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Ooredoo Maldives Investor Presentation 1

Initial Public Offering of Ooredoo Maldives Plc

IPO Opens on April 30, 2017

LEAD FINANCIAL ADVISOR AND MANAGER TO THE OFFER


This Presentation (the “Presentation”) has been prepared by Ooredoo Maldives Plc (“OMPL” or the “Company”) solely for use with

professional or institutional investors. This Presentation is strictly confidential and is furnished to you solely for your information. It

should not be treated as giving investment advice and may not be copied, reproduced, distributed or otherwise made available (in

whole or in part) to any other person (including any member of the press) and it may not be published, in whole or in part, by any

medium for any purpose. No specific investment objectives, financial situation or particular needs of any recipient have been taken into

consideration in connection with the preparation of this Presentation.

The information contained in this presentation has not been independently verified. No representation or warranty, express or implied, is

made as to, and no reliance should be placed on, the fairness, accuracy, completeness or correctness of the information or opinions

contained in this Presentation. None of the Company, its advisors or any of their respective representatives or affiliates undertakes to

update, complete, revise or amend the information contained in this Presentation subsequent to the date hereof. Furthermore, none of

the Company, its advisors or any of their respective representatives or affiliates shall have any liability whatsoever (in negligence or

otherwise) for any loss, whether direct or indirect, howsoever arising from any use of this Presentation or its contents or otherwise

arising in connection with this Presentation.

This Presentation contains certain “forward-looking statements” that speak only as of the date of this Presentation. Such statements are

made on the basis of assumptions and expectations that the Company currently believes are reasonable, but could in the future prove

to be wrong. All forward-looking statements are subject to risks, uncertainties and assumptions that could cause actual outcomes to

differ materially from those contemplated by the relevant forward-looking statement. Important factors that could cause actual results to

differ materially from the Company assumptions and expectations include, among others: The Company’s ability to manage domestic

and international growth and maintain a high level of customer service; future sales growth; market acceptance of the Company product

and service offerings; the Company’s ability to secure adequate financing or equity capital to fund its operations; network expansion;

performance of the Company network and equipment; cooperation of incumbent local exchange carriers in provisioning lines and

interconnecting the Company’s equipment; regulatory approval processes; changes in technology; price competition and other market

conditions and associated political risks. The risks referred to above are morefully described in Section 12 of the IPO Prospectus.

This Presentation does not constitute an offering of securities or otherwise constitute an invitation or inducement to any person to

underwrite, subscribe for or otherwise acquire or dispose of securities in the Company.

By accepting this Presentation the recipient agrees to be bound by the foregoing limitations.

Disclaimer


1. The Offer

2. The Company

3. Outlook for the Market and the Company

4. Key Assumptions and Financial Forecasts

5. Valuation

6. Subscription Process

7. Annexures

8. Abbreviations

Contents


Ooredoo Maldives - A Compelling Investment OpportunityProspective dividend yield of 10.9% for 2017F based on forecasts and IPO Offer Price

Favourable Macro

and Industry

Dynamics

The Maldivian economy has projected GDP growth of 3.9% in 2017 (as per IMF projections)

Telecommunications industry is given impetus under Digital Maldives initiative

Ubiquitous connectivity to drive growth in content consumption, IoT (“Internet of Things”) adoption

and enterprise solutions

Focused Growth

Strategies

Dynamic market for mobile data consumption growth due to enhanced 4G+ connectivity across the

archipelago enabled by the Nationwide Submarine Cable (“NaSCOM”)

Postpaid customer acquisitions due to Mobile Number Portability (“MNP”)

Fixed Broadband growth from domestic and enterprise segments

Company

Performance and

Healthy Margins

Proven track record: 2013-16 CAGR of 31.9% and 16.8% in revenue and total customer base

30 ppt increase in EBITDA margins over last 4 years to reach 50.4% in 2016, driven by topline

growth and supported by cost optimsation

Driven by approx. USD 194 Mn in network infrastructure investments (2006 to date)

