; (2) As of September 17; (3) As per audited financial statements, EBITDA = Gross Revenue from Operations Revenue share to NHAI Operating Expenses before provision for periodic major maintenance and premium payable to NHAI Employee benefit expenses Administration and other expenses. Excludes the claim against the loss of revenue on account of demonetization in. EBITDA for FY15 corresponds to part year; (4) Annual Average Daily Traffic ( AADT ) across Toll Plazas; (5) CAGR accounts for revenue number post adjustment for demonetization impact for 23 days as per traffic consultant report (INR 0.11 bn). actual number (INR 1.51bn) also includes NHAI claim adjustments of INR 0.07 bn, pertaining to FY16; (6) Toll Revenue for FY12-14 and part year FY15 (INR 0.51 bn) have been reduced from asset cost.

11 FY10 FY11 FY12 FY13 FY14 FY15 FY16 FY18E FY19E FYE FY21E FY24E FY26E FY10 FY11 FY12 FY13 FY14 FY15 FY16 FY18E FY19E FYE FY21E FY24E FY26E 2b Krishnagiri Thopur Toll Road Limited Project Highlights Traffic Evolution (since COD) (1) (AADT '000) 60 CAGR FY'11-17: 6.1% CAGR FY'18E-26E: 8.8% Key Growth Drivers Descriptions Key Traffic Influencers Broad Project Influence Area Link connecting two important cities of Salem and Bengaluru Part of NH-7, which is an important North - South highway Krishnagiri district is connected by Golden Quadrilateral corridor Tamil Nadu, Karnataka and Kerala Gross Toll Revenue Evolution (since COD) (1) 6.0 CAGR FY'11-17: 10.6% (5)(6) CAGR FY'18E-26E: 13.2% (6) Key Industries Key Commodities Transported Key Port Connected Automobiles and heavy industries Leather, textile and engineering Handloom Agricultural and mining Mineral based industries and power Automobiles, petroleum products, vegetables and food grains Cochin, Chennai and Tuticorin EBITDA (4) Evolution 76.0% 74.4% 76.2% FY15 FY16 EBITDA Capital Structure Source: Company filings. Estimates from Traffic consultant Delhi Integrated Multi Modal Transit System Limited. EBITDA Margin (%) Notes: FY16 and financials as per IND-AS. Financial year FY15 and before as per INDIAN-GAAP (1) Concession end date of July 26. Forecast for additional 3 months not shown as it is for partial year; (2) As of September 17; (3) Excludes Deferred NHAI Premium of INR 1.26 bn; (4) As per audited financial statements, EBITDA = Gross Revenue from Operations Revenue share to NHAI Operating Expenses before provision for periodic major maintenance and premium payable to NHAI Employee benefit expenses Administration and other expenses. Excludes the claim against the loss of revenue on account of demonetization in ; (5) Though 1st full year operation is FY10, CAGR is represented from FY11-17 since FY10 revenue number is not comparable with other financial years as the toll road was extended by 16.6km in July 10; (6) number post adjustment for demonetization impact for 23 days as per traffic consultant report (INR 0.11bn). actual number (INR 1.57bn) also includes NHAI claim of INR 0.07 bn, pertaining to FY 16. Project Cost as per FC 5.25 As on 30 th September 17 Equity Invested (2) 0.79 Mezzanine Debt + Promoter Loan Outs (2) - Debt outstanding to banks/fi (2) 3.24 (3) Total 4.03

