THIS DOCUMENT IS IMPORTANT AND REQUIRES YOUR IMMEDIATE ATTENTION

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1 THIS DOCUMENT IS IMPORTANT AND REQUIRES YOUR IMMEDIATE ATTENTION DRAFT LETTER OF OFFER This Letter of Offer ( LoF ) is sent to you as a shareholder(s) of MPF SYSTEMS LIMITED ( Target Company ). If you require any clarifications about the action to be taken, you may consult your stockbroker or investment consultant or Manager to the Offer or Registrar to the Offer. In case you have recently sold your Equity Shares in the Target Company, please hand over this Letter of Offer and the accompanying Form of Acceptance-cum-Acknowledgement and Transfer Deed(s) to the member of stock exchange through whom the said sale was effected. OPEN OFFER by ROYAL NIRMAN PRIVATE LIMITED ( RNPL ) Reg. Off.: 1st Floor, Block - D, Mercantile Buildings, 9/12, Lal Bazaar Street, Kolkata ; Tel.: ; Fax: to acquire up to 8,84,700 fully paid-up equity shares of face value of ` 10/- each, constituting 26% of the voting share capital, of MPF SYSTEMS LIMITED ( MPFSL or The Target Company ) [formerly known as Mather and Platt Fire Systems Limited] Regd. Off.: Greaves Compound, Chinchwad Works, Bombay-Pune Road, Chinchwad (East), Pune , Maharashtra. Tel.: ; Fax: ; comp.secr@matherplatt.com at a price of ` 2/- (Rupees Two only) per fully paid-up share of face value of ` 10/- each, payable in cash, pursuant to the Securities and Exchange Board of India (Substantial Acquisition of Shares and Takeovers) Regulations, 2011 and subsequent amendments thereof [ SEBI (SAST) Regulations, 2011 ] This Open Offer is being made by the Acquirer pursuant to Regulation 3(1) & 4 of the SEBI (SAST) Regulations, 2011 for substantial acquisition of shares and voting rights accompanied with change in control and management of the Target Company. This Open Offer is not conditional upon any minimum level of acceptance in terms of Regulation 19(1) of the SEBI (SAST) Regulations, This Open Offer is not a competing offer in terms of Regulation 20 of the SEBI (SAST) Regulations, The acquisition of Equity Shares held by Non-Resident Indians under this Offer is subject to receipt of the approval from the Reserve Bank of India ( RBI ) pursuant to the provisions of the Foreign Exchange Management (Transfer or Issue of Security by a Person Resident Outside India) Regulations, 2000, as amended and the Consolidated FDI Policy dated April 17, 2014, for acquiring Equity Shares, if any, from Non-Resident Indian equity shareholders of the Target Company pursuant to this Offer. As on the date of this Letter of Offer, to the best of knowledge and belief of the Acquirer, there are no statutory approvals required to acquire the Equity Shares by the Acquirer tendered pursuant to this Open Offer. However, in case of any other statutory approvals being required and/or become applicable at a later date before the Closing of Tendering Period, this Open Offer would be subject to the receipt of such approvals. If there is any upward revision in the Offer Price/Offer Size at any time up to three (3) working days prior to commencement of Tendering Period i.e. upto August 21, 2014 in terms of regulation 18(4) the SEBI (SAST) Regulations, 2011, the same would be informed by way of an announcement in the same newspapers where the Detailed Public Statement had appeared. Such revised Offer Price would be payable to all the Equity SHARES validly tendered during the Tendering Period and have been verified and accepted under the Open Offer, by the Acquirer. If the Open Offer is withdrawn pursuant to Regulation 23 of the SEBI (SAST) Regulations, 2011, the same would be communicated within two (2) working days by an announcement in the same newspapers in which the DPS had appeared. There has been no competing offer as on date of this Draft Letter of Offer. If there is competing offer: The public offers under all the subsisting bids shall open and close on the same date. A copy of the Public Announcement, Detailed Public Statement and this Letter of Offer (including Form of Acceptance cum Acknowledgment) will be available on the website of Securities and Exchange Board of India ( SEBI ) at MANAGER TO THE OFFER REGISTRAR TO THE OFFER ASHIKA CAPITAL LIMITED 1008, 10 th Floor, Raheja Centre, 214, Nariman Point, Mumbai Tel: ; Fax: mbd@ashikagroup.com Contact Person: Mr. Niraj Kothari / Mr. Narendra Kumar Gamini SHAREPRO SERVICES (INDIA) PRIVATE LIMITED 13AB, Samhita Warehousing Complex, 2nd Floor, Near Sakinaka Telephone Exchange, Off. Andheri Kurla Road, Sakinaka, Andheri (East), Mumbai Tel.: / 5402; Fax: ; offer@shareproservices.com Contact Person: Mr. Anand Moolya.