Strong

Management

Team &

Shareholder

Support

Highly experienced management team with blend of expatriate and local talent

Ooredoo Group has operations in 10 countries spanning MENA and South East Asia with a total

customer base of over 138 Mn

Significant synergetic benefits via group procurement and finance policies

High Dividend

Yield with

Potential for

Further Growth

Increasing profitability and lower capex requirements after high build out levels to support higher free

cash flow (“FCF”) generation

Higher FCF available for distribution with OMPL expected to maintain a high dividend payout ratio in

line with dividends declared for FY 2016 (payout ratio of 85%)

Potential for shareholders to earn attractive returns via increasing dividend yields and potential

capital gains


Offer Summary

Type of Security Ordinary Voting Shares

Number of Shares Offered

59,120,160 Ordinary Shares, which represents 40% of the Issued Ordinary Shares.

The Offeror will start by offering 22,170,060 Ordinary Shares, which represents 15% of the

Issued Ordinary Shares. In the event of an oversubscription, the Offeror will meet any

additional demand up to a maximum of the offered 59,120,160 shares

Share Offer Price MVR 30.00

Share Offer Amount Maximum of MVR 1,773,604,800

Purpose of the OfferComply with the listing requirement stipulated on the Company’s License by

Communications Authority of Maldives (“CAM”)

Offer Opening Date April 30, 2017

Offer Closing Date May 28, 2017*

Secondary Market Trading August 07, 2017*

Shareholder

Pre-Offer Post-Initial Offer Post-Total Offer

Number of Shares % Number of Shares % Number of Shares %

Existing Shareholders 147,800,401 100.0 125,630,341 85.0 88,680,241 60.0

New Investors - - 22,170,060 15.0 59,120,160 40.0

Total 147,800,401 100.0 147,800,401 100.0 147,800,401 100.0

* Note: These dates are subject to change if the 1st day of Ramadan falls on a day that is a weekday in the Maldives


1. The Offer

2. The Company



5. Valuation


7. Annexures

8. Abbreviations

Contents


Trailblazer in Maldives Telecommunications Industry

Inauguration of Nationwide

Submarine Cable

Mobile infill

solutions to

improve street

level coverage

1st in South Asia

Wireless

Broadband

2005

Entry into the market

as Wataniya International

2006

International subsea cable by WARF

Telecom International Private Limited

2008

2009

2013

Rebranded as Ooredoo

2014

Tested LTE

advanced

successfully

2015

2016

Mobile Number Portability

and m-Faisaa (mobile

money)

Launch of Fixed

Broadband

Introductory Listing on the

Maldives Stock Exchange

5 year CAGRs of 25% and

23% in revenue and total

customer base between 2011

and 2016


Supported by Ooredoo GroupOne of the fastest growing Telco groups with presence in MENA and South-East Asia

CAGR

22%

17%

53%

21%

Revenue

EBITDA

Customers

Employees

Markets

USD 1.2 Bn

USD 726 Mn

< 2 Mn

2,200

2

2006

USD 8.9 Bn

USD 3.6 Bn

> 138 Mn

16,000

10

2016Growth


4G in 8 markets out of 10 markets

40% of Revenue from Data

Majority Ownership by State of Qatar

Ultimate Holding Company (Ooredoo Q.S.C.) listed on

QSE, ADX and LSE

Brand equity of USD 3.1 Bn*

Investment Grade Rating of A+ / A2 / A- by Fitch /

Moody’s / S&P

Ooredoo Group, an International Telco with a Focus on Data Leadership

* Source: “Telecoms 500 2017” by Brand Finance


Fully-fledged Communications Service Operator

Mobile Fixed Content Services Enterprise Solutions Financial Services

Localised services to suit the needs of the Maldivian market

Innovative solutions and in-house product development

Unlimited

on-net

calling &

SMS

Targeted

data packs

for social

media

Internet

leased

Lines

Ooredoo

Locate -

Real time

GPS

Tracking

Cloud

services

and hosted

services

Utility &

Merchant

Bill

Payments

Mobile

Money

Transfer

(m-Faisaa)


