ALKALI METALS LIMITED - Stock/Share Market Investing - Live BSE

224 Pages·2007·1.8 MB·English

WESTERN PRESS PVT. LTD.
MUMBAI 400 013. 2493 9382
DRAFT RED HERRING PROSPECTUS
Dated: [•], 2007
Please Read Section 60B of the Companies Act, 1956
(The Draft Red Herring Prospectus will be updated upon filing with RoC
100% Book Building issue
ALKALI METALS LIMITED
(Incorporated on 17 April, 1968 as Alkali Metals Private Limited in Hyderabad, Andhra Pradesh with Registration No.01 – 001196, it became a
deemed public limited company on 18 June, 1975 under the Companies Act, 1956 and subsequently converted into a private limited company on
6 October, 1976. The Company again became a deemed public company on 6 July, 1977 and the name was changed to Alkali Metals Limited,
after which it was again converted into a private limited company on 10 November, 1986 and named Alkali Metals Private Limited. The Company
was converted into a public limited company and called Alkali Metals Limited vide a fresh Certificate of Incorporation dated 29 July, 1992)
Registered Office: B-5, Block III, Industrial Development Area, Uppal, Hyderabad-500 039, Andhra Pradesh, India.
Tel: [phone] Fax: [phone] E – mail:
TABLE OF CONTENTS
ITEM Page No
SECTION I: DEFINITIONS AND ABBREVIATIONS
Definitions ............................................................................................................................................................................................... 1
Conventional / General Terms .............................................................................................................................................................. 1
Issue Related Terms ............................................................................................................................................................................. 2
Company/ Industry related Terms ........................................................................................................................................................ 5
Abbreviations .......................................................................................................................................................................................... 6
SECTION II: RISK FACTORS
Presentation of Financial, Market Data and Currency of Presentation ............................................................................................. 8
Forward Looking Statements ................................................................................................................................................................ 9
Risk Factors ......................................................................................................................................................................................... 10
SECTION III INTRODUCTION
Summary of Industry and Business ................................................................................................................................................... 19
The Issue .............................................................................................................................................................................................. 22
Summary of Financial Data ................................................................................................................................................................. 23
General Information ............................................................................................................................................................................. 25
Capital Structure .................................................................................................................................................................................. 31
Objects of the Issue ............................................................................................................................................................................ 42
Basic Terms of the Issue .................................................................................................................................................................... 52
Basis for Issue Price ........................................................................................................................................................................... 53
Statement of Tax Benefits ................................................................................................................................................................... 55
SECTION IV: ABOUT THE COMPANY
Industry Overview ............................................................................................................................................................................... 65
Business Overview .............................................................................................................................................................................. 75
Key Industry Regulations and Policies ............................................................................................................................................... 95
History and Corporate Matters ......................................................................................................................................................... 100
Management ....................................................................................................................................................................................... 104
Promoters and their Background ...................................................................................................................................................... 116
Related Party Transactions .............................................................................................................................................................. 119
Dividend Policy ................................................................................................................................................................................... 120
SECTION V: FINANCIAL INFORMATION
Auditor’s Report ................................................................................................................................................................................. 121
Ventures/Other Concerns Promoted by Promoters/ Promoter Group Companies ...................................................................... 138
Management’s Discussion and Analysis of Financial condition and Results of Operations ........................................................ 145
SECTION VI: LEGAL AND OTHER INFORMATION
Outstanding Litigations / Disputes/ Defaults .................................................................................................................................... 154
Material Developments ...................................................................................................................................................................... 161
Government Approvals ..................................................................................................................................................................... 162
SECTION VII OTHER REGULATORY AND STATUTORY DISCLOSURES ............................................................................. 164
SECTION VIII ISSUE RELATED INFORMATION
Terms of the Issue ............................................................................................................................................................................. 173
Issue Structure .................................................................................................................................................................................. 176
Issue Procedure ................................................................................................................................................................................ 179
SECTION IX: DESCRIPTION OF EQUITY SHARES AND TERMS OF THE ARTICLES OF ASSOCIATION ...................... 206
SECTION X OTHER INFORMATION
Material Contracts and Documents for Inspection .......................................................................................................................... 220
Declaration ......................................................................................................................................................................................... 222
SECTION I: DEFINITIONS AND ABBREVIATIONS
DEFINITIONS

