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IPO – PSP PROJECTS LIMITED

IPO of PSP Projects Limited consisting of a Fresh Issue of up to 7,200,000 & OFS of up to 2,880,000 equity shares. The issue constitutes 28% of the post issue share capital.

PRICE BAND : Rs 205/- to Rs 210/- per equity share

BID LOT: Minimum of 70 equity shares and in multiples of 70 equity shares thereafter

ISSUE SIZE: Up to Rs 206.6 crores @ Rs 205/- (lower end) and up to Rs 211.7 crores @ Rs 210/- (upper end)

MARKET CAP: Rs 738.0 crores (lower price band) and Rs 756.0 crores (upper price band) (on post issue basis)

ISSUE TIMELINE: May 17 till May 19, 2017 with subscription for Anchor Investors opening on May 16, 2017

PROMOTER: Mr. Prahaladbhai Shivarambhai Patel &Shilpaben Patel

LEAD MANAGERS : KARVY and Motilal Oswal

KEY HIGHLIGHTS PSP Projects Ltd. (PSP Projects/Company) is a multidisciplinary

construction company offering a diversified range of construction and allied services across industrial, institutional, government, government residential and residential projects in India. The Company provides its services across the construction value chain, ranging from planning and design to construction and post construction activities to private and public sector enterprises. Historically, the Company has focused on projects in the Gujarat region. The Company has completed and continue to undertake construction projects in this region. More recently, the Company has geographically diversified its portfolio of services and are undertaking or have bid for projects pan India.

Prestigious Projects: Over the years, PSP Projects has successfully executed a number of prestigious projects across Gujarat. One of the first major projects that the Company completed was construction of GCS Medical College, Hospital & Research Centre (managed by Gujarat Cancer Society) in June 2012. Subsequently, the Company has successfully executed number of prestigious projects, including construction & interior works of Swarnim Sankul 01 & 02 at Gandhinagar, construction of Zydus Hospital at Ahmedabad and various works in relation to Sabarmati Riverfront Dvpt. project at Ahmedabad.

Prestigious Customers: Cadila Healthcare Limited, Care Institute of Medical Sciences Ltd. (CIMS), Claris Injectables Ltd, Emcure Pharmaceuticals Ltd, Gelco Electronics Pvt. Ltd, GCS Medical College, Hospital &Research Centre (managed by Gujarat Cancer Society), Govt. of Gujarat, Inductotherm (India) Pvt Ltd, Intas Pharmaceutical Ltd., Kaira District Co-op. Milk Producers’ Union Ltd (Amul Dairy), KHS Machinery Pvt. Ltd., Nirma Ltd., Sabarmati River Front Dvpt. Corp. Ltd., Torrent Pharmaceuticals Ltd and WTC Noida Development Company Pvt. Ltd

Particulars (RsCrs) FY12 FY13 FY14 FY15 FY16 9MFY17 Revenues from Operations 178.6 257.3 210.4 280.5 458.0 239.1 EBITDA 15.4 22.0 16.7 22.4 39.3 32.5 EBITDA(%) 8.6% 8.5% 8.0% 8.0% 8.6% 13.6% PAT 8.4 12.3 10.1 14.1 24.9 21.5 PAT(%) 4.7% 4.8% 4.8% 5.0% 5.4% 9.0% RoNW(%) 54.7% 46.1% 28.9% 30.0% 37.7% 24.5%* *RoNW for 9MFY17 is not annualised

Rs. 927.41 Crore Consolidated Order Book (March 31, 2017)

Multidisciplinary Construction Company

Prestigious Clients Gujarat Cancer Society Cadila Healthcare Ltd. Care Institute of Medical Sciences Government of Gujarat Inductotherm India Pvt. Ltd. Amul Dairy Sabarmati River Front Dvpt Corp

Prestigious Projects Swarnim Sankul 01 and 02 GCS Medical College (Ahmedabad) Zydus Hospital (Ahmedabad) Sabarmati Riverfront Development Plant for Amul Dairy Pharmaceutical unit for Nirma Ltd. Kanakpura Dairy Complex Zydus Corporate House (Ahmedabad)

PRE-ISSUE SHAREHOLDING Particulars % Promoter 75.00% Promoter group 24.99% Others 0.01%

Total 100.00%

The IPO will constitute 28% of the post issue share capital.

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Residential Projects

9%

Government Projects

22%

Government Residential

Projects

19%

Institutional Projects

28%

Industrial Projects

22%

PEER GROUP COMPARISON

Name of the company Year End Revenue (RsCrs)

EPS (Rs)

P/E Ratio

(x)

RoNW (%)

NAV Per Share (Rs)

Ahluwalia Contracts (India) Ltd. Mar 31, 2016 1,249.6 12.6 24.7 20.0% 62.9 Man Infra Construction Ltd.