Unparalleled Customer Experience with Over 3,000 Touch-points

Comprehensive

Distribution

Network

10 Ooredoo Experience Centers

93 Sales Partners

27 Business Partners

Over 3,000 customer touch-points

Catering to

Evolving

Consumer

Trends

My Ooredoo App, a first in the Maldives

Mobile financial services

Data warehouse solution with enhanced analytical tools

Committed to

Serve

Customers

24x7 customer care call center with back up facility in Hulhumalé

Self-service via kiosks across the country

Self-service Interactive Voice Response

Live chat option

New submarine cable connecting island communities

Unique Loyalty

Program

Ooredoo Vedhun Loyalty Program to reward long standing customers

Club Premier Loyalty Program for postpaid customers


Investment of USD 194 Mn into Cutting Edge Technology

4G/LTE – 99%

Population Coverage

Improved street level

coverage via mobile infill

solutions

Significant investments

on international and

domestic bandwidth

Transformation to digital

customer experience

NaSCOM, spanning 1,200 km with a 1.6 TB capacity, has expanded 4G+ network across the country

• Landmark projects such as NaSCOM and International Subsea Cable

• Nationwide 4G+ network coverage across the archipelago

• Digital experience for customers

NaSCOM


High Calibre Executive Leadership (1/3)

Mr. Vikram Sinha Managing Director / Executive Director

Mr. Najib KhanChief Executive Officer / Executive Director

Mr. Ramanathan Sivakumar Chief Financial Officer / Executive Director

>17 years in telecom, media and

FMCG

Served as CEO of Ooredoo

Maldives from April 2014 to April

2017. Former Managing Director

of Airtel Seychelles and COO at

Airtel Brazzaville, Congo

Holds a Bachelor of Business

Management (Marketing) degree

and an MBA

>25 years in telecom with

expertise in managing Enterprise,

Wholesale and B2C commercial

activities

Former Senior Director –

Commercial at Ooredoo Group

and CXO at Bharti Airtel India

Holds a Bachelor of Science in

Industrial Electronics Engineering

from Mumbai University

>25 years in telecom and

manufacturing

Former Financial Controller of

Ooredoo Kuwait

A Commerce Graduate from the

University of Madras, India and a

Fellow Chartered Accountant

from the Institute of Chartered

Accountants of India



Mr. M. S. TanwarChief Technology Officer

Mr. Balaji SrinivasanChief Commercial Officer

Mr. Mohamed ShahidDirector – HR and Administration

>25 years in telecom

Expertise in R&D, network

engineering, projects, operations

and business development

Holds a Bachelor’s degree in

Electronics and Communications

Engineering and an MBA in

Operations Management

>23 years

of commercial experience

Former Director of Marketing and

Customer Experience at Essar

Telecom Kenya and VP –

Marketing at IDEA Cellular

Holds a Bachelor of Commerce

Degree

>14 years

of industry experience

Managed the Operations,

Training and HR departments at

MNDF

Holds an MBA with a major in

Entrepreneurship



Mr. Sunil MishraHead of Strategy and PMO

Ms. Gulnaz MahirHead of Customer Care

Mr. Hussain NiyazHead of Sales

>12 years

in telecom, manufacturing and

e-commerce

Experienced in business strategy

and planning, ERM and project

management at Airtel, Flipkart and

Toyota

Mechanical Engineering Graduate,

Post-Graduate in Business

Management and Project

Management Professional

>8 years of experience

Prior expertise in Finance and

Commercial fields

Holds a BA Honors and a

Master’s Degree in Economics

and Finance

>23 years in telecom

Held key posts in networks,

network planning and sales

within OMPL

Holds an Executive Masters in

Telecom Management


Consistent growth of customer base Product strategy generating ARPU growth

Outstanding Growth Story Resulting in Revenue CAGR of 32% ...