2 SCHEDULE OF ACTIVITIES OF THE OFFER IS GIVEN BELOW: Activities Date Day Public Announcement July 01, 2014 Tuesday Publication of Detailed Public Statement July 08, 2014 Tuesday Filing of Draft Letter of Offer with SEBI along with soft copies of Public Announcement and Detailed Public Statement July 15, 2014 Tuesday Last date for a Competing Offer July 30, 2014 Wednesday Receipt of comments from SEBI on Draft Letter of Offer August 06, 2014 Wednesday Identified Date* August 08, 2014 Friday Date by which the Letter of Offer will be dispatched to the shareholders August 19, 2014 Tuesday Last date for upward revision of Offer Price and/or Offer Size August 21, 2014 Thursday Last date by which Committee of Independent Directors of the Board of the Target Company shall give its recommendation August 22, 2014 Friday Offer Opening Public Announcement August 25, 2014 Monday Date of commencement of Tendering Period August 26, 2014 Tuesday Date of closing of Tendering Period September 09, 2014 Tuesday Last date of communicating of rejection / acceptance and payment of consideration for accepted shares/return of unaccepted shares September 23, 2014 Tuesday *Identified Date is only for the purpose of determining the names of the shareholders as on such date to whom the Letter of Offer would be sent. It is clarified that all the shareholders of the Target Company (registered or unregistered) (except the Parties to the SPA), at any time prior to the Closure of the Tendering Period, are eligible to participate in this Open Offer. RISK FACTORS: Given below are the risks related to the transaction, the Open Offer and the probable risk involved in associating with the Acquirer: Relating to Transaction: 1. The Transaction is subject to the terms of the SPA entered into between the Acquirer and the Seller. In accordance with the SPA, the Transaction shall be completed upon the fulfilment of certain conditions precedents agreed between the Acquirer and the Seller. 2. The Share Purchase Agreement is subject to the compliances of provisions of SEBI (SAST) Regulations, In accordance with Regulation 22(2) of the SEBI (SAST) Regulations, 2011 and the terms of the SPA, the acquisition of the Sale Shares shall be completed upon the fulfilment of conditions agreed between the Acquirer and the Seller. In terms of and in accordance with regulation 23(1) of the SEBI (SAST) Regulations, 2011, if the conditions of SPA are not complied with, for the reasons beyond the reasonable control of the Acquirer, the Open Offer would stand withdrawn. 4. Pursuant to the SPA, on acquisition of the Sale Shares, (i) the Acquirer shall acquire control of the Target Company; (ii) the directors will resign from the Board; and (iii) the Acquirer will appoint its nominee directors on the Board, which will result in a change in ownership, control and management of the Target Company, which may have a significant effect on the business, financial condition and the results of operations of the Target Company. Relating to the Open Offer: 1. In the event that either: (a) regulatory or statutory approvals are not received in time; (b) there is any order of a governmental authority or litigation leading to a stay/injunction on the Open Offer or that restricts/restrains the Acquirer from performing its obligations hereunder; or (c) SEBI instructing the Acquirer not to proceed with the Open Offer, then the Open Offer process may be delayed beyond the schedule of activities indicated in this Letter of Offer. In case the delay is due to non-receipt of

3 statutory approval(s), then in accordance with regulation 18(11) of the SEBI (SAST) Regulations, 2011, SEBI may, if satisfied that non-receipt of approvals was not due to any wilful default or negligence on the part of the Acquirer, grant an extension for the purpose of completion of the Open Offer subject to the Acquirer agreeing to pay interest to the validly tendering shareholders at such rate as may be specified by SEBI. Provided where the statutory approvals extend to some but not all the shareholders, the Acquirer will have the option to make payment of the consideration to such shareholders in respect of whom no statutory approvals are required in order to complete this Open Offer. 2. The acquisition of Equity Shares held by Non-Resident Indians under this Offer is subject to receipt of the approval from the Reserve Bank of India ( RBI ) pursuant to the provisions of the Foreign Exchange Management (Transfer or Issue of Security by a Person Resident Outside India) Regulations, 2000, as amended and the Consolidated FDI Policy dated April 17, 2014, for acquiring Equity Shares, if any, from Non-Resident Indian equity shareholders of the Target Company pursuant to this Offer. As on the date of this Draft Letter of Offer, to the best of knowledge and belief of the Acquirer, there are no statutory approvals required to acquire the Equity Shares by the Acquirer tendered pursuant to this Open Offer other than as indicated hereinabove. However, in case of any other statutory approvals being required and/or become applicable at a later date before the closing of Tendering Period, this Open Offer would be subject to the receipt of such approvals. If any statutory approval becomes applicable prior to the completion of the Offer, the Offer would also be subject to the receipt of such statutory approvals. In the event of non-receipt of any of the statutory approvals, which may become applicable for acquisition of Equity Shares the Acquirer shall have the right to withdraw the Open Offer in accordance with the provisions of Regulation 23(1) of the SEBI (SAST) Regulations, In the event of such a withdrawal of the Offer, the Acquirer shall, through the Manager to the Offer, within two Working Days of such withdrawal, make an announcement of such withdrawal stating the grounds for the withdrawal in accordance with Regulation 23(2) of the SEBI (SAST) Regulations, The Equity Shares tendered in the Open Offer would be held in trust by the Registrar to the Offer, till the completion of the Open Offer formalities. During such period, there may be fluctuations in the market price of the Equity Shares and the shareholders will not be able to trade in such Equity Shares which are in the custody of the Registrar to the Offer, thereby restricting the ability of such shareholders to take advantage of any favourable price movements. It is understood that the shareholders will be solely responsible for their decisions regarding their participation in this Open Offer. 4. In case of over-subscription in the Offer, as per the SEBI (SAST) Regulations, 2011, acceptance would be determined on proportionate basis and hence there is no certainty that all the shares tendered by the shareholders in the Offer will be accepted. 5. Shareholders who tender the Equity Shares in acceptance of the Open Offer shall not be entitled to withdraw such acceptances during the Tendering Period, even if the acceptance of the equity shares in this Open Offer and dispatch of consideration are delayed. 6. The shareholders are advised to consult their respective tax advisors for assessing the tax liability pursuant to this Offer, or in respect of other aspects such as the treatment that may be given by their respective assessing officers in their case, and the appropriate course of action that they should take. The Acquirer and the Manager to the Offer do not accept any responsibility for the accuracy or otherwise of the tax provisions set forth in this Letter of Offer. 7. This Offer is subject to completion risks as would be applicable to similar transactions. Relating to the Acquirer: 1. The Acquirer make no assurances with respect to the continuation of the past trend in the financial performance or the future performance of the Target Company 2. The Acquirer makes no assurance with respect to its investment/divestment decisions relating to its proposed shareholding in the Target Company.