Terms Description
“Alkali Metals” or “Company” or Unless the context otherwise requires, refers to Alkali Metals
“the Company” Limited, a Public Limited Company incorporated under the
Companies Act, 1956.
Promoters Unless the context otherwise requires, refers to Dr. Y. V. S. Murty
and Mr. Y. S. R. Venkata Rao
Promoters Group Mrs. Y.V. Lalitha Devi, Mrs. Y. Krishna Veni, Mr. Y.V. Prashanth,
Ms. Y. Lalithya Poorna, M/s. Alkani Telefilms Private Limited, M/s.
Balaji Agro Industries Limited, M/s. Asian Herbex Limited, M/s.
Chem Design Company Private Limited, M/s. Rao-San Infotek
Private Limited, M/s. Vensal Invest Private Limited, M/s. Yerramilli
chemicals Private Limited, M/s. Alkali Metals (USA) Inc. and M/s.
Intech
“Group” or “Group Companies” Unless the context otherwise requires, refers to those companies
mentioned in “Ventures / Other Concerns promoted by Promoters
/ Promoter Group Companies” on page [•] of this Draft Red Herring
Prospectus.

CONVENTIONAL / GENERAL TERMS

Terms Description
Articles/Articles of Association/AOA The Articles of Association of Alkali Metals Limited
Companies Act The Companies Act, 1956, as amended from time to time
Depositories Act The Depositories Act, 1996, as amended from time to time
Depository A depository registered with SEBI under the SEBI (Depositories and
Participant) Regulations, 1996, as amended from time to time
Depository Participant A depository participant as defined under the Depositories Act
Director(s) Director(s) of the Company unless otherwise specified
FEMA Foreign Exchange Management Act, 1999 as amended
Financial Year/FY The period of twelve months ended 31 March of that particular year
FIs Financial Institutions
Indian GAAP Generally Accepted Accounting Practices in India
Memorandum/Memorandum of The Memorandum of Association of the Company
Association/MoA
MF / MFs Mutual Funds
MoU Memorandum of Understanding
NRI/Non-Resident Indian A person resident outside India, as defined under FEMA and who is
a citizen of India or a person of Indian origin, each such term as
defined under the FEM (Deposit) Regulations, 2000, as amended
Non-Resident A person who is not resident in India except NRIs and FIIs
OCB/Overseas Corporate Bodies A company, partnership, society or other corporate body owned
directly or indirectly to the extent of at least 60% by NRIs including
overseas trusts, in which not less than 60% of beneficial interest is
irrevocably held by NRIs, directly or indirectly, as defined under
Foreign Exchange Management (Transfer or Issue of Security by a
Person Resident Outside India) Regulations, 2000, as amended.
OCBs are not permitted to invest in the Issue
Person / Persons Any individual, sole proprietorship, unincorporated association,
unincorporated organization, body corporate, corporation,
company, partnership, limited liability company, joint venture, or
trust or any other entity or organization validly constituted and/or
incorporated in the jurisdiction in which it exists and operates, as
the context requires.
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Terms Description
PIO / Persons of Indian Origin Shall have the same meaning as is ascribed to such term in the
Foreign Exchange Management (Investment in Firm or Proprietary
Concern in India) Regulations, 2000.
RBI Act The Reserve Bank of India Act, 1934, as amended from time to time
RoC Registrar of Companies, AP situated at 2nd Floor, Kendriya Sadan,
Sultan Bazaar, Hyderabad, AP -500 195
Registered Office of the Company B-5, Block III, Industrial Development Area, Uppal,
Hyderabad-500 039, AP, India.
SCRA Securities Contracts (Regulation) Act, 1956 and subsequent
amendments thereto.
SCRR Securities Contract (Regulation) Rules, 1957 as amended from time
time.
SEBI Securities and Exchange Board of India.
SEBI Act Securities and Exchange Board of India constituted under the SEBI
Act, 1992, as amended from time to time.
SEBI Guidelines/SEBI (DIP) SEBI (Disclosure and Investor Protection) Guidelines, 2000 as
Guidelines amended, including instructions and clarifications issued by SEBI
from time to time
SEBI (Insider Trading) Regulations SEBI (Prohibition of Insider Trading)Regulations, 1992, as amended
from time to time, including instructions and clarifications issued
by SEBI from time to time
SEBI (MAPIN) Regulations SEBI (Central Database of Market Participants) Regulations, 2003
as amended from time to time
SEBI (SAST) Regulations Securities and Exchange Board of India (Substantial Acquisition of
Shares and Takeover) Regulations, 1997 and subsequent
amendments thereto.