Strong revenue growth Net gain in revenue market share

0

100

200

300

400

2013 2014 2015 2016

00

0’s

Prepaid Postpaid Wireless Broadband Fixed Line150

175

200

225

2013 2014 2015 2016

MV

R

0

400

800

1,200

1,600

2,000

2013 2014 2015 2016

MV

R M

n

25% 29% 35% 39%

75% 71% 65% 61%

0%

20%

40%

60%

80%

100%

2013 2014 2015 2016

OMPL Incumbent Operator

Source: Company data, Regulatory filings


Healthy PAT margins

… Whilst Leading to a +30% Expansion in EBITDA Margins

Strong FCF generation

0%

10%

20%

30%

40%

50%

60%

0

150

300

450

600

750

900

2013 2014 2015 2016

MV

R M

n

EBITDA (LHS) EBITDA Margin (RHS)

-20%

-10%

0%

10%

20%

30%

40%

50%

-200

-100

0

100

200

300

400

500

2013 2014 2015 2016

MV

R M

n

Profit After Tax (LHS) Profit After Tax Margin (RHS)

0

2

4

6

8

10

0%

20%

40%

60%

80%

100%

2013 2014 2015 2016

Tim

es

(x

)

Debt / Assets (LHS) Net Debt / EBITDA (RHS)

0

100

200

300

400

500

600

2013 2014 2015 2016

MV

R M

n

Expanding EBITDA margins

Declining gearing and improved debt metrics

Source: Company data


Unwavering Commitment to the Maldives

Employees Continuous training and development

Global best in class employee engagement scores

Society

Introduced free Wi-Fi hangout areas across prime spots in Malé

Launch of “Ooredoo Smart Campus”

Signatory to UN Global Compact

Joined GSMA’s “Connected Women Programme”

Partnered with local NGO “Women on Boards”

Committed to Digital Maldives initiatives of the Government

Continuously work towards connecting all communities to smart

solutions

Awarded the ”Fehi Faiy Award” in 2013 for outstanding services

to protect and preserve the environment

Recognised with the “Ran Laari Award” in 2016 for being a

consistent tax payer

308

29

Maldivian Expatriates

Employee

Mix


1. The Offer

2. The Company



5. Valuation


7. Annexures

8. Abbreviations

Contents


Successfully challenging competition

Favourable Industry Dynamics to Drive Content Consumption

Market is ripe for new wave of growth

Demand for content driven by rising consumption of

content as a form of recreation and the emergence of

trends such as digital marketing by companies

Augmented by high smartphone adoption and

favourable population demographics (median age of 28

in 2016)

Data heavy categories such as audio and video to

dominate data consumption going forward

High mobile penetration levels and internet connectivity

to drive IoT adoption in Maldives, particularly with

increased spending on wearables and smart homes

Scope for Telcos to be total solutions providers, with

emphasis on enterprise solutions/ resort focused

solutions, cloud services and other smart solutions

Digital Maldives initiatives aimed at ubiquitous

connectivity and smart cities to serve as catalyst

0%

10%

20%

30%

40%

50%

150%

170%

190%

210%

230%

250%

2013 2014 2015 2016

Mobile Penetration Rate (LHS) Smartphone Adoption Rate (RHS)

High mobile penetration and smartphone use

Exponential growth in content consumption

0%

10%

20%

30%

40%

50%

0

500

1,000

1,500

2,000

2,500

2013 2014 2015 2016

MV

R M

n

OMPL (LHS) Incumbent Operator (LHS)

OMPL YoY Growth (RHS) Incumbent YoY Growth (RHS)