4 3. The Acquirer make no assurance with respect to the market price of the Equity Shares of the Target Company before, during or after the Open Offer and expressly disclaims any responsibility or obligation of any kind (except as required by applicable law) with respect to any decision by any shareholder on whether to participate or not to participate in the Open Offer. 4. Upon completion of the Open Offer, assuming full acceptances in the Open Offer, the public shareholding of the Target Company will fall below minimum level of public shareholding as required to be maintained as per Securities Contract (Regulation) Rules, 1957 as amended and the Listing Agreement. While the Target Company is required to decrease the non-public shareholding to the level specified and within the time stipulated under the Securities Contract (Regulation) Rules, 1957, as amended ( SCRR ), as per the requirements of Regulation 7(4) of the SEBI (SAST) Regulations, 2011 and/or the Listing Agreement, any failure to comply with the conditions with aforesaid regulations could have an adverse effect on the price and tradability of the Equity Shares of the Target Company. 5. The information contained in the PA or DPS or LOF or any other advertisement / publications made in connection with the Open Offer pertaining to the Target Company has been compiled from information published or provided by the Target Company or publicly available sources. The Acquirer does not accept any responsibility with respect to any misstatement by the Target Company in relation to such information. 6. The Acquirer and the Manager to the Offer accept no responsibility for statements made otherwise than in the Letter of Offer (LoF)/ Detailed Public Statement (DPS)/Public Announcement(PA) and anyone placing reliance on any other sources of information (not released by the Acquirer) would be doing so at his / her / its own risk. The risk factors set forth above pertain to the underlying transaction and this Open Offer and are not in relation to the present or future business or operations of the Target Company or any other matters and are neither exhaustive nor intended to constitute a complete or comprehensive analysis of the risks involved in or associated with the participation or otherwise by any shareholder in the Open Offer, but are only indicative. Each shareholder of the Target Company is hereby advised to consult with their stockbroker, legal, financial, tax, investment or other advisors and consultants of their choosing, if any, for further risks with respect to their participation in the Open Offer and related transfer of Equity Shares of the Target Company to the Acquirer. CURRENCY OF PRESENTATION In the Letter of Offer, all references to ` / Rs. / Rupees / INR are to Indian Rupees. In the Letter of Offer, any discrepancy in any table between the total and sums of the amounts listed are due to rounding off and/ or regrouping.

5 TABLE OF CONTENTS S. No Subject Page No. 1. ABBREVIATIONS / DEFINITIONS DISCLAIMER CLAUSE 3 3. DETAILS OF THE OFFER BACKGROUND OF THE ACQUIRER BACKGROUND OF THE TARGET COMPANY OFFER PRICE AND FINANCIAL ARRANGEMENTS TERMS AND CONDITIONS OF THE OFFER PROCEDURE FOR ACCEPTANCE AND SETTLEMENT OF THE OFFER DOCUMENTS FOR INSPECTION DECLARATION BY THE ACQUIRER 20

6 1. ABBREVIATIONS / DEFINITIONS: Acquirer / RNPL Royal Nirman Private Limited BSE BSE Limited, Mumbai CDSL Central Depository Services (India) Limited The Business Day falling immediately after the expiry of twenty one working days [as defined in Securities and Exchange Board of India Closing Date (Substantial Acquisition of Shares and Takeovers) Regulations, 2011] from the date of DPS or any other date mutually agreed between Parties to the Agreement Companies Act Companies Act, 1956 and Companies Act, 2011, as amended or modified from time to time DIN Director Identification Number DP Depository Participant Detailed Public Statement, issued by the Manager to the Offer, on DPS / Detailed Public behalf of the Acquirer, in relation to this Open Offer, published on July Statement 08, 2014 (Tuesday) Eligible Shareholders All the owners (registered or unregistered) of the Equity Shares of the Target Company, except the Parties to the SPA Equity Shares Fully paid-up equity shares of the Target Company of face value ` 10/- each Escrow Bank HDFC Bank Limited The depository account opened by the Registrar to the Offer with Escrow Demat Account Stock Holding Corporation of India Limited, for receiving Equity Shares during the Open Offer from the eligible shareholders who hold Equity Shares in demat form FEMA Foreign Exchange Management Act, 1999, as amended from time to time FII Foreign Institutional Investor registered with SEBI FIPB Foreign Investment Promotion Board Form of Acceptance Form of Acceptance cum Acknowledgement, accompanying with this Letter of Offer August 08, 2014 (Friday) i.e. date falling on the Tenth (10th) Working Identified Date Day prior to the commencement of Tendering Period, for the purposes of determining the public shareholders to whom this Letter of Offer shall be sent IFSC Indian Financial System Code Income Tax Act Income Tax Act, 1961, as amended from time to time INR / Rs. / ` Indian Rupees, the legal currency of India Letter of Offer / LoF This Letter of Offer Manager to the Offer Ashika Capital Limited The total funding requirement for the Offer of ` 17,69,400/- (Rupees Maximum Consideration Seventeen Lakhs Sixty Nine Thousand Four Hundred only), assuming full acceptance of the Offer MICR Magnetic Ink Character Recognition NA Not Applicable NECS National Electronic Clearing System NEFT National Electronic Funds Transfer Persons resident outside India, as defined under FEMA, holding Non-Resident Shareholder(s) Equity Shares of the Target Company NRI Non-Resident Indians NSDL National Securities Depositories Limited OCBs Overseas Corporate Bodies Period from the date of entering into Share Purchase Agreement to Offer Period the date on which the payment of consideration, to the shareholders whose Equity Shares are accepted in this Open Offer, is made, or the 1