Mar 31, 2016 211.7 1.5 30.8 6.0% 25.2

Prakash Constrowell Ltd. Mar 31, 2016 180.7 0.4 10.8 4.3% 9.0 RPP Infra Projects Ltd. Mar 31, 2016 314.7 9.1 29.5 13.9% 65.8

Nila Infrastructures Ltd. Mar 31, 2016 183.1 0.5 36.0 10.2% 4.5

Peers standalone financial performance

BUSINESS OVERVIEW

PSP Projects Ltd. is a multidisciplinary construction company offering a diversified range of construction and allied services across industrial, institutional, government, government residential and residential projects in India. A breakdown of the Company‘s aggregate contract income for the preceding five fiscals and 9MFY17, on a restated standalone basis, is represented below: ORDER BOOK: The Company‘s total order book as of March 31, 2017, was Rs. 729.2crores, which comprised of 17 institutional projects, 4 industrial projects, 4 government projects and 2 government residential projects. Further, the Company’s Subsidiary and Joint Venture‘s total order book as of March 31, 2017, was Rs. 90.9 crores and Rs. 107.4crores, respectively. Thus, total consolidated order book was Rs 927.41 crores

STRENGTHS OF PSP PROJECTS

Strong track record of successful project execution

Visible growth through robust order book & growing pre-qualifications

Experienced management and promoter

Robust financial performance and financial strength

Long-standing relationship with customers

BUSINESS STRATEGY

Leverage the position as a fast-growing construction company in Gujarat

Enhance project execution capabilities

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IPO OBJECTIVE Particulars

Working capital

Capital Expenditure

General Corporate Expenses

Rs. 63.00 Crs Rs. 52.00 Crs

Rs [] Crs

RESTATED STANDALONE FINANCIAL STATEMENTS OF PROFITS & LOSSES Particulars | Rs Crs FY12 FY13 FY14 FY15 FY16 9MFY17 Revenue from operations 178.6 257.2 210.4 280.5 458.0 239.1

EBITDA 15.4 22.0 16.7 22.4 39.3 32.5 EBITDA (%) 8.6% 8.5% 8.0% 8.0% 8.6% 13.6%

PAT 8.4 12.3 10.1 14.1 24.9 21.5 PAT (%) 4.7% 4.8% 4.8% 5.0% 5.4% 9.0%

EPS – Basic and diluted* 2.9 4.3 3.5 4.9 8.7 7.5 * Not Annualised for the nine months period ended December 31, 2016

RESTATED STANDALONE FINANCIAL STATEMENTS OF ASSETS & LIABILITIES Particulars | Rs Crs FY12 FY13 FY14 FY15 FY16 9MFY17 EQUITY AND LIABILITIES

Total Shareholders' funds 15.3 26.6 34.8 46.9 66.1 87.6 Long term borrowings 15.1 11.5 0.6 0.4 1.0 3.3 Long term provisions 0.5 0.5 0.5 0.6 0.6 0.9 Current Liabilities 61.0 62.3 100.4 138.5 161.0 182.4

Total Equity & Liabilities 91.9 101.0 136.3 186.4 228.7 274.2

ASSETS

Net Fixed Assets 18.0 18.5 18.5 33.5 52.2 51.9 Other Non-current assets 4.3 7.8 6.4 14.2 18.1 33.9 Current Assets 69.5 74.7 111.4 138.7 158.4 188.3

Total Assets 91.9 101.0 136.3 186.4 228.7 274.2

RESTATED STANDALONE CASH FLOWS

Particulars | RsCrs FY12 FY13 FY14 FY15 FY16 9MFY17 Cash from Operations 15.8 26.4 19.5 30.0 41.1 -11.4 Cash from Investments -21.8 1.9 -40.6 -25.6 -43.3 -13.7 Cash from Financing 8.8 -13.6 9.4 4.1 2.5 28.6

Cash for the period 2.8 14.7 -11.6 8.5 0.3 3.5

Opening Cash 6.6 9.4 24.1 12.5 21.0 21.3 Closing Cash 9.4 24.1 12.5 21.0 21.3 24.7

RESTATED CONSOLIDATED FINANCIAL STATEMENTS OF PROFITS & LOSSES

Particulars FY16 9MFY17 Revenue from operations 476.0 278.5

EBITDA 34.9 32.0 EBITDA (%) 7.3% 11.5%

PAT 22.6 20.8 PAT (%) 4.8% 7.5%

EPS – Basic and diluted* 7.9 7.2 * Not Annualised for the nine months period ended December 31, 2016

Augment customer relationships and optimize project mix

Expand geographical footprint

Strengthen human capital

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For further details please get in touch with –

Ms. Preeti Swaroop preeti.swaroop@karvy.com T: +91.22.6149.1522 M: +91.98335.89990

Mr. Riddhesh Shah riddhesh.shah@karvy.com T: +91.22.6149.1527 M: +91.98205.39550

Mr. Parunandi Balraj balraj@karvy.com T: +91.40.4485.7884 M: +91.98492.65491

701, Hallmark Business Plaza, Sant Dhyaneshwar Marg, Off Bandra Kurla Complex, Bandra (E), Mumbai - 400051

DISCLAIMER: PSP Projects Limited (the "Company") is proposing, subject to receipt of requisite approvals, market conditions and other considerations, an initial public offering of its Equity Shares and has filed a Red Herring Prospectus with the Securities and Exchange Board of India (“SEBI”). Investors should note that investment in Equity Shares involves a high degree of risk and are requested to refer to the section titled “Risk Factors” of the Red Herring Prospectus for details of the same.