Source: CAM, GSMA Intelligence, Company data, Regulatory filings


Value Accretive Strategies Leading to Margin Expansion

Cost optimisation leading to margin expansion

NaSCOM to boost data revenue via superior 4G+

coverage

Data consumption to be driven by demand for content

and increasing smartphone usage

Recently acquired ISP license expected to create high

growth revenue stream via fixed broadband services

Postpaid segment benefits from MNP

Emergence of NaSCOM to reduce network costs

leading to significant cost efficiencies

Continuous benefits in optimising capex via group

procurement strengths

Multiple initiatives to further optimise costs and expand

EBITDA and PAT margins

Data leadership focused growth strategies


Growing Cash Flows Available for Distribution

Increasing FCF available for distribution

Drop in forecast capex to sales ratio expected due to

significant investments made over the past few years

Average forecast capex to sales as per business plan

to be approx. 17% compared to an average of 24%

between 2013 and 2016

FCF is forecasted to continue its growth trajectory

driven by improving profitability and optimisation of

capex

Expected to result in attractive returns to shareholders

with the ability to maintain high dividend payouts while

investing for growth

Moderate future capex requirements


High and Growing Dividend Yield to Provide Attractive Returns

-

1.00

2.00

3.00

4.00

5.00

2016A 2017F 2018F 2019F 2020F 2021F

MV

R

9.2%

13.6%

12.3%

15.9%14.9%

10.9%

Estimated based on a dividend payout ratio of 85%

Dividend YieldDividend per Share


1. The Offer

2. The Company



5. Valuation


7. Annexures

8. Abbreviations

Contents


Growth in Data Consumption to Drive Revenue

Year Ended Dec 31 (MVR Mn unless otherwise stated) 2017F 2018F 2019F 2020F 2021F

Mobile Revenue 1,728.1 1,901.3 2,052.6 2,203.0 2,350.4

Non-Mobile Revenue 173.1 235.2 283.2 328.0 357.9

Total Revenue 1,901.1 2,136.5 2,335.8 2,531.0 2,708.3

YoY growth 17.9% 12.4% 9.3% 8.4% 7.0%

Blended ARPU* (MVR) 245.9 265.6 285.0 306.9 326.5

YoY growth 11.0% 8.0% 7.3% 7.7% 6.4%

Total Subscribers (000’s) 432 456 462 469 477

* Blended ARPU is arrived at by dividing total revenue generated via subscribers by the total average number of subscribers as at the end of the period, and hence

does not include revenue generated via other segments

Blended ARPU for the forecast period is expected to be driven by growth in data consumption per subscriber

Accordingly, Mobile Revenue is expected to grow at a CAGR of 9.3% on the back of the expansion in Blended

ARPU, supplemented by subscriber growth via the benefits from MNP

Non-Mobile Revenue is projected to be driven by an increase in revenue from fixed broadband services with the

growth in fixed broadband subscribers, together with growth in revenue from enterprise solutions such as

internet leased lines, workgroup solutions, cloud services etc.

Source: NDBIB forecasts


Capex Optimisation Supports Higher Dividend Payouts

Year Ended Dec 31 (MVR Mn unless otherwise stated) 2017F 2018F 2019F 2020F 2021F

Capital Expenditure 404.0 365.6 299.8 420.1 449.6

Capex to Revenue 21.2% 17.1% 12.8% 16.6% 16.6%

Dividends Estimated at 85% of Net Profit 481.9 544.8 605.0 659.6 704.3

Payout ratio 85.0% 85.0% 85.0% 85.0% 85.0%

Dividend Per Share (MVR)* 3.26 3.69 4.09 4.46 4.77

Dividend Yield at the Offer Price 10.9% 12.3% 13.6% 14.9% 15.9%

* Estimated based on a dividend payout ratio of 85%

Capital expenditure forecasts are based on the Company’s business plans and are expected to decline over time

as a percentage of revenue after high build out levels over the past few years

OMPL declared a dividend of MVR 406.5 Mn (MVR 2.75 per share) prior to the IPO, for FY 2016. This amounted to

a dividend payout ratio of 85% and it has been assumed that the Company would continue to maintain the same

dividend payout ratio over the forecast period



Revenue growth EBITDA and EBITDA margins

Expected Topline Growth Reflected in Future Margin Expansion

PAT and PAT margins

0

500

1,000

1,500

2,000

2,500

3,000

2017F 2018F 2019F 2020F 2021F

MV

R M

n

48%

49%

50%

51%

52%

0

400

800

1,200

1,600

2017F 2018F 2019F 2020F 2021F

MV

R M

n

EBITDA (LHS) EBITDA margin (RHS)

