ASIAN STAR COMPANY LIMITED

CORPORATE PRESENTATION

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Contents

Company SnapshotCorporate ObjectivesCorporate CredentialsManagement ProfileStrengthsGlobal PresenceKey Success Factors

Manufacturing – Loose Polished Manufacturing – Diamond JewelleryRetailing & DistributionProcess Quality Norms

The Company

Industry Overview

Operations

Financials

The Company

Company Snapshot

ORIGINS

BUSINESS

HIGHLIGHTS

• Set up as a partnership firm in 1971• Became a public limited company in 1995 and listedon Bombay Stock Exchange in 1996

• Diamond Cutting and Polishing• Diamond Jewellery Manufacturing and Marketing• Retailing 

• Leading supply partners for loose polished & jewellery to some of the leading brands and retail chains across the globe

• More than 75% of the company’s turnover isgenerated from the  overseas markets

Corporate Objectives

VTo be a world‐class diamantaire enjoying sustainable growth; to maximise the potential of our core competencies & add long‐term value to the diamond pipeline.ISIONISSION

We will live each day our passion for innovation & excellence, to create highly desirable diamonds & experiences that surpass our customers’ expectations.MVIntegrity    Partnership   Excellence   Responsibility   UnityALUES

Corporate CredentialsRanked 375th among the corporates in Dun & Bradstreet’s  2012 edition 

of “India’s Top 500 Companies”

Has the prestigious status of being a DTC Sightholder

Certified  Member of RJC (Responsible Jewellery Council)

Has ISO 9001:2008 certification from TUV NORD, Germany

‘A2+’ rating by CARE – Credit Analysis & Research Ltd

No. 1 Exporter Award by GJEPC for 4 consecutive years since 2001

Has the prestigious Star Trading House Status

Management Profile

• Mr. Dinesh Shah – Chairman

• Mr. Vipul Shah – CEO & Managing Director

• Mr. Dharmesh Shah – CFO & Jt. Managing Director

• Mr. Arvind Shah – Executive Director

• Mr. Priyanshu Shah – Executive Director

Strengths

Centralized MIS control of global operations

Strong financial base supporting future growth plans

Detailed market knowledge through strong marketing network

Strong human asset base with 2150 skilled and professional employees

20 marketing arms in major diamond consuming cities globally

World‐class infrastructure for diamond processing

Dedicated Jewellery Manufacturing units

Global Presence

20 Marketing Arms in major diamond consuming cities globally.

Key Success Factors delivering competitive advantage

• Vertically integrated business model to make commercial propositionsound and synergistic.

• World‐class  infrastructure base for diamond processing & jewellery manufacturing. 

• Widespread marketing network to provide instant access to new potential markets.

• Consistency of the ‘Asian Star make’ and reputation as a one‐stop‐shop in the trading circles.

• Focused R&D to consistently deliver specialised cuts for diamonds and innovations in jewellery.

• Excellent design team based in India, the USA & Hong Kong.

• Experienced managementwith significant expertise and repute in the Diamond & Jewellery business.

http://www.mapsofindia.com/worldmap/world-map.gifhttp://images.google.co.in/imgres?imgurl=http://www.smh.com.au/ffximage/2007/02/03/diamond_wideweb__470x323,0.jpg&imgrefurl=http://www.smh.com.au/news/national/no-blood-on-our-diamonds/2007/02/03/1169919577888.html&h=323&w=470&sz=27&hl=en&start=130&um=1&tbnid=Fw3MYoFNxNKf8M:&tbnh=89&tbnw=129&prev=/images%3Fq%3Dcustomer%252B%2Bjewellery%26start%3D120%26ndsp%3D20%26um%3D1%26hl%3Den%26sa%3DNhttp://images.google.co.in/imgres?imgurl=http://www.jaubalet-paris.com/Upload/PhotoCMS/Dessin_Photo5.jpg&imgrefurl=http://www.jaubalet-paris.com/jeweler_28_43.html&h=400&w=400&sz=64&hl=en&start=275&um=1&tbnid=S9COA_sZ2VvmkM:&tbnh=124&tbnw=124&prev=/images%3Fq%3Dcustomer%252B%2Bjewellery%2Bpurchase%26start%3D260%26ndsp%3D20%26um%3D1%26hl%3Den%26sa%3DN

Operations

Operations across the entire value chain

Rough procurement from multiple sources

Diamond cutting & polishing ‐ Unitin Surat, India

Loose Polished Distribution– Global (B2B)

Loose Polished in Jewellery manufacturing‐ Units in Mumbai &

Hosur, India

Diamond Jewellery Distribution– Global (B2B)

Diamond Jewellery Retailing– in India

Manufacturing facility- Loose Polished

• World‐class infrastructure at Surat, measuring 65,000 square feet.

• Production capacity per annum of over  USD 270  million.

• 1000 + skilled workers.

• Product range – Fine makes in round brilliant in all colours & clarities upto 3 carats, Proprietary cuts & Generic fancy shapes.

Manufacturing facilities - Jewellery

• Production capacity of  750,000 pieces per  annum.

• Factory premises of 50,000 square feet at Mumbai & Hosur.