12 Devihalli Hassan Tollway Limited Project Highlights Traffic Evolution (since COD) (1) (5) (AADT '000) CAGR FY'15-17: 9.9% (3) CAGR FY'18E-40E: 5.5% FY14 FY15 FY16 FY18E FY14 FY19E FY15 FY16 FY18E FY19E FYE FYE FY21E FY24E FY27E FY32E FY37E FY40E 2c Key Growth Drivers Descriptions FY21E FY24E FY27E FY32E FY37E FY40E Key Traffic Influencers Broad Project Influence Area Project is part of NH-75, which is on the Bengaluru-Mangalore Highway Connects many pilgrim sites in Karnataka, significant share of traffic is related to religious tourism No viable alternative routes Karnataka, Tamil Nadu Gross Toll Revenue Evolution (since COD) (1) 4 CAGR FY'15-17: 29.9% (3)(6) CAGR FY'18E-40E: 9.9% (6) Key Industries Key Commodities Transported Key Port Connected Petroleum Construction material Agriculture Petroleum and agricultural products, building material Mangalore EBITDA (4) Evolution 71.8% 72.2% 72.6% FY15 FY16 EBITDA Capital Structure Project Cost as per FC 4.94 As on 30 th September 17 Equity Invested (2) 0.90 Mezzanine Debt + Promoter Loan Outs (2) 0.13 Debt outstanding to banks/fi (2) 2.67 Total 3.70 EBITDA Margin (%) Source: Company filings. Estimates from Traffic consultant Steer Davies Gleave s. Notes: FY16 and financials as IND-AS. Financial year FY15 and before as per INDIAN-GAAP (1) Concession end date of December 40. Forecast for additional 8 months not shown as it is for partial year; (2) As of September 17; (3) Does not account for multiple phased CODs; (4) As per audited financial statements, EBITDA = Gross Revenue from Operations Revenue share to NHAI Operating Expenses before provision for periodic major maintenance and premium payable to NHAI Employee benefit expenses Administration and other expenses. Excludes the claim against the loss of revenue / profit on account of demonetization in ; (5) Average of AADT across Toll Plazas; (6) number post adjustment for demonetization impact for 23 days as per traffic consultant report (INR 0.03bn). actual number (INR 0.47bn) also includes NHAI claim adjustments of INR bn.

13 FY16 FY18E FY19E FYE FY21E FY24E FY27E FY32E FY34E FY16 FY18E FY19E FYE FY21E FY24E FY27E FY32E FY34E 2d L&T BPP Tollway Limited Project Highlights Traffic Evolution (since COD) (1)(6) (AADT '000) FY'16-17: 6.0% CAGR FY'18E-34E: 7.7% Key Growth Drivers Key Traffic Influencers Broad Project Influence Area Key Industries Key Commodities Transported Key Port Connected Descriptions Serves primarily long distance traffic plying between North India and Gujarat Ports, and also traffic plying between Rajasthan districts to Gujarat ports Influence of Delhi Mumbai Industrial Corridor (DMIC) zone Dedicated Freight Corridor Increase in traffic at Mundra and Kandla ports may lead to improvement in traffic at the project Rajasthan, Gujarat, Maharashtra, UP, Delhi and Haryana Heavy industries, Textiles, Rugs and woolen goods, Vegetable oil and dyes, Leather Consumer items, vegetable and fruits, industrial products & equipment, food grains and cash crops, petroleum products, chemicals and gas, building materials and cement Mundra, Kandla Gross Toll Revenue Evolution (since COD) (1) FY'16-17: 7.9% (4)(7) 2.42 EBITDA (5) Evolution 89.3% 87.4% 2.16 FY (7) EBITDA CAGR FY'18E-34E: 11.3% Capital Structure Project Cost as per FC As on 30 th September 17 Equity Invested (2) 2.47 Mezzanine Debt + Promoter Loan Outs (2) 3.70 Debt outstanding to banks/fi (2) (3) Total EBITDA Margin (%) Source: Company filings. Estimates from Traffic consultant Ramboll India Private Ltd. Notes: FY16 and financials as IND-AS. Financial year FY15 and before as per INDIAN-GAAP (1) Concession end date of December 34. Forecast for additional 9 months not shown as it is for partial year; (2) As of September 17; (3) Excludes Deferred NHAI Premium of INR 4.14 bn (4) Toll revenue number for BPPTL annualized for FY16 by a factor of (365 / 295) for calculating the growth rate; (5) As per audited financial statements, EBITDA = Gross Revenue from Operations Revenue share to NHAI Operating Expenses before provision for periodic major maintenance and premium payable to NHAI Employee benefit expenses Administration and other expenses. Excludes the claim against loss of revenue on account of demonetization in ; (6) Average of AADT across Toll Plazas; (7) number post adjustment for demonetization impact for 23 days as per traffic consultant report (INR 0.21bn).