ISSUE RELATED TERMS

Terms Description
Allotment/Allotment of Equity Unless the context otherwise requires, issue of Equity Shares
Shares pursuant to this Issue
Allottee The successful Bidder to whom the Equity Shares are being
allotted
Application Form The form in terms of which the investor shall apply for the Equity
Shares of the Company
Banker (s) to the Issue [●]
Bid An indication to make an offer made during the Bidding Period by
a prospective investor to subscribe to the Company’s Equity
Shares at a price within the Price Band, including all revisions
and modifications thereto
Bid Price / Bid amount The highest value of the optional Bids indicated in the Bid cum
Application Form and payable by the Bidder on submission of the
Bid in the Issue
Bid closing date / issue closing date The date after which the Syndicate will not accept any Bids for
the Issue, which shall be notified in an English national
newspaper, a Hindi national newspaper and a Telugu newspaper
with wide circulation.
Bid opening date / issue opening The date on which the Syndicate shall start accepting Bids for the
date Issue, which shall be the date notified in an English national
newspaper, a Hindi national newspaper and a Telugu newspaper
with wide circulation.
Bid cum application form The form in terms of which the Bidder shall make an offer to
subscribe to the Equity Shares of the Company and which will be
considered as the application for issue of the Equity Shares
pursuant to the terms of this Draft Red Herring Prospectus
Bidder Any prospective investor who makes a Bid pursuant to the terms

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of this Draft Red Herring Prospectus and the Bid cum Application
Form
Bidding period / issue period The period between the Bid Opening Date/Issue Opening Date
and the Bid Closing Date/Issue Closing Date inclusive of both
days and during which prospective Bidders can submit their Bids
Book building process Book building route as provided under Chapter XI of the SEBI
Guidelines, in terms of which the Issue is being made
BRLM / Book Running Lead Book Running Lead Manager to the Issue, in this case being
Manager Religare Securities Limited
CAN / Confirmation of Allocation Means the note or advice or intimation of allocation of Equity
Note Shares sent to the Bidders who have been allocated Equity
Shares after discovery of the Issue Price in accordance with the
Book Building Process
Cap Price The higher end of the Price Band, above which the Issue Price will
not be finalized and above which no Bids will be accepted
Cut off Price Any price within the Price Band finalised by the Company in
consultation with the BRLM. A Bid submitted at Cut-off Price is a
valid Bid at all price levels within the Price Band
Designated date The date on which funds are transferred from the Escrow
Account(s) of the Escrow Collection Bankers to the Issue Account
after the Prospectus is filed with the RoC, following which the
Board shall allot Equity Shares to successful Bidders
Designated Stock Exchange BSE
DRHP / Draft Red Herring This Draft Red Herring Prospectus issued in accordance with
Prospectus. Section 60B of the Companies Act, which does not have complete
particulars on the price at which the Equity Shares are offered
and size of the Issue. It carries the same obligations as are
applicable in case of a Prospectus and will be filed with RoC at
least three days before the Bid/Issue Opening Date. It will
become a Prospectus after filing with RoC after the pricing.
Equity Shares Equity shares of the Company of Rs. 10/- each unless otherwise
specified in the context thereof
Escrow Account Account opened with an Escrow Collection Bank and in whose
favour the Bidder will issue cheques or drafts in respect of the Bid
Amount and from which refunds (if any) shall be made of the
amount collected by the Bidders
Escrow Agreement Agreement to be entered into amongst the Company, the Registrar
to this Issue, the Escrow Collection Banks, the BRLMs and the
Refund Banker in relation to the collection of the Bid Amounts
and dispatch of the refunds (if any) of the amounts collected, to
the Bidders.
Escrow Collection Bank (s) The banks, which are clearing members and registered with SEBI
as Bankers to the Issue, at which the Escrow Account will be
opened
First Bidder The Bidder whose name appears first in the Bid cum Application
Form or Revision Form
Floor price The lower end of the Price Band, below which the Issue Price will
not be finalised and below which no Bids will be accepted
Issue The Issue of 3,846,100 Equity Shares of Rs. 10/- at the Issue
Price of Rs. [•] aggregating Rs. [•] Million.
Issue account Account opened with the Banker(s) to the Issue to receive monies
from the Escrow Accounts for the Issue on the Designated Date
Issue price The final price at which Equity Shares will be issued and allotted
in terms of this Draft Red Herring Prospectus, as determined by
The Company in consultation with the BRLM, on the Pricing Date
Margin amount The amount paid by the Bidder at the time of submission of the
Bid, which may range between 10% to 100% of the Bid Amount