30%

31%

32%

33%

34%

35%

0

200

400

600

800

1,000

2017F 2018F 2019F 2020F 2021F

MV

R M

n

PAT (LHS) PAT margin (RHS)



1. The Offer

2. The Company



5. Valuation


7. Annexures

8. Abbreviations

Contents


Discounted Cash Flow : Equity Valuation of MVR 4,799 Mn

Free Cash Flow Based Valuation (MVR Mn unless otherwise stated) 2017F 2018F 2019F 2020F 2021F

Profit Before Tax 692.2 786.1 875.0 955.4 1,023.1

Add/(Less): Non-Cash Items 284.7 315.4 333.4 358.5 397.7

Tax Paid (89.7) (103.8) (117.9) (131.3) (143.3)

Operating Cash Flow Before WC Changes 887.2 997.6 1,090.5 1,182.7 1,277.4

Changes in Working Capital Assets 12.2 6.9 4.7 1.0 (1.1)

Capital Expenses (404.0) (365.6) (299.8) (420.1) (449.6)

Free Cash Flow to the Firm 495.4 639.0 795.5 763.5 826.7

Add: Terminal Value 6,563.9

Free Cash Flow to the Firm With Terminal Value 495.4 639.0 795.5 763.5 7,390.6

Present Value of Free Cash Flow to the Firm With Terminal Value 427.2 475.1 510.0 422.1 3,522.9

WACC and Terminal Growth Rate

Weighted Average Cost of Capital 15.97%

Terminal Growth Rate 3.00%

Enterprise Value 5,357.2

Less: Net Debt / Minority Interest (558.6)

Equity Value 4,798.7

Value per Share of OMPL (MVR) 32.47



Estimated Dividend Yield of 10.9% for FY 2017F at Offer Price

The Offer Price at MVR 30.00 results in an estimated dividend yield of 10.9% for FY 2017F to IPO investors based on a dividend

payout ratio of 85%, in line with the dividend declared for FY 2016

OMPL expects to maintain the said payout ratio in the future resulting in growth in dividend yields, while meeting the

investment needs of the Company to generate future growth

Price Multiples / Dividend Yield at Offer Price

Trailing P/E (x) 9.3

Forward P/E (x) 7.8

Trailing EV/EBITDA (x) 6.1

Forward EV/EBITDA (x) 5.2

Dividend Yield estimate for FY 2017F* (%) 10.9

Offer Price

Equity Value of OMPL (MVR Mn) 4,798.7

Number of Shares in Issue (Mn) 147.8

Value per Share of OMPL (MVR) 32.47

IPO Discount 7.6%

Offer Price (MVR) 30.00

* Based on 85% payout of profit after tax for FY 2017F


1. The Offer

2. The Company



5. Valuation


7. Annexures

8. Abbreviations

Contents


Modes of Payment

Subscription Process

OMPL Documents Available for Inspection

Potential investors can subscribe through:

– Online application http://infinity.depository.mv

– Physical applications available at the Distribution and

Collection Points including selected Ooredoo Experience

Centres, Ooredoo Business Partners, Post Offices, SBI

and MIB Bank Branches and Licensed Dealing

Companies as listed in the Prospectus dated April 13,

2017 available at http://ore.do/ipo-apply and

stockexchange.mv/ipo/ompl/ipo_application_form.pdf and

ndbib.com/downloads.php or at the same collection

centers

The Memorandum of Association

Articles of Association

Material contracts summarised in Section 9.6 of the

Prospectus

Past financial statements (audited financial statements of FY

2016 and five year summary)