14 FY10 FY11 FY12 FY13 FY14 FY15 FY16 FY18E FY19E FYE FY21E FY24E FY26E 2e Western Andhra Tollways Limited Project Highlights Traffic Evolution (since COD) (1)(4) (AADT '000) CAGR FY'10-17: 8.8% CAGR FY'18E-26E: 7.9% Key Growth Drivers Key Traffic Influencers Broad Project Influence Area Descriptions Project road is a segment of NH-7, which is the National Highway connecting Northern and Southern states of India Serves primarily long distance traffic plying between Hyderabad and Bengaluru Low threat from alternate routes Telangana, Andhra Pradesh, Karnataka, Tamil Nadu and Maharashtra FY10 FY11 FY12 FY13 FY14 FY15 FY16 FY18E FY19E FYE FY21E FY24E Gross Toll Revenue Evolution (since COD) (1) CAGR FY'10-17: 12.4% (5) CAGR FY'18E-26E: 12.5% (5) FY26E 1.95 Key Industries Key Commodities Transported Key Port Connected - Information Technology (IT) and pharmaceuticals manufacturing, mineral based industries and steel (upcoming) Vegetable and fruits, consumer items, food grains and cash crops, parcels and miscellaneous items including medicines, livestock, fertilizers etc EBITDA (3) Evolution 83.9% 83.6% 84.7% Capital Structure Source: Company filings. Estimates from Traffic consultant Ramboll India Private Ltd. Notes: FY16 and financials as IND-AS. Financial year FY15 and before as per INDIAN-GAAP (1) Concession end date of August 26. Forecast for additional 5 months not shown as it is for partial year; (2) As of September 17; (3) As per audited financial statements, EBITDA = Gross Revenue from Operations Revenue share to NHAI Operating Expenses before provision for periodic major maintenance and premium payable to NHAI Employee benefit expenses Administration and other expenses. Excludes the claim against the loss of revenue on account of 11 demonetization in ; (4) Average of AADT across Toll Plazas; (5) number post adjustment for demonetization impact for 23 days as per traffic consultant report (INR 0.05bn) FY15 FY16 EBITDA EBITDA Margin (%) Project Cost as per FC 3.73 As on 30 th September 17 Equity Invested (2) 0.57 Mezzanine Debt + Promoter Loan Outs (2) - Debt outstanding to banks/fi (2) 2.19 Total 2.76

15 3 Roads Assets Portfolio of L&T IDPL Name of Asset Route (Km) Lane Length (km) COD Concession Period (years) Residual Life (years) (3) Project Cost Gross Toll Revenue (5) Krishnagiri Walajahpet Tollway Ltd (KWTL) Feb-16 (6) Krishnagiri Thopur Toll Road Ltd ( KTTL ) Feb Devihalli Hassan Tollway Ltd ( DHTL ) Nov L&T BPP Tollway Limited ( BPTL ) Jun Western Andhra Tollways Ltd ( WATL ) Mar Sub Total 613 2, L&T Sambalpur Rourkela Tollway Ltd ("SRTL") FY18 (1) 22.0 NM (4) NA L&T Samakhiali Gandhidham Tollway Ltd ("SGTL") Mar-15 (7) L&T Transportation Infrastructure Ltd ( TIL ) Dec-98 / Jan and 21 (2) 12.2/1.2 (2) L&T Deccan Tollways Ltd ("DTL") Oct (4) NA Vadodara-Bharuch Tollway Ltd ("VBTL") Jun L&T Interstate Road Corridor Ltd ("IRCL") Mar L&T Panipat Elevated Corridor Ltd ("PECL") Jul L&T Ahmedabad Maliya Tollway Ltd ("AVM") Apr L&T Rajkot-Vadinar Tollway Ltd ("RJV") Feb L&T Halol Shamlaji Tollway Limited ("HSTL") (8) Apr Total 1,661 7, Source: Company filings and website, NHAI. Notes: (1) Expected date of COD. (2) The bypass & the bridge commenced their commercial operations in December 1998 & January 00 respectively with the concession period being 32 years for the bypass and 21 years for the Athupalam Bridge. (3) As of September 17 (4) Residual operating life for SRTL cannot be determined in absence of final commissioning date. For DTL, residual life has been calculated based on COD of 11 th Oct 17. (5) Does not include the impact of demonetization. Includes impact of NHAI claims (KWTL INR 0.073bn, pertaining to FY16, KTTL INR 0.067bn, pertaining to FY16, DHTL INR 0.045bn). (6) Started toll collection in June 11, capitalized on books in August 14. (7) Provisional completion certificate yet to be received from authority. (8) 49% stake held by L&T IDPL.