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Mutual Funds Means mutual fund registered with SEBI pursuant to the SEBI
(Mutual Funds) Regulations, 1996, as amended from time to time.
Mutual Funds portion Upto 5% of the QIB Portion or 96,152 Equity Shares available for
allocation to Mutual Funds only, out of the QIB Portion.
Non Institutional Bidders All Bidders that are not QIBs or Retail Individual Bidders and
who have Bid for Equity Shares for an amount more than Rs.
1,00,000/-
Non – Institutional Portion The portion of the Issue being a minimum of 5,76,915 Equity
Shares of Rs. 10/- each available for allocation to Non-
Institutional Bidders
Pay in date The last date specified in the CAN sent to the Bidders
Pay in period This term means:
(i) With respect to Bidders whose Margin Amount is 100% of the
Bid Amount, the period commencing on the Bid Opening Date
and extending until the Bid Closing Date, and
(ii) With respect to Bidders whose Margin Amount is less than
100% of the Bid Amount, the period commencing on the Bid
Opening Date and extending until the closure of the Pay-in Date.
Price band The price band with a minimum price (Floor Price) of Rs. [•] and
the maximum price (Cap Price) of Rs. [•], including any revisions
thereof
Pricing date The date on which the Company in consultation with the BRLM
finalises the Issue Price
Prospectus The Prospectus, to be filed with the RoC containing, inter alia, the
Issue Price that is determined at the end of the book building
process, the size of the Issue and certain other information
QIB portion The portion of the Issue being 19,23,050 Equity Shares of Rs.
10/- each at the Issue Price, available for allocation to QIBs on
proportional allotment basis of which upto 5% i.e. 96,152 Equity
Shares are reserved for Mutual Funds and the balance will be
available for all QIBs including Mutual Funds.
Qualified Institutional Buyers / QIBs Public financial institutions as defined in Section 4A of the
Companies Act, Scheduled Commercial Banks, Mutual Funds
registered with SEBI, Foreign Institutional Investors registered
with SEBI, Multilateral And Bilateral Development Financial
Institutions, Venture Capital Funds registered with SEBI, Foreign
Venture Capital Investors registered with SEBI, State Industrial
Development Corporations, Insurance Companies registered with
the Insurance Regulatory and Development Authority (IRDA),
Provident Funds with a minimum corpus of Rs. 250 Mn and
Pension Funds with a minimum corpus of Rs. 250 Mn.
QIB margin amount An amount representing at least 10% of the Bid Amount
Refund Banker Shall mean the Escrow Collection Bank who has been appointed
/ designated for the purpose of refunding the amount to investors
either through the electronic mode as prescribed by SEBI and /or
physical mode where payment through electronic mode may not
be feasible, in this case being [•]
Refund account Account opened with the Escrow Collection Bank, from which
refunds of the whole or part of the Bid Amount, if any, shall be
made
Registrar/Registrar to the Issue Cameo Corporate Services Limited
Retail Individual Bidders Individual Bidders (including HUFs and NRIs) who have Bid for
Equity Shares for an amount less than or equal to Rs. 1,00,000 in
any of the bidding options in the Issue
Retail portion The portion of the Issue to the public and being a minimum of
13,46,135 Equity Shares of Rs. 10/- each aggregating Rs. [•]
available for allocation to Retail Individual Bidder(s)
Revision form The form used by the Bidders to modify the quantity of Equity