7 Offer/Open Offer Offer Price Offer Size PA / Public Announcement PAN Parties to the Share Purchase Agreement Promoter / Seller PSE RBI Registrar / Registrar to the Offer RTGS Sale Shares SCRR SEBI SEBI Act SEBI (SAST) Regulations, 2011 SEBI (SAST) Regulations 1997 SPA Stock Exchanges Target Company/ MPFSL Tendering Period Voting Share Capital date on which this Open Offer is withdrawn, as the case may be This Open Offer, being made by the Acquirer to the shareholders of the Target Company (other than Parties to the SPA) to acquire upto 8,84,700 fully paid-up equity shares of face value of ` 10/- each, representing 26% of the voting share capital of the Target Company ` 2/- (Rupees Two only) per Equity Share 8,84,700 fully paid-up equity shares of ` 10/- each, constituting 26% of the voting share capital of the Target Company Public Announcement of the Open Offer issued by the Manager to the Offer, on behalf of the Acquirer on July 01, 2014 (Tuesday) Permanent Account Number Royal Nirman Private Limited and Wilo Se Promoter of MPF Systems Limited as per clause 35 of the Listing Agreement entered with Stock Exchanges i.e. Wilo Se Pune Stock Exchange Limited, Pune Reserve Bank of India Sharepro Services (India) Private Limited Real Time Gross Settlement 18,87,697 fully paid-up equity shares of ` 10/- each, constituting 55.48% of the voting share capital of the Target Company, to be sold by the Seller to the Acquirer, in terms of the SPA Securities Contract (Regulation) Rules, 1957 and subsequent amendments thereto Securities and Exchange Board of India Securities and Exchange Board of India Act, 1992, as amended or modified from time to time Securities and Exchange Board of India (Substantial Acquisition of Shares and Takeovers) Regulations, 2011, and subsequent amendments thereof Securities and Exchange Board of India (Substantial Acquisition of Shares and Takeovers) Regulations, 1997, and subsequent amendments thereof Share Purchase Agreement dated July 01, 2014 entered into between the Acquirer and the Seller BSE and PSE MPF Systems Limited [formerly known as Mather and Platt Fire Systems Limited] Period commencing from August 26, 2014 (Tuesday) and closing on September 09, 2014 (Tuesday), both days inclusive 34,02,647 fully paid-up Equity Shares carrying voting rights, being the Equity Shares as of the 10 th Working Day following the closure of the Tendering Period Offer assuming there is no change between the date of this Draft Letter of Offer and such date All capitalized terms used in this Letter of Offer, but not otherwise defined herein, shall have the meanings ascribed thereto in the SEBI (SAST) Regulations,

8 2. DISCLAIMER CLAUSE IT IS TO BE DISTINCTLY UNDERSTOOD THAT FILING OF DRAFT LETTER OF OFFER WITH SEBI SHOULD NOT, IN ANY WAY, BE DEEMED OR CONSTRUED THAT THE SAME HAS BEEN CLEARED, VETTED OR APPROVED BY SEBI. THE DRAFT LETTER OF OFFER HAS BEEN SUBMITTED TO SEBI FOR A LIMITED PURPOSE OF OVERSEEING WHETHER THE DISLOSURES CONTAINED THEREIN ARE GENERALLY ADEQUATE AND ARE IN CONFORMITY WITH THE REGULATIONS. THIS REQUIREMENT IS TO FACILITATE SHAREHOLDERS OF MPF SYSTEMS LIMITED TO TAKE AN INFORMED DECISION WITH REGARD TO THE OFFER. SEBI DOES NOT TAKE ANY RESPONSIBILITY EITHER FOR FINANCIAL SOUNDNESS OF THE ACQUIRER OR THE COMPANY WHOSE SHARES AND CONTROL IS PROPOSED TO BE ACQUIRED OR FOR THE CORRECTNESS OF THE STATEMENTS MADE OR OPINIONS EXPRESSED IN THE LETTER OF OFFER. IT SHOULD ALSO BE CLEARLY UNDERSTOOD THAT WHILE ACQUIRER ARE PRIMARILY RESPONSIBLE FOR THE CORRECTNESS, ADEQUACY AND DISCLOSURE OF ALL RELEVANT INFORMATION IN THIS LETTER OF OFFER, THE MERCHANT BANKER IS EXPECTED TO EXERCISE DUE DILIGENCE TO ENSURE THAT ACQUIRER DULY DISCHARGE THEIR RESPONSIBILITY ADEQUATELY. IN THIS BEHALF, AND TOWARDS THIS PURPOSE, THE MERCHANT BANKER, ASHIKA CAPITAL LIMITED HAS SUBMITTED A DUE DILIGENCE CERTIFICATE DATED JULY 14, 2014 TO SEBI IN ACCORDANCE WITH THE SEBI (SUBSTANTIAL ACQUISITION OF SHARES AND TAKEOVERS) REGULATIONS, 2011 AND SUBSEQUENT AMENDMENT(S) THEREOF. THE FILING OF THIS LETTER OF OFFER DOES NOT, HOWEVER, ABSOLVE THE ACQUIRER FROM THE REQUIREMENT OF OBTAINING SUCH STATUTORY CLEARANCES AS MAY BE REQUIRED FOR THE PURPOSE OF THE OFFER. 3. DETAILS OF THE OFFER 3.1. BACKGROUND OF THE OFFER a. This Open Offer is a mandatory offer, being made by Royal Nirman Private Limited (hereinafter referred to as the Acquirer ) pursuant to and in compliance with Regulation 3(1) & 4 and other applicable provisions of the SEBI (SAST) Regulations, 2011, pursuant to the Share Purchase Agreement dated July 01, 2014, for substantial acquisition of shares and voting rights accompanied with the change in control and management of the Target Company. b. There is no Person Acting in Concert with the Acquirer for the purpose of this Open Offer within the meaning of regulation 2(1)(q) of the SEBI (SAST) Regulations, c. The Acquirer and the Seller have executed the Share Purchase Agreement (SPA) on July 01, 2014 (Tuesday) pursuant to which, the Acquirer has agreed to purchase from the Seller, 18,87,697 fully paid up equity shares of ` 10/- each ("Sale Shares"), constituting 55.48% of the total paid-up equity share capital of the Target Company and to acquire control over the management of the Target Company, for a consideration aggregating to ` Lakhs (Rupees Seventeen Lakhs Fifty Six Thousand only) ( Purchase Consideration / Negotiated Price ) payable in cash. d. The key terms and conditions of the SPA are as follows: i. The SPA is subject to the compliances of provisions of SEBI (SAST) Regulations, ii. Pursuant to the SPA, the Acquirer proposes to acquire up to 18,87,697 Equity Shares, constituting 55.48% of the total paid-up equity share capital of the Target Company ("Sale Shares") from the Seller. iii. As a consequence of the sale and purchase of the Equity Shares of the Target Company, the Seller shall cease to be the Promoter of the Company and the Acquirer shall become the Promoter of the Company under the provisions of the SEBI (SAST) Regulations, iv. The Acquirer is required to deposit in the Escrow Account, cash of an amount equal to one hundred percent of the consideration payable under the open offer assuming full acceptance of the open offer, in terms of Regulation 22(2) and first proviso to Regulation 24(1) read with Regulation 17 of SEBI (SAST) Regulations, v. The Purchaser shall remit the entire purchase consideration to the bank account of the Seller on the Closing Date. vi. The Seller shall deliver to its depository participant on the Closing Date a duly executed irrevocable instruction slip for the transfer and credit of the Sale Shares to the Acquirer s Demat Account. 3