16 4 L&T IDPL : Board of Directors Experienced Board of Directors R. Shankar Raman (Chairman and Non-Executive Director) Group CFO and Member of the Board of L&T Member, Western India Regional Council of Confederation of Indian Industries Sushobhan Sarker (Director) On the Board of Directors of General Insurance Corporation of India, IL&FS and L&T Sudhakar Rao (Independent Director) Shubhalakshmi Aamod Panse (Independent Director) Former Chief Secretary of Karnataka and a retired Officer of the Indian Administrative Services (I.A.S) Conferred the Kannada Rajyotsava Award by Govt. of Karnataka Served as the Chairperson and Managing Director at Allahabad Bank and Executive Director of Vijaya Bank Limited Vikram Swinder Gandhi (Investor Director representing CPPIB) Founder and CEO of VSG Capital Advisors K. Venkatesh (Chief Executive and Managing Director) Has headed L&T IDPL for 15 years Board of several companies within L&T group Senior Advisor to Greenhill & Co Source : Company fillings and website. 13

17 5 Strong Management Team with Proven Capabilities Operational Excellence Highly experienced and well respected technical, operational and management teams Best in class pan-india dedicated Operation and Maintenance setup Sophisticated world class systems for traffic management and monitoring Team of 637 people (1) With Strong Management Team K. Venkatesh (Chief Executive and Managing Director) 37 years of experience in the fields of corporate finance and accounts, project bidding, structuring, financial closure etc. Also on the Board of several companies within L&T group Has headed L&T IDPL for c.15 years Shailesh Pathak (Chief Executive Designate) 31+ years of experience including 15 years in private sector Has experience in private equity investing, investment banking, infrastructure project finance and 16 years as an IAS officer Government roles included Secretary, Public Works Department and MD of the State Infrastructure Development Corporation MBA from IIM Calcutta and his B Com (Hons) from SRCC Delhi, LLB and a Diploma in Ornithology, Leadership Program from Oxford T.S. Venkatesan (Chief Executive- Roads, Bridges and Railways) 36+ years experience in mergers and acquisitions, finance, accounts and management information systems functions Bachelor s degree in Commerce, and member of the institute of cost accountants of India J. Subramanian 34+ years of experience in across roles and divisions Previously worked as GM, Infrastructure Development Group, Airport Authority of India (Ministry of Civil Aviation) Bachelor s degree in Commerce, and member of the institute of cost accountants of India Matthew George 22+ years of experience in various fields of finance Previously worked with IDBI Bank, IndusInd Bank, UTI Bank, Catholic Syrian Bank PGDGM Finance, XLRI, Jamshedpur, India, Bachelors in Engineering, B.E. E&C Accelerated Program on Infrastructure Development and Finance, Indian Institute of Management, Ahmedabad Gaurav Chaturvedi 9+ years of experience in various Infrastructure sectors Experience in project finance, financial modelling, financial due diligence, valuation & project bidding Chartered Accountant from Institute of Chartered Accountants of India Karthikeyan T.V. (Chief Financial Officer) 32+ years of experience in the fields of Corporate Finance, Accounting, Project Finance, Management Information Systems, Internal Audit and Corporate Secretarial Bachelors in Commerce focused in Accounting and Finance from RKM Vivekananda college Mylapore; Chartered Accountant and Company Secretary Source : Company fillings and website. Notes: (1) Employee count considering L&T IDPL and all the SPV. 14