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Shares or the Bid Price in any of their Bid cum Application Forms
or any previous Revision Form(s).
RHP or Red Herring Prospectus Means the document issued in accordance with the SEBI
Guidelines, which does not have complete particulars on the price
at which the Equity Shares are offered and the size of the Issue.
The Red Herring Prospectus which will be filed with the RoC at
least three days before the Bid Opening Date and will become a
Prospectus after filing with the RoC and pursuant to pricing and
allocation.
Stock Exchanges Bombay Stock Exchange Limited & National Stock Exchange of
India Limited
Syndicate The BRLM and the Syndicate Members collectively
Syndicate Agreement The agreement to be entered into among the Company and the
members of the Syndicate, in relation to the collection of Bids in
this Issue
Syndicate members Intermediaries registered with SEBI and eligible to act as
underwriters. Syndicate Members are appointed by the BRLM
TRS or Transaction Registration Slip The slip or document issued by the Syndicate Members to the
Bidder as proof of registration of the Bid.
Underwriters The BRLM and the Syndicate Members
Underwriting agreement The Agreement among the BRLM, the Syndicate Members and the
Company to be entered into on or after the Pricing Date

COMPANY/INDUSTRY RELATED TERMS

Term Description/Ful Form
Auditors The Statutory Auditors of the Company, being M/s. Avadhani &
Co., Chartered Accountants.
AIDS Acquired Immuno Deficiency Syndrome
BDMA Bulk Drug Manufacturer’s Association
Board of Directors/Board The Board of Directors of the Company or a Committee
API Active Pharmaceutical Ingredients
APIIC Andhra Pradesh Industrial Infrastructure Corporation Limited
CHEMEXCIL Basic Chemicals, Pharmaceuticals and Cosmetics Export
promotion Council
cGMP Current Good Manufacturing Practices
CPG Chloro Phenyl Glycine
CPHI Chemicals & Pharmaceuticals Ingredients
DA Dichloro Diphenyl Amine
DIBOC Di Tertiary Dibutyl Carbonate
CENVAT Central Value Added Tax
CII Confederation of Indian Industry
CSIR Council for Scientific and Industrial Research
EMME Ethoxy Methyl Malonic Ester
EPCES Export Promotion Council For EOU & SEZ Units.
GATT General Agreement on Tariffs and Trade
GC Gas Chromatography
FAPCCI Federation of Andhra Pradesh Chambers of Commerce & Industry
FDA Food & Drug Administration
HIV Human Immunodeficiency Virus
HMDS Hexa Methyl Disilazane
HP Horse Power
HPLC High Performance Liquid Chromatography
IBEF Indian Brand Equity Foundation
IR Infra Red
IICT Indian Institute of Chemical Technology
KVA Kilo Volt Ampere

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KW Kilo Wat
PCB Pollution Control Board
PCT Patent Coperation Treaty
PHARMEXCIL Pharmaceutical Export Promotion Council
NCL National Chemical laboratory
NEITCO North Eastern Industrial & Technical Consultancy Organization
NoC No Objection Certificate
NPPA National Pharmaceuticals Pricing Authority
NSAID Non Steroidal Anti – Inflammatory
OHSMS Occupational Health and Safety Management Systems
RRL Regional Research Laboratories
SSI Small Scale Industry
SFC Act State Financial Corporation Act
TEV Techno Economic Viability
TIFAC Technology Information Forecasting & Assessment Council
TLC Thin Layer Chromatography
TRIP Trade Related Aspects Intellectual Property Rights
WHO World Health Organisation
WIPO World Intellectual Property Organisation

ABBREVIATIONS

Abreviation Ful Form
AGM Anual General Meting
AP Andhra Pradesh
APITCO Andhra Pradesh Industrial Technical Consultancy Organisation,
set up by IDBI, ICICI, IFCI, APIDC, APSFC, SBI, Andhra Bank,
Syndicate Bank and Indian Bank.
APIDC Andhra Pradesh Industrial Development Corporation Limited
AS Accounting Standards issued by the Institute of Chartered
Accountants of India
AY Asesment Year
BSE Bombay Stock Exchange Limited
CAGR Compounded Annual Growth Rate
CDSL Central Depository Services (India) Limited
CEO Chief Executive Oficer
CFO Chief Financial Officer
CIN Company Identification Number
DGFT Director General of Foreign Trade
DP Depository Participant
ECS Electronic Clearing System
EGM Extraordinary General Meeting
EOU Export Oriented Unit
EPS Earnings Per Share
EU European Union
FCNR Account Foreign Currency Non Resident Account
FEMA Foreign Exchange Management Act, 1999, as amended from time
to time and the rules and regulations issued thereunder for the
time being in force.
FII Foreign Institutional Investor (as defined under SEBI (Foreign
Institutional Investors) Regulations, 1995, as amended from time
to time) registered with SEBI under applicable laws in India
FIPB Foreign Investment Promotion Board
FVCI Foreign Venture Capital Investor registered with SEBI under the
SEBI (Foreign Venture Capital Investor) Regulations, 2000
GDP Gros Domestic Product
GIR Number General Index Registry Number