Valuation report of OMPL prepared by NDB Investment

Bank Limited

Fairness Opinion given by Ernst & Young

Material contracts are available for inspection subject to

confidentiality requirements

Applications are invited from the following categories of

investors from the Maldives and outside of the Maldives:

– Individuals (applying for themselves or on behalf of third

parties)

– Guardians applying on behalf of Minors i.e. those under

18 years of age

– Companies, Cooperative Societies and Associations

– Partnerships

– Statutory Bodies, Funds and Other Entities

Applicants can pay using the following methods;

– Cash

– Cheque

– Direct deposit to bank account

– m-Faisaa

– Debit / Credit card (online applications only)

– Telegraphic transfer (foreigners only)

Who Can Apply

How and Where to Apply?


1. The Offer

2. The Company



5. Valuation


7. Annexures

8. Abbreviations

Contents


Group Structure Board of Directors

Group Structure and Board of Directors

Ooredoo Maldives Plc

Wataniya International FZ-LCC

National Mobile Telecommunication Company (Ooredoo

Kuwait)

Ooredoo International Investments LLC

Ooredoo Q. S. C. (Qatar)

65%

WARF International (Private) Limited

99.99%*

100%

92%

100%

Board of Directors Designation

Mr. Khalid Ibrahim Al MahmoudChairman /

Independent Director

Mr. Vikram SinhaExecutive Director /

Managing Director

Dr. A. Hamid Mohd A Marafi Independent Director

Mr. Ian Grant Fenton Independent Director

Mr. Khalid Hassan Al-Hammadi Independent Director

Uza. Dheena HussainNon-Executive Director /

Company Secretary

Mr. Najib KhanExecutive Director /

Chief Executive Officer

Mr. Ramanathan SivakumarExecutive Director /

Chief Financial Officer

* The balance shareholding of OMPL is between 11 other shareholders, holding 1 share each


Forecast Summary Income Statement

Year Ended Dec 31 (MVR Mn unless otherwise stated) 2016 2017F 2018F 2019F 2020F 2021F

Revenue 1,613.2 1,901.1 2,136.5 2,335.8 2,531.0 2,708.3

EBITDA 813.0 962.4 1,080.6 1,183.6 1,294.7 1,399.6

EBIT 585.0 707.7 792.5 867.1 947.5 1,015.1

Profit Before Tax 569.8 692.2 786.1 875.0 955.4 1,023.1

Profit After Tax 491.3 588.3 668.2 743.8 812.1 869.6

Share of Profits of Minority Interest (13.2) (21.4) (27.2) (32.1) (36.1) (41.1)

Net Income Attributable to Equity Holders 478.1 566.9 640.9 711.7 776.0 828.6


EBITDA margin 50.4% 50.6% 50.6% 50.7% 51.2% 51.7%

EBIT margin 36.3% 37.2% 37.1% 37.1% 37.4% 37.5%

Profit After Tax margin 30.5% 30.9% 31.3% 31.8% 32.1% 32.1%

Earnings Per Share ± (MVR) 3.23 3.84 4.34 4.82 5.25 5.61

Dividend Per Share ± * (MVR) 2.75 3.26 3.69 4.09 4.46 4.77

Source: NDBIB forecasts± FY 2016 Earnings Per Share and Dividend Per Share has been adjusted for the share consolidation carried out pre-IPO

* Estimated based on a dividend payout ratio of 85%


Forecast Statement of Financial Position

Source: NDBIB forecasts± FY 2016 Net Asset Value Per Share has been adjusted for the share consolidation carried out pre-IPO