18 Appendix

19 Diversified Portfolio (1) with Robust Fundamentals and Strong Traffic Drivers KWTL KTTL DHTL BPPTL WATL State Tamil Nadu Tamil Nadu Karnataka Rajasthan Telangana Project Cost (INR mn) (as per FC) 15,470 5,250 4,940 24,7 3,730 Equity Invested (INR mn) (2) , Outstanding Debt (INR mn) (2) 7,648 3,239 (3) 2,669 18,075 (3) 2,186 Outs. Mez/Promoter Debt (INR mn) (2) ,708 - Gross Toll Collections (INR mn) (8) 1,508 1, , Gross Toll Revenue CAGR Since 1 st full year of Toll Collection up to (4)(8) 9.6% (FY13-17) 10.6%(7) (FY11-17) 29.9% (5) (FY15-17) 7.9% (6) (FY16-17) 12.4% (FY10-17) Key Cities Connected Project Influence Area Bengaluru Chennai Tamil Nadu, Karnataka and Kerala Bengaluru Salem Vellore Tamil Nadu, Karnataka and Kerala Bengaluru Mangalore Karnataka Ajmer Jaipur Udaipur Rajasthan, Gujarat, Maharashtra, UP, Delhi and Haryana Bengaluru Hyderabad Telangana, Andhra Pradesh, Karnataka, Tamil Nadu and Maharashtra Key Ports Connected Chennai Chennai, Kochi, Tuticorin Mangalore Mundra, Kandla - Automobiles and heavy industries Agricultural and mining Handloom Petroleum Construction material Heavy industries Textiles Pharma IT Leather, textile and Commercial Hubs Leather, textile and Agricultural Rugs and woolen goods Chemicals engineering engineering Vegetable oil and dyes Mineral based industries Handloom Automobiles and heavy Leather Steel (upcoming) Agricultural and mining industries Key Traffic Influencers 15 Bangalore-Chennai Industrial Corridor project (BCIC) Krishnagiri district is connected by Golden Quadrilateral corridor Major link connecting two important cities of Salem and Bengaluru Part of NH-7, which is an important North - South highway Krishnagiri district is connected by Golden Quadrilateral corridor Project is part of NH-75, which is on the Bengaluru- Mangalore Highway Connects many pilgrim sites in Karnataka, significant share of traffic is related to religious tourism No viable alternative routes Influence of Delhi Mumbai Industrial Corridor (DMIC) zone Impact of Dedicated Freight Corridor not expected to be material Increase in traffic at Mundra and Kandla ports may lead to improvement in traffic at the project Serves primarily long distance traffic plying between Hyderabad and Bengaluru Project road is a segment of NH-7, which is the major National Highway connecting Northern and Southern states of India Source: Company filings and company website. Notes: (1) Portfolio represents select road assets KWTL, KTTL, DHTL, BPPTL and WATL. (2) As of September 17. (3) Excludes deferred NHAI Premium. (4) Toll Revenue growth since one full complete financial year of operations post COD. CAGR accounts for revenue number post adjustment for demonetization impact as provided by traffic consultants. (5) Not adjusted for multiple phased CODs. (6) Toll revenue number for BPPTL annualized for FY16 by a factor of (365 / 295) for calculating the growth rate. (7) Though 1 st full year operation is FY10, CAGR is represented from FY11-16 since FY10 revenue number is not comparable with other financial years as the toll road was extended by 16.6km in July 10. (8) revenue includes impact of NHAI claims (KWTL INR 0.073bn, pertaining to FY16, KTTL INR 0.067bn, pertaining to FY16, DHTL INR 0.045bn). Excludes the claim against the loss of revenue / profit on account of demonetization in.

20 Select Assets: Financial Summary Select Assets: Gross Toll Revenue Evolution Select Assets: Last Three Years EBITDA (2) Margin (%) 76.8% 80.7% 80.5% Demonetization Impact (1) (3) FY15 FY16 FY18E FY19E FYE FY21E FY22E KWTL KTTL DHTL BPPTL WATL FY15 FY16 KWTL KTTL DHTL BPPTL WATL Source: Company filings and website, NHAI. Estimates from Traffic consultant reports. Note: FY16 and financials as IND-AS. Financial year FY15 as per INDIAN-GAAP (1) number post adjustment for demonetization impact for 23 days as per traffic consultant report (2) As per audited financial statements, EBITDA = Gross Revenue from Operations Revenue share to NHAI Operating Expenses before provision for periodic major maintenance and premium payable to NHAI Employee benefit expenses Administration and other expenses. Excludes the claim against the loss of revenue on account of demonetization in. (3) revenue includes impact of NHAI claims (KWTL INR 0.073bn, pertaining to FY16, KTTL INR 0.067bn, pertaining to FY16, DHTL INR 0.045bn). Excludes the claim against the loss of revenue / profit on account of demonetization in. 16