9 vii. On the Closing Date, a Board Meeting of the Target Company shall be called, convened and conducted to transact the following business: a. To take on record transfer of Sale shares in the name of the Acquirer; b. To appoint the nominees of the Acquirer as Additional Directors, if any; c. To appoint new Independent Directors as Additional Directors of the Company; d. Approve and accept the resignation of the directors holding office prior to commencement of such Board Meeting, with effect from the close of such Board Meeting. viii. The aggregate liability of the Seller in respect of losses arising in respect of Indemnity shall be limited to ` 25,00,000. The right of Acquirer to initiate claim for the losses in respect of the Indemnity shall be for period of 18 months from the Closing Date. For some of the above terms more specifically defined in the SPA and other details of the SPA, shareholders of the Target Company may refer the SPA which would be available to them for inspection during the period between the Tendering Period at the office of the Manager to the Offer. e. The Acquirer has deposited 100% of the Maximum Consideration into the Escrow Account in terms of their intention under Regulations 22(2) of the SEBI (SAST) Regulations, 2011 to facilitate the acquisition of the Sale Shares and control over the Target Company following the expiry of 21 working days from the date of the DPS. f. The Acquirer will seek appointment of representative Directors on the Board of the Target Company and the Target Company will take effective steps to induct them on its Board on the Closing Date. g. As per Regulations 26(6) and 26(7) of SEBI (SAST) Regulations, 2011, the Board of the Target Company is required to constitute a committee of Independent Directors, to provide its written reasoned recommendation on the Open Offer to the shareholders of the Target Company and such recommendations shall be published at least two working days before the commencement of the Tendering Period in the same newspaper where the DPS of the Open Offer was published. A copy whereof shall be sent to SEBI, ASE and Manager to the Offer and in case of a competing offer/s to the Manager/s to the Offer for every competing offer. h. None of the Acquirer and their Promoters and/or Directors have been prohibited by SEBI from dealing in securities, in terms of directions issued under Section 11B of the SEBI Act, 1992 and subsequent amendments thereto or under any other regulations made under the SEBI Act, DETAILS OF THE PROPOSED OFFER a. The PA announcing the Open Offer, under Regulation 3(1) & 4, read with Regulation 13, 14 and 15 of the SEBI (SAST) Regulations, 2011 was made on July 01, 2014 and informed to the Stock Exchanges and a copy thereof was also filed with the SEBI and the Target Company at its Registered Office. b. In accordance with Regulations 13(4) and 14(3) of the SEBI (SAST) Regulations, 2011, the DPS was published on July 08, 2014 in the following newspapers: Publication Language Edition Financial Express English All Editions Jansatta Hindi All Editions Mumbai Lakshadeep Marathi Mumbai Edition Loksatta Marathi Pune Edition A copy of the PA and DPS are available on the SEBI website at c. Simultaneously with the publication of DPS in the newspapers, a copy of the DPS was filed through the Manager to the Offer with SEBI, BSE, PSE and the Target Company at its Registered Office. d. The Open Offer is being made by the Acquirer to the shareholders of the Target Company, other than Parties to SPA, in terms of Regulation 7 (6) of the SEBI (SAST) Regulations, 2011, to acquire up to 8,84,700 fully paid-up equity shares of face value of ` 10/- each, constituting 26% of the voting share capital, at a price of ` 2/- (Rupees Two only) per Equity Share, payable in cash, in accordance with Regulation 9(1)(a) of the SEBI (SAST) Regulations, 2011 subject to the terms and conditions mentioned in the PA, DPS and this Letter of Offer. 4

10 e. There are no partly paid up Equity Shares in the Target Company. Further, there is no differential pricing for the Open Offer. f. This Open Offer is not a competing offer in terms of Regulation 20 of the SEBI (SAST) Regulations, 2011 and there has been no competing offer as of the date of the Draft Letter of Offer. g. This Open Offer is not pursuant to any global acquisition resulting in an indirect acquisition of shares of the Target Company. h. The Open Offer is unconditional and not subject to any minimum level of acceptance from the shareholders of the Target Company, in terms of Regulation 19(1) of the SEBI (SAST) Regulations, i. The Acquirer undertakes that it shall not tender any Equity Shares in this Open Offer. j. The Acquirer has not acquired any Equity Shares of the Target Company after the date of PA i.e. July 01, 2014, up to the date of this LoF. k. As on date, the Manager to the Offer does not hold any Equity Shares in the Target Company. The Manager to the Offer further declares and undertakes that they will not deal on their own account in the Equity Shares of the Target Company during the Offer Period. l. Upon completion of the Open Offer, assuming full acceptances in the Open Offer, the public shareholding of the Target Company will fall below minimum level of public shareholding as required to be maintained as per Securities Contract (Regulation) Rules, 1957 as amended and the Listing Agreement, the Acquirer undertake to take necessary steps to facilitate compliance of the Target Company with the relevant provisions of Securities Contract (Regulation) Rules, 1957 as amended and the Listing Agreement, within the time period mentioned therein OBJECT OF THE OFFER a. This Open Offer is being made to the shareholders of Target Company pursuant to and in compliance with Regulation 3(1) & 4 of the SEBI (SAST) Regulations, b. After the completion of this Open Offer and pursuant to the transfer of the shares so acquired, the Acquirer will hold the majority of the Equity Shares by virtue of which they will be in a position to exercise effective management and control over the Target Company. c. The object of acquisition is to acquire substantial shares/voting rights accompanied with change in management and control of the Target Company. The Acquirer reserves the right to modify the present structure of the business in a manner which is useful to the larger interest of the shareholders. Any change in the structure that may be carried out, will be in accordance with the laws applicable. The Acquirer may reorganize business for commercial reasons. The Acquirer is yet to finalize on how it would implement the future business plans. d. The Acquirer do not have any intention to alienate any significant assets of the Target Company whether by way of sale, lease, encumbrance or otherwise for a period of two years from the date of closure of this Open Offer except in the ordinary course of business of the Target Company and except to the extent required for the purpose of restructuring and/or rationalization of the business, assets, investments, liabilities or otherwise of the Target Company. In the event any material asset of the Target Company is to be sold, leased, disposed of or otherwise encumbered other than in the ordinary course of business or for the purpose of restructuring and/ or rationalization of the business, assets, investments, liabilities or otherwise of the Target Company, the Acquirer undertake that they shall do so only upon the receipt of the prior approval of the shareholders of the Target Company, by way of a special resolution passed by postal ballot, in terms of Regulation 25(2) of SEBI (SAST) Regulations, 2011 and subject to the provisions of applicable laws. 5