This note is for information purposes only and does not constitute, nor should be regarded as, an offer, invitation, inducement, solicitation or advertisement with respect to the purchase or sale of any security of the Company, and should not be construed as such, in India, the United States or any other jurisdiction. This note should not, nor should anything contained in it, form the basis of, or be relied upon in any connection with any contract or commitment whatsoever, and does not constitute a recommendation by the Company or any other party to sell or buy any securities of the Company. The information contained herein is meant for the authorized recipients only and is not for public distribution. No part or portion of this document shall be duplicated, reproduced, reprinted or redistributed to any person or persons. By reading the note, you agree to the following limitations and notifications and represent that you are a person who is permitted under applicable law and regulations to receive information of the kind contained in this note. This note is for informational purposes only and is not a solicitation of any bid from any investor. The Equity Shares have not been recommended by any U.S. federal or state securities commission or regulatory authority. Furthermore, the foregoing authorities have not confirmed the accuracy or determined the adequacy of the RHP. Any representation to the contrary is a criminal offence in the United States and may be a criminal offence in other jurisdictions. The Equity Shares of the Company have not been and will not be registered under the U.S. Securities Act of 1933, as amended (the "U.S. Securities Act") or any state securities laws in the United States and may not be offered or sold in the United States absent registration under the U.S. Securities Act or an exemption from registration under the U.S. Securities Act. There will be no public offering of securities in the United States. The Company does not intend to register any portion of the offering in the United States. Investors and prospective investors in securities of the Company are required to make their own independent investigation and appraisal of the business and financial conditions of the Company and the nature of the securities.

This note is strictly confidential to the recipient, may not be reproduced, retransmitted or further distributed to the press or any other person, in any form and may not be published, in whole or in part, for any purpose. This note is not directed to, or intended for distribution to or use by, any person or entity that is a citizen or resident or located in any locality, state, country or other jurisdiction where such distribution, transmission, publication, availability or use would be contrary to law or regulation or which would require any registration or licensing within such jurisdiction. Neither this presentation nor any copy of it may be taken, published, transmitted or distributed, directly or indirectly, in or into the United States. Receipt of this note constitutes an express agreement to be bound by such confidentiality and the other terms set out herein. Any failure to comply with this restriction may constitute a violation of applicable securities laws. This presentation has not been and will not be reviewed or approved by any statutory or regulatory authority in India or by any stock exchange in India. This presentation does not comply with disclosure requirements prescribed by SEBI or any other applicable authority in relation to a public issue of securities on Indian stock exchanges.

This note contains forward-looking statements that involve risks & uncertainties. Actual future performance, outcomes and results may differ materially from those expressed in forward-looking statements as a result of a number of risks, uncertainties & assumptions. Although the Company believes that such forward-looking statements are based on reasonable assumptions, it can give no assurance that such expectations will be met. Investors are cautioned not to place undue reliance on these forward looking statements, which are based on current view of the management on future events. Some of the information in this note is subject to change without notice, its accuracy is not guaranteed, it may be incomplete or condensed and it may not contain all material information. The Company, selling shareholders, BRLMs and their respective affiliates do not have any obligation to, and do not intend to, update or otherwise revise any statements reflecting circumstances arising after the date of this note or to reflect the occurrence of underlying events, even if the underlying assumptions do not come to fruition. No representation or warranty (whether express or implied) is given in respect of any information in this note or that this note is suitable for the recipients’ purposes. The delivery of this note does not imply that the information herein is correct as at any time subsequent to the date hereof. No reliance may be placed for any purposes whatsoever on the information contained in this note, or on the completeness, accuracy or fairness thereof.

The information in this note has not been independently verified. No representation, warranty, express or implied, is made as to, and no reliance should be placed on, the fairness, accuracy, completeness or correctness of the information and opinions in this note. Neither the Company nor the Selling Shareholders or any of their agents or advisers, or any of their respective affiliates, advisers or representatives shall have any liability (in negligence or otherwise) for any loss howsoever arising from any use of this note or its contents or otherwise arising in connection with this note. Any person who subsequently acquires the Company’s Equity Shares must rely solely on the information contained in the Red Herring Prospectus (if resident in India) or the Red Herring Prospectus and preliminary international wrap (if resident outside India) to be issued in connection with the offer, issue and sale of the Company’s equity shares, on the basis of which alone subscription for the Equity Shares may be made. In addition, investors should pay particular attention to the section of the prospectus entitled “Risk Factors”, and, if resident outside India, the section of the preliminary international wrap entitled “Additional Risk Factors for International Investors”. You (i) acknowledge that you will be solely responsible for your own assessment of the market and the market position of the Company and of the risks and merits of any investment in the equity shares, and that you will conduct your own analysis and be solely responsible for forming your own view of the potential future performance of the Company’s business and (ii) agree to be bound by the foregoing terms and to keep this note and the information contained herein confidential.