Non-Current Assets

Property Plant and Equipment 1,070.8 1,228.4 1,312.4 1,301.3 1,378.9 1,448.5

Other Non-Current Assets 142.9 134.5 128.0 122.5 117.7 113.3

1,213.7 1,362.9 1,440.4 1,423.7 1,496.7 1,561.7

Current Assets

Cash and Financial Investments 1,045.9 1,027.1 726.4 985.0 1,151.5 1,326.5

Other Current Assets 335.1 312.8 338.3 352.4 371.2 384.5

1,381.0 1,339.9 1,064.6 1,337.4 1,522.7 1,711.0

TOTAL ASSETS 2,594.7 2,702.8 2,505.0 2,761.1 3,019.4 3,272.8

Total Equity 999.2 1,181.1 1,367.4 1,566.4 1,773.6 1,983.6

Non-Current Liabilities

Loans and Borrowings 450.1 - - - - -

Other Non-Current Liabilities 18.2 18.2 18.2 18.2 18.2 18.2

468.2 18.2 18.2 18.2 18.2 18.2

Current Liabilities

Loans and Borrowings 93.6 451.4 - - - -

Other Current Liabilities 1,033.6 1,052.1 1,119.4 1,176.6 1,227.7 1,271.1

1,127.2 1,503.5 1,119.4 1,176.6 1,227.7 1,271.1

TOTAL EQUITY AND LIABILITIES 2,594.7 2,702.8 2,505.0 2,761.1 3,019.4 3,272.8

Net Asset Value Per Share ± (MVR) 6.20 7.29 8.36 9.49 10.65 11.79


Forecast Statement of Cash Flows


Cash Flow from Operating Activities

Profit Before Tax 569.8 692.2 786.1 875.0 955.4 1,023.1

Add/Less: Non-Cash Items 252.5 284.7 315.4 333.4 358.5 397.7

Net Change in Working Capital 32.1 12.2 6.9 4.7 1.0 (1.1)

Cash From Operating Activities 854.4 989.1 1,108.4 1,213.2 1,314.9 1,419.6

Interest Paid (0.4) (31.9) (14.4) - - -

Tax Paid (8.5) (89.7) (103.8) (117.9) (131.3) (143.3)

Net Cash Flow From Operating Activities 845.5 867.5 990.2 1,095.3 1,183.7 1,276.3

Cash Flow From Investing Activities

Net Capital Expenses (344.0) (404.0) (365.6) (299.8) (420.1) (449.6)

Net Movement in Financial Assets (461.9) - 403.9 - - -

Financial Income ± 11.4 16.4 8.0 8.0 8.0 8.0

Net Cash Flow From Investing Activities (794.5) (387.5) 46.3 (291.8) (412.2) (441.6)

Cash Flow From Financing Activities

Net Movement in Loans & Borrowings (151.5) (92.3) (451.4) - - -

Dividend Paid - (406.5) (481.9) (544.8) (605.0) (659.6)

Net Cash Flow From Financing Activities (151.5) (498.8) (933.3) (544.8) (605.0) (659.6)

Net Increase/(Decrease) in Cash & Cash Equivalent (100.5) (18.8) 103.2 258.6 166.5 175.1

Cash & Cash Equivalent at the Beginning 363.8 263.3 244.5 347.7 606.3 772.8

Cash & Cash Equivalent at the End 263.3 244.5 347.7 606.3 772.8 947.9

Source: NDBIB forecasts± Financial Income has been adjusted for under Cash Flow From Investing Activities


1. The Offer

2. The Company



5. Valuation


7. Annexures

8. Abbreviations

Contents


Abbreviations

ADX Abu Dhabi Securities Exchange

ARPU Average Revenue Per User

CAGR Compounded Annual Growth Rate

EBITDA Earnings Before Interest, Tax, Depreciation and Amortisation

EV/EBITDA Enterprise Value to EBITDA

FCF Free Cash Flow

IoT Internet of Things

ISP Internet Service Provider

LSE London Stock Exchange

MENA Middle East and North Africa

MNP Mobile Number Portability

NaSCOM Nationwide Submarine Cable of Ooredoo Maldives Plc

P/E Price to Earnings

PAT Profit After Tax

ppt Percentage points

QSE Qatar Stock Exchange

TB Terabyte

Telco Telecommunications Service Provider

WACC Weighted Average Cost of Capital


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