11 4. BACKGROUND OF THE ACQUIRER: 4.1. ROYAL NIRMAN PRIVATE LIMITED (RNPL): a) RNPL was incorporated on November 10, 2010 under the Companies Act 1956 with the Registrar of Companies, West Bengal. The registered office of RNPL is situated at 1st Floor, Block - D, Mercantile Buildings, 9/12, Lal Bazaar Street, Kolkata The Corporate Identity Number (CIN) of RNPL is U70102WB2010PTC b) The Equity Shares of RNPL are not listed on any stock exchange. c) The Shareholding Pattern of RNPL, as on date, is as under: S. No. Name of the Shareholder No. of Shares % a. Bijay Kumar Dokania 5, b. Aargee Property Services (P) Ltd 80, c. Dokania Consultancy Services (P) Ltd 80, d. Humalife Distributors (P) Ltd 1,00, e. BSR Finance & Constructions Ltd 9, f. Devesh Dealmark (P) Ltd 8, g. Mangalvani Tradelink (P) Ltd 5, h. Newzone Vanijya (P) Ltd 5, i. Ratangiti Vintrade (P) Ltd 5, j. Raghuvir Sales (P) Ltd 2, k. Swabhumi Dealers (P) Ltd 2, TOTAL 3,01, d) The details of Board of Directors of RNPL, as on the date of LoF, are as follows: S. No Name of the Director Bijay Kumar Dokania Suresh Kumar Agarwalla Date of Appointment November 10, 2010 August 17, 2012 Qualification B.Com, CA. B. Com Experience Expertise in financial management, accounting, taxation and corporate compliance matters Experience in finance and accounts Director Identificatio n Number (DIN) e) Neither RNPL nor any of its directors hold, either directly or indirectly, any stake in the voting share capital of or any other interest in the Target Company. Further, there are no common directors on the board of RNPL and the Target Company and there are no directors on the board of the Target Company representing RNPL. f) The key financial information of RNPL as derived from its audited standalone financial statements for the financial years ended March 31, 2012, March 31, 2013 and March 31, 2014 are as follows: Profit & Loss Statements: (Amount ` in Lakhs) For the year ended Audited Audited Audited Revenue from Operations

12 Other Income Total Income Total Expenditure Profit/(Loss) Before Depreciation, Interest and Tax Interest & Bank Charges Depreciation and Amortisation Expenses Profit/ (Loss) Before Tax (0.15) (0.14) Current Tax Deferred Tax Liabilities Profit/ (Loss) After Tax (0.15) (0.14) (0.21) Balance Sheet Statement: (Amount ` in Lakhs) As on Audited Audited Audited Sources of Funds: Paid up Share Capital Reserves & Surplus Networth Non-Current Liabilities Current Liabilities TOTAL Use of Funds: Non-Current Assets Current Assets TOTAL Other Financial Data Dividend (%) Earnings Per Share of ` 10/- (`) (0.05) (0.05) (0.07) (Source: Audited Financial Statements) Networth = Paid-up Share Capital + Reserves & Surplus Earnings per Share is calculated as Profit after Tax / No. of shares outstanding at the end of respective period as disclosed in the financial statements 4.2. The main object of RNPL as per Memorandum of Association is to carry on the business of real estate business, construction business, purchase, lease, hire or otherwise develop or operate land, building. Presently, the Company is carrying on business of investment and trading in shares and securities and also dealing in commodities As on the date, the Acquirer does not hold any Equity Shares in the Target Company As the Acquirer have never held any Equity Shares of the Target Company the relevant provisions of Chapter II of the SEBI (SAST) Regulations, 1997 and Chapter V of the SEBI (SAST) Regulations, 2011 are not applicable There is no person acting in concert with the Acquirer for the purpose of this Open Offer within the meaning of regulation 2(1)(q) of the SEBI (SAST) Regulations, The Acquirer is neither the Promoter nor a part of the Promoter Group of the Target Company None of the Acquirer has been prohibited by SEBI from dealing in securities, in terms of directions issued under Section 11B of the SEBI Act, 1992 and subsequent amendments thereto or under any other regulations made under the SEBI Act, BACKGROUND OF TARGET COMPANY MPF SYSTEMS LIMITED: (The information contained in the PA or DPS or LOF or any other advertisement/ publications made in connection with the Open Offer pertaining to the Target Company have been compiled from information published or provided by the Target Company or publicly available sources). 7