• Expertise in mass produced machine‐made jewellery & hand‐made couture jewellery.

• In‐house designers & product developmentteam for key markets & clients. 

• Cater to major retailers and retail chains in the domestic and international jewellery markets.

PRODUCTS

AWARD

WI N N I NG

DESIGNS

Get Unwired

For All Seasons

Flowers of Paradise

Dancing Flame

Retailing

Our couture diamond boutique, ex‐factoryMumbai, caters exclusively to HNIcustomers.Besides offering a wide range of prêtdiamond jewellery, we also undertakecustomised orders with jewellery designconsultations for special occasions.

EX‐FACTORY  MUMBAI

Distribution

Widespread marketing network present in

major diamond consuming cities globally.

Jewellery manufacturers, independent retailers and large retailchains constitute a major chunk of our customer base, with an increasing focus on large retailers to drive growth & value.

Well balanced demand for our productsacross regions.

Process Quality Norms

Stringent quality norms in conformance withISO 9001: 2008, certified by TUV NORD

Committed to theKimberly Process

(a UN mandated system)RJC

Certified MemberDe Beers

(Best Practice Principles)

The DTC Sightholder logo is a trade mark used under licence from the De Beers Group

Industry OverviewGems & Jewellery

Industry Overview - Global

• Diamond – studded jewellery is the   largest segment of the global jewellery market (approx USD 200 bn) at USD 72.1 billion in 2012.

• Sale of diamond jewellery is concentrated in key world markets, the US being the world’s largest market (USD 27.4 bn in 2012).

• India and China are also rapidly emerging as the key manufacturing and consumption markets of diamond jewellery.

• China, India and Japan together (Asian market) will be a larger diamond consumer market than the United States by 2016. 

• The European market will continue to experience sluggish growth. 

Distribution of Diamond Jewellery Industry (2012)

Industry Overview –Indian Industry

• Gems & Jewellery accounted for 17% of the total exports from India in 2012‐13

• India is world’s highest exporter of loose polished in value terms (USD 17.4 bn in 2012‐13).

• India has become the fastest growing jewellery manufacturer in the world and in 2012‐13, jewellery exports stood at USD 13 bn, a growth of 33% over last year.

• India is gaining prominence as an international sourcing destination for high quality designer jewellery.

• Retail sales of diamond jewellery in India touched USD 8.65 bn in 2012, with the second highest value of diamond content (after USA).

Value of Polished Diamonds from local production (2012)

Financials

Financial Performance-consolidated

Revenue Break Up

Total Revenue

Diamonds Jewellery

Financial Performance-consolidated

EPS*

EBIDTA PAT

(*Normalised on account of issue of Bonus Sharesin the ratio of 1:2 in FY 2012‐13).

Financial Performance-consolidated

P/E

DEBT EQUITY RATIO

BOOK VALUE*

(*Normalised on account of issue of BonusShares in the ratio of 1:2 in FY 2012‐13).

Disclaimer

This investor presentation has been prepared by Asian Star Co. Ltd. (“Asian Star”) and does not constitute aprospectus or placement memorandum or an offer to acquire any securities. This presentation or any otherdocumentation or information (or any part thereof) delivered or supplied should not be deemed to constitutean offer. No representation or warranty, express or implied is made as to, and no reliance should be placedon, the fairness, accuracy, completeness or correctness of such information or opinions containedherein. The information contained in this presentation is only current as of its date.Certain statements made in this presentation may not be based on historical information or facts and may be“forward looking statements”, including those relating to the general business plans and strategy of AsianStar, its future financial condition and growth prospects, future developments in its industry and itscompetitive and regulatory environment, and statements which contain words or phrases such as ‘will’,‘expected to’, ‘horizons of growth’, ‘strong growth prospects’, etc., or similar expressions or variationsof such expressions. These forward‐looking statements involve a number of risks, uncertainties and otherfactors that could cause actual results, opportunities and growth potential to differ materially from thosesuggested by the forward‐looking statements. These risks and uncertainties include, but are not limited torisks with respect to its Diamond business, its Jewellery business and its Retailing business.Asian Star may alter, modify or otherwise change in any manner the content of this presentation, withoutobligation to notify any person of such revision or changes. This presentation cannot be copied anddisseminated in any manner. No person is authorized to give any information or to make anyrepresentation not contained in and not consistent with this presentation and, if given or made, suchinformation or representation must not be relied upon as having been authorized by or on behalf of AsianStar. This presentation is strictly confidential.

www.asianstargroup.com

Slide Number 1Contents The Company � Company Snapshot �Corporate Objectives� Corporate Credentials�Management Profile � Strengths Slide Number 9� � Key Success Factors delivering competitive advantage�Operations� � Operations across the entire value chain � Manufacturing facility- Loose Polished� � Manufacturing facilities - Jewellery�Slide Number 15Slide Number 16�Retailing Distribution � Process Quality Norms��Industry Overview �� Industry Overview - Global �� Industry Overview –Indian Industry�Financials Financial Performance-consolidated Financial Performance-consolidated Financial Performance-consolidated DisclaimerSlide Number 28