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Abreviation Ful Form
GoI Government of India
HUF Hindu Undivided Family
IEC Importer Exporter Code
IPO Initial Public Offering
I.T. Act The Income Tax Act, 1961, as amended from time to time
I.T. Rules The Income Tax Rules, 1962, as amended from time to time
ISO International Standard Organization
MICR Magnetic Ink Character Recognition
MNC Multi National Company
Mn./Mn Milion
NAV Net Asset Value
NRE Account Non-Resident External Account
NRO Account Non Resident Ordinary Account
NSDL National Securities Depository Limited
NSE The National Stock Exchange of India Limited
NEFT National Electronic Fund Transfer
PAN Permanent Account Number
PAT Profits After Taxation
PBT Profits Before Taxation
P/E Ratio Price/Earnings Ratio
PLR Prime Lending Rate
RBI Reserve Bank of India
RONW Return on Net Worth
Rs./ Rupees/ INR Indian Rupees
R&D Research and Development
RTGS Real Time Gross Settlement
TAN Tax Deduction Account Number
UIN Unique Identification Number issued in terms of SEBI (Central
Database of Market Participants) Regulations, 2003, as amended
from time to time
UK United Kingdom
US United States of America
USD or $ or US $ United States Dollar
VAT Value Added Tax

Full Names of the Promoters and Directors

1 Mrs.Y.V.Lalitha Devi Mrs. Yerramilli Venkata Lalitha Devi
2 Dr. Y.V.S. Murty Yerramilli Venkata Subramanya Satyanarayana Murty
3 Mr.Y.S.R.Venkata Rao Yerramilli Srirama Venkata Rao
4 Mrs.Y.Krishna Veni Yerramilli Krishna Veni
5 Mr.CH.S.Prasad Chirala Sriram Prasad
6 Mr.P.C. Patnaik Prakash Chandra Patnaik
7 Mr.G. Jayaraman Ganapati Jayaraman

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SECTION II: RISK FACTORS
PRESENTATION OF FINANCIAL, MARKET DATA AND CURRENCY OF PRESENTATION

Financial Data

Unless stated otherwise, the financial data in this DRHP is derived from the financial statements of
the Company prepared in accordance with Indian GAAP, beginning on page [•] of this DRHP. The
Company’s fiscal year commences on 1 April and ends on 31 March. In this DRHP, any
discrepancies in any table between the total and the sums of the amounts listed are due to rounding
off.

The degree to which the Indian GAAP financial statements included in this DRHP will provide
meaningful information is entirely dependent on the reader’s level of familiarity with Indian
accounting practices. Any reliance by Persons not familiar with Indian accounting practices on the
financial disclosures presented in this DRHP should accordingly be limited. The Company has not
attempted to explain those differences or quantify their impact on the financial data included herein,
and investors are urged to consult their own advisors regarding such differences and their impact on
the financial data.

For additional definitions, please see the section titled “Definitions and Abbreviations” on page no. [•]
of this DRHP. In the section titled “Description of equity shares and terms of the Articles of
Association” on page no. [•] of this DRHP, defined terms have the meaning given to such terms in the
Articles of Association of the Company.

Market Data

Unless stated otherwise, industry data and the market data used throughout this DRHP have been
obtained from internal company reports and industry publications and other industry sources.
Industry publications generally state that the information contained in those publications has been
obtained from sources believed to be reliable but that their accuracy and completeness are not
guaranteed and their reliability cannot be assured. Although the Company believes that industry
data used in this DRHP is reliable, it has not been independently verified.

Currency of Presentation

In this DRHP, unless the context otherwise requires, all references to the word “Lacs” or “Lac”,
means “One hundred thousand” and the word “million” means “Ten Lacs” and the word “Crore”
means “ten million” and the word “billion” means “One thousand million and the word “trillion”
means “One thousand billion”. In this DRHP, any discrepancies in any table between total and the
sum of the amounts listed are due to rounding off.

Throughout this Draft Red Herring Prospectus, all the figures have been expressed in Millions
(Mn.) of Rupees, except when stated otherwise. All references to “Rupees” and “Rs.” in this
Draft Red Herring Prospectus are to the legal currency of India.

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