13 a) The Target Company, MPF Systems Limited, was originally incorporated on July 02, 1993 under the name and style of Veedip Financial Services Private Limited under the provisions of the Companies Act, 1956 with the Registrar of Companies, Maharashtra at Mumbai. The name of the Target Company was changed to Mather and Platt Fire Systems Private Limited, pursuant to which a fresh Certificate of Incorporation dated September 13, 2001 was issued by the Registrar of Companies, Maharashtra at Pune. The name of the Target Company was subsequently changed to Mather and Platt Fire Systems Limited, pursuant to which a fresh Certificate of Incorporation dated October 05, 2001, consequent upon change of name was issued by the Registrar of Companies, Maharashtra at Pune. Further, the name of the Target Company was changed to MPF Systems Limited, pursuant to which a fresh Certificate of Incorporation dated March 25, 2014, consequent upon change of name was issued by the Registrar of Companies, Maharashtra at Pune. The Corporate Identity Number (CIN) of the Target Company is L65999PN1993PLC b) In the year 2001, a scheme of arrangement involving Mather & Platt (India) Limited, Veedip Financial Services Private Limited, Datum Trading Private Limited and their respective shareholders under section 391 read with section 394 of the Companies Act, 1956 was sanctioned by High Court of Mumbai. Pursuant to the scheme of arrangement: Fire and Security Engineering Division of Mather & Platt (India) Limited was transferred to Veedip Financial Services Private Limited. Fluid Engineering Division of Mather & Platt (India) Limited was transferred to Datum Trading Private Limited. The name was changed from Veedip Financial Services Private Limited to Mather and Platt Fire Systems Limited. The name was changed from Datum Trading Private Limited to Mather and Platt Pumps Limited. The Appointed date for the Scheme of Arrangement was April 01, c) The Registered Office of the Target Company is situated at Greaves Compound, Chinchwad Works, Bombay-Pune Road, Chinchwad (East), Pune , Maharashtra. d) The Target Company was earlier engaged in the business of design, development, manufacture and installation of fire securities systems. During the past few years, the Target Company has not carried out any business and is not generating any revenue from its operations e) The Authorized Share Capital of the Target Company is ` 5,00,00,000 comprising of 50,00,000 equity shares of ` 10/- each. The issued, subscribed and paid-up capital of the Target Company is ` 3,40,26,470/- consisting of 34,02,647 equity shares of ` 10/- each. f) As on date the Target Company does not have any partly paid-up equity shares and there are no outstanding warrants or options or similar instruments, convertible into equity shares at a later stage. g) The present Promoter/Seller had acquired 18,71,455 fully paid-up Equity Shares of ` 10/- each, representing 55% of voting capital of the Target Company through a Share Purchase Agreement dated July 18, 2005 and made Open Offer to the shareholders of Target Company, in compliance with the SEBI (SAST) Regulations, 1997 for acquisition of 6,80,530 Equity Shares of ` 10/- each, representing 20% of the voting capital of the Target Company. The Open Offer had opened on September 09, 2005 and closed on September 28, h) Share Capital Structure: The share capital structure of the Target Company is as follows: Paid-up Shares No. of Shares/Voting Rights % Shares/Voting Rights Fully Paid-up Equity Shares 34,02, % Partly Paid-up Equity Shares Nil Nil Total Paid-up Equity Shares 34,02, % Total Voting Rights in Target Company 34,02, % 8

14 i) The Equity Shares of the Target Company are presently listed on BSE Limited, Mumbai ( BSE ) (Scrip Code: ) and Pune Stock Exchange Limited, Pune ( PSE ) (Scrip Code: MATPF ). j) As on the date of the Draft Letter of Offer, all the Equity Shares are listed and have not been suspended from trading on the Stock Exchanges. k) Details of the Board of Directors of Target Company: As on the date of the PA, the Directors representing the Board of Target Company are: Sr. Name of No. Director 1 Bomi Daruwala DIN: Kiran Malhotra DIN: Dr Markus Beukenberg DIN: Hemant Watve DIN: Address of the Directors 1907, Tower B, Ashok Towers,63/74, Dr. B. A. Road, Parel, Mumbai Flat no.2 a/b, bldg. H1, Hindustan Estate, Pluto Housing. Society., Kalyaninagar, Pune Dueppenbacckerwe--g 24, Muelheim An Der Ruhr Germany E-5, Gangatirth Society, Sahakarnagar No.1, Pune None of the above Directors are representing the Acquirer. Date of Qualification Appointment Commerce & law graduate and a Chartered Accountant as well as Cost Accountant Mechanical Engineer Graduate Engineering Masters Degree in Mechanical Engineering and Masters in Business Administration Experience 25 years experience in the legal field, especially advisory in the matters of joint ventures, technology transfers, corporate restructuring, mergers and acquisitions, project finance and real estate, etc. 36 years experience in the field of marketing and management. Experience in the field of management, technology and operations. He is presently CTO of Wilo SE Germany. 25 years of experience in various Companies at various positions in the field of Operations. l) There has been no merger / de-merger or spin off in the Target Company during the past three years. m) Financial Information: The audited financial information for the year ended December 31, 2011, December 31, 2012, December 31, 2013 and unaudited financial information for the quarter ended March 31, 2014 are as follows: Profit & Loss Statements: (Amount ` in Lakhs) For the quarter / year ended (Unaudited) (Audited) (Audited) (Audited) Revenue from Operations Other Operating revenue Other Income Total Income Total Expenditure Profit/(Loss) before Depreciation, Interest & Tax (12.96) Interest & Bank Charges

15 Depreciation & Amortization Expenses Profit/ (Loss) Before Tax (12.96) (0.06) Current tax Tax in respect of earlier years Excess provision of Income Tax with respect of earlier years (12.46) written back Profit/ (Loss) After Tax (12.96) Balance Sheet Statement: (Amount ` in Lakhs) As on (Unaudited)(1) Audited Audited Audited Sources of Funds: Paid up Share Capital Not available Reserves & Surplus (excluding Revaluation Not available Reserves) Profit & Loss Debit Balance Not available Networth Not available (225.16) (301.82) Non-Current Liabilities Not available Current Liabilities Not available TOTAL Not available Use of Funds: Not available Non-Current Assets Not available Long Term Loans & Not available Advances Other Non-Current Assets Not available Current Assets Not available TOTAL Not available Other Financial Data For period / year ended (Unaudited) (Audited) (Audited) (Audited) Dividend (%) Nil Nil Nil Nil Earnings Per Share of ` 10/- (`) (0.38)* Networth Networth Return on Networth (%) Not available(1) negative negative Book Value per share (`) Not available(1) 1.31 (6.62) (8.87) *Not Annualised Note 1: In accordance with Clause 41 of the Listing Agreement entered into between the Target Company and the Stock Exchanges, the Target Company is not required to disclose a statement of assets and liabilities for the quarter ended March 31, Information for the year ended December 31, 2011 and December 31, 2012 is from the annual report for the financial year ended on December 31, Information for the year ended December 31, 2013 is from the financial statements for the financial year ended on December 31, Information for the quarter ended March 31, 2014 is from the unaudited financial statements for the quarter ended on March 31, The financial information for the quarter ended March 31, 2014 have subjected to limited review by the Statutory Auditor of the Target Company Networth = Paid-up Share Capital + Reserves & Surplus Earnings per Share is calculated as Profit after Tax / No. of shares outstanding at the end of respective period as disclosed in the financial statements 10

