Tata Motors
BSE SENSEX
34,433
S&P CNX
10,632
10 January 2018
Update
| Sector:
Automobiles
CMP: INR433
TP: INR593 (+37%)
Buy
JLR’s December 2017 wholesale volumes in-line at 55k units
Stock Info
Bloomberg
Equity Shares (m)
52-Week Range (INR)
1, 6, 12 Rel. Per (%)
M.Cap. (INR b)
M.Cap. (USD b)
Avg Val, INRm
Free float (%)
Land Rover volumes up 2.8% YoY; Jaguar volumes increase 6% YoY
TTMT IN
3,395.9
553 / 358
2/-13/-44
1613.2
25.0
3556
63.6
Financials Snapshot (INR b)
Y/E March
2018E 2019E 2020E
Net Sales
2,929 3,548 3,800
EBITDA
384
561
601
NP
111
206
225
Adj. EPS (INR)
32.8
60.7
66.3
EPS Gr. (%)
65.5
85.2
9.2
BV/Sh. (INR)
214
276
344
RoE (%)
17.0
24.8
21.4
RoCE (%)
9.6
15.2
13.9
P/E (x)
13.3
7.2
6.6
P/BV (x)
2.0
1.6
1.3
Shareholding pattern (%)
Sep-17 Jun-17 Sep-16
As On
Promoter
36.4
34.7
33.0
DII
15.3
16.1
14.5
FII
22.6
23.5
26.1
Others
25.8
25.7
26.4
FII Includes depository receipts
Stock Performance (1-year)
Tata Motors
Sensex - Rebased
700
JLR’s wholesale volumes grew 3.8% YoY and 1.5% MoM in December 2017 to
55,066 units (including China JV’s 10,269 units). Jaguar volumes grew 6% YoY to
16,826 units against our estimate of 12,000 units due to lower XE sales. Land
Rover (LR) volumes increased 2.8% YoY to 38,240 units against our estimate of
54,750 units, led by ramp-up of all-new Discovery and RR Velar.
For 3QFY18, JLR wholesales grew 4.5% YoY to 159,067 units, led by 12.4% YoY
growth in Land Rover sales while Jaguar sales fell 12.5% YoY to 42.4k units.
JLR’s retail volumes increased marginally by 0.6% YoY and 6.4% MoM to 55,697
units. The 4.1% YoY increase in LR volumes was partially offset by 7.8% YoY
decline in Jaguar volumes.
XF volumes grew 6.1% YoY. Jaguar XE volumes declined 35% YoY. F-Pace
volumes remained flat YoY. Company started retails of E-Pace, with 454 units.
LR’s retail volumes increased by 4.1% YoY, mainly led by 71.1% rise in Discovery
volumes, while RR Sport and RR Evoque volumes declined 37.5% and 12.5%,
respectively. RR Velar clocked in 6,521 units.
Region-wise, China reported strong volumes at 15,603k units (including China
JV’s 8,556 units), up 12.6% YoY. The growth in China is reflecting the
introduction of the long wheelbase Jaguar XFL as well as strong sales of F-Pace,
Discovery Sport, Range Rover Sport and Evoque. While retail sales were down
in Europe (-4.6%), US (-9.2%) and UK (-15.8%), other markets witnessed volume
growth of 19%.
Mr Joe Eberhardt, President and CEO, Jaguar Land Rover North America, LLC
said, “Jaguar Land Rover in the US achieved another record year for 2017, as
our newest models broadened the appeal of both of our great brands.”
The stock trades at 7.2x/6.6x FY19E/FY20E consolidated EPS. Maintain
Buy
with a target price of INR593 (December 2019E SOTP-based) for ordinary
shares and INR414 for DVR (~30% discount to TP for ordinary shares).
600
500
400
300
Jinesh Gandhi – Research Analyst
(Jinesh@MotilalOswal.com); +91 22 3982 5416
Research Analyst:
Deep Shah
(deep.shah@MotilalOswal.com); 6129 1533 |
Suneeta Kamath
(suneeta.kamath@MotilalOswal.com); 6129 1534
Investors are advised to refer through important disclosures made at the last page of the Research Report.
Motilal Oswal research is available on www.motilaloswal.com/Institutional-Equities, Bloomberg, Thomson Reuters, Factset and S&P Capital.

Tata Motors
TATA MOTORS: JLR [Wholesales]
YoY
Company
YoY (%)
Dec-17 Dec-16
Sales
chg
JLR
55,066 53,063
3.8
Jaguar
16,826 15,879
6.0
Land rover
38,240 37,184
2.8
TATA MOTORS : JLR (Retails)
YoY
Company
Sales
JLR
Jaguar
Land rover
Region-wise Retail Sales
Region
UK
US
Europe
China
RoW
Total JLR
Brand-wise Retail Sales
Brands
XF
XJ
F-Pace
E-Pace
XE
Others (incl. F-type)
Total Jaguar
Defender
Discovery
Freelander/Dis. Sport
Range Rover (incl. new)
RR Evoque
RR Sport (incl. new model)
RR Velar
Total Land Rover
Dec-17
55,697
15,079
40,618
Dec-16
55,374
16,349
39,025
YoY
(%) chg
0.6
-7.8
4.1
MoM
Nov-17
52,332
13,688
38,644
MoM
(%) chg
6.4
10.2
5.1
FY18YTD
385,903
109,550
276,353
FY17YTD
369,134
102,536
266,598
(%)
chg
4.5
6.8
3.7
MoM
MoM
FY18YTD
Nov-17
(%) chg
54,244
1.5
450,753
12,287
36.9
122,845
41,957
-8.9
327,908
FY17YTD
425,806
126,661
299,145
(%)
chg
5.9
-3.0
9.6
FY18
estimate
642,294
169,741
472,553
Residual
Gr.