16 n) Pre and Post-Offer Shareholding Pattern of the Target Company as on date of LoF is as follows: Shares/ Voting Shares / Voting Rights Shareholding / Shareholding & Rights to be agreed to be Acquired Voting Rights after Voting Rights prior Acquired in Open Shareholders Category which triggered off the the Acquisition and to the Open Offer Offer (assuming full Regulations Open Offer acceptances) (A) (B) (C) (A)+(B)+(C) = (D) No. % No. % No. % No. % 1. Promoter Group a) Parties to Agreement: (i) Wilo Se 18,87, (18,87,697) (55.48) Nil N. A. Nil N. A. Total (a) 18,87, (18,87,697) (55.48) Nil N. A. Nil N. A. b) Promoters other than (a) above Nil N. A. Nil N. A. Nil N. A. Nil N. A. Total (b) Nil N. A. Nil N. A. Nil N. A. Nil N. A. Total 1 (a+b) 18,87, (18,87,697) (55.48) Nil N. A. Nil N. A. 2. Acquirer (i) Royal Nirman Private Limited Nil N. A. 18,87, ,84, ,72, Total Nil N. A. 18,87, ,84, ,72, Parties to agreement other than(1) (a) & (2) Public (other than parties to Agreement & Acquirer) a) FIs / MFs / FIIs / Banks, - - SFIs, ARCs 15,14, (8,84,700) (26.00) 6,30, b) Others - - Total 4 (a+b) 15,14, (8,84,700) (26.00) 6,30, GRAND TOTAL ( ) 34,02, Nil Nil Nil Nil 34,02, # Number of shareholders under Public category as on March 31, 2014 is t. Details of Compliance Officer: Mr. Vasudev Savalgi, Company Secretary & Compliance Officer Greaves Compound, Chinchwad Works, Bombay-Pune Road, Chinchwad (East), Pune , Maharashtra; Tel.: ; Fax: ; comp.secr@matherplatt.com 6. OFFER PRICE AND FINANCIAL ARRANGEMENTS 6.1. JUSTIFICATION OF OFFER PRICE: a. The Open Offer is made pursuant to the execution of the SPA for the acquisition of more than 25% of the Equity Shares and voting rights, accompanied with a change in control of the Target Company. b. This Open Offer is not pursuant to any global acquisition resulting in an indirect acquisition of shares of the Target Company. c. The Equity Shares of the Target Company are presently listed on BSE Limited, Mumbai ( BSE ) (Scrip Code: ) and Pune Stock Exchange Limited, Pune ( PSE ) (Scrip Code: MATPF ). d. The trading turnover in the Equity Shares of the Target Company on BSE and PSE based on trading volume during the twelve calendar months prior to the month of PA (July, 2013 to June, 2014) is as given below: Name of Stock Exchange Total No. of Shares traded during the 12 calendar months prior to the month of PA Total No. of Listed Equity Shares Annualized Trading turnover (in terms of % to total listed Equity Shares) 11

17 BSE 64,340 34,02, PSE Nil 34,02,647 NA e. Based on the above, the Equity Shares of the Target Company are not frequently traded on BSE and PSE within the meaning of Regulation 2(1) (j) of SEBI (SAST) Regulations, f. The Offer Price determined in terms of regulation 8(1) and 8(2) of the SEBI (SAST) Regulations, 2011, being the highest of the following: S. No. Particulars ` a) Negotiated Price under the Agreement : 0.93 (Rounded off) b) The volume-weighted average price paid or payable for acquisition whether by the Acquirer or by any Person Acting in Concert with him, : Not Applicable during 52 weeks immediately preceding the date of PA c) The highest price paid or payable for any acquisition, whether by the Acquirer or by any Person Acting in Concert with him, during 26 weeks immediately preceding the date of the PA : Not Applicable The volume-weighted average market price of such shares for a period of sixty trading days immediately preceding the date of public d) announcement as traded on BSE (As the maximum volume of trading in the shares of the Target Company is recorded on BSE during such period) : Not Applicable e) Other Parameters : for the quarter ended (Unaudited) for the year ended (Audited) Book Value per Equity Share (`) : Not Available# 1.31 Earnings Per Equity Share (`) : (0.38)* 7.93 Return on Net worth (%) : Not Available# * Not Annualised #In accordance with Clause 41 of the Listing Agreement entered into between the Target Company and the Stock Exchanges, the Company is not required to disclose a statement of assets and liabilities for the quarter ended March 31, The financial information for the quarter ended March 31, 2014 have subjected to limited review by the Statutory Auditor of the Target Company The Fair Value of the Target Company, is ` 1.77 (Rupee One and Seventy Seven Paisa) as certified vide Valuation Report dated June 30, 2014 by M/s. Jignesh Goradia & Associates., Chartered Accountants having office at 403, Doshi Mansion, M.G. Cross Road No. 3, Kandivali (West), Mumbai ; Tel.: ; jigneshgoradia_ca@yahoo.com. e. In view of the parameters considered and presented in table above, in the opinion of the Acquirer and Manager to the Offer, the Offer Price of ` 2/- (Rupees Two only) per share is justified in terms of Regulation 8 of the SEBI (SAST) Regulations, f. There have been no corporate actions in the Target Company warranting adjustment of relevant price parameters under Regulation 8(9) of the SEBI (SAST) Regulations, g. If the Acquirer acquire or agree to acquire any Equity Shares or voting rights in the Target Company during the Offer Period, whether by subscription or purchase, at a price higher than the Offer Price, the Offer Price shall stand revised to the highest price paid or payable for any such acquisition in terms of regulation 8(8) of SEBI (SAST) Regulations, Provided that no such acquisition shall be made after the third working day prior to the commencement of the Tendering Period and until the expiry of the Tendering Period. 12