Gr. (%)
(%)
6.9
9.5
-5.0
-10.0
12.0
17.7
Residual
Monthly
Run rate
63,847
15,632
48,215
FY18 YTD
Monthly
Run rate
50,084
13,649
36,434
Dec-17
6,223
12,486
11,510
15,603
9,875
55,697
Dec-16
7,394
13,757
12,069
13,859
8,296
55,375
YoY %
-15.8
-9.2
-4.6
12.6
19.0
0.6
Nov-17
8,887
10,926
11,011
13,808
7,700
52,332
MoM %
-30.0
14.3
4.5
13.0
28.2
6.4
FY18YTD
75,120
92,994
95,380
112,810
65,296
441,600
FY17YTD
82,127
88,433
97,780
91,618
64,551
424,509
YoY %
-8.5
5.2
-2.5
23.1
1.2
4.0
Dec-17
3,817
775
6,595
454
2,624
814
15,079
0
4,528
10,973
4,188
8,666
5,742
6,521
40,618
Dec-16
3,597
1,258
6,604
0
4,035
855
16,349
17
2,646
11,485
5,798
9,899
9,180
0
39,025
YoY %
6.1
-38.4
-0.1
-35.0
-4.8
-7.8
-100.0
71.1
-4.5
-27.8
-12.5
-37.5
4.1
Nov-17
3,428
777
6,236
135
2,284
828
13,688
0
4,445
10,112
4,309
8,626
5,379
5,773
38,644
MoM %
11.3
-0.3
5.8
14.9
-1.7
10.2
0.0
1.9
8.5
-2.8
0.5
6.7
5.1
FY18YTD
30,509
7,172
54,355
589
24,490
7,514
124,629
1
34,472
88,106
39,563
73,959
54,985
25,885
316,971
FY17YTD
25,594
8,361
45,969
1
31,263
7,697
118,885
1,192
33,659
88,186
39,550
79,518
63,518
0
305,623
YoY %
19.2
-14.2
18.2
58,800
-21.7
-2.4
4.8
-99.9
2.4
-0.1
0.0
-7.0
-13.4
3.7
10 January 2018
2

Tata Motors
Financials and valuations
Income Statement (Consolidated)
Y/E March
Total Income
Change (%)
Expenditure
EBITDA
% of Net Sales
Depreciation
EBIT
Product Dev. Exp.
Interest
Other Income
EO Exp/(Inc)
Forex Gain/ (Loss)
PBT
Tax
Effective Rate (%)
Reported PAT
Change (%)
% of Net Sales
Minority Interest
Share of profit of associate
Net Profit
Adj. PAT
Change (%)
2013
1,888,176
14.0
1,622,487
265,689
14.1
75,693
189,996
20,216
35,533
8,115
876
5,151
136,335
37,710
27.7
98,625
-27.3
5.2
-837
1,138
98,926
99,560
-16.3
2014
2,328,337
23.3
1,954,308
374,029
16.1
110,782
263,248
25,652
47,338
8,286
2,777
7,077
188,690
47,648
25.3
141,042
43.0
6.1
-595
-537
139,910
141,986
42.6
2015
2,631,590
13.0
2,210,452
421,138
16.0
133,886
287,252
28,752
48,615
8,987
930
917
217,026
76,429
35.2
140,597
-0.3
5.3
-868
134
139,863
140,465
-1.1
2016
2,730,456
3.8
2,312,693
417,763
15.3
167,108
250,655
34,688
48,891
8,854
18,504
16,169
141,258
30,251
21.4
111,007
-21.0
4.1
-989
5,775
115,793
130,334
-7.2
2017
2,696,925
-1.2
2,327,802
369,124
13.7
179,050
190,074
34,136
42,380
7,545
-11,146
39,101
93,148
32,512
34.9
60,636
-45.4
2.2
-1,022
14,930
74,544
67,288
-48.4
2018E
2,928,590
8.6
2,544,971
383,619
13.1
201,752
181,867
34,727
42,954
7,368
-43,229
13,716
168,501
48,659
28.9
119,842
97.6
4.1
-1,076
23,353
142,119
111,373
65.5
(INR Million)
2019E
3,547,912
21.1
2,986,902
561,010
15.8
245,349
315,661
33,513
44,744
7,684
0
0
245,087
64,178
26.2
180,910
51.0
5.1
-1,187
26,537
206,259
206,259
85.2
2020E
3,799,521
7.1
3,198,227
601,294
15.8
285,968
315,326
32,701
45,663
8,158
0
0
245,119
59,115
24.1
186,004
2.8
4.9
-1,290
40,437
225,151
225,151
9.2
Balance Sheet (Consolidated)
Y/E March
Share Capital
Reserves
Net Worth
Loans
Deferred Tax
Capital Employed
Gross Fixed Assets
Less: Depreciation
Net Fixed Assets
Capital WIP
Goodwill
Investments
Curr.Assets
Inventory
Sundry Debtors
Cash & Bank Bal.
Loans & Advances
Current Liab. & Prov.
Sundry Creditors
Other Liabilities
Net Current Assets
Appl. of Funds
E: MOSL Estimates
2013
6,381
369,992
376,373
557,223
-24,094
913,206
1,205,654
570,818
634,836
60,000
41,024
90,577
829,538
209,690
109,427
211,127
280,739
742,769
447,801
134,250
86,769
913,206
2014
6,438
649,597
656,035
549,545
-7,748
1,202,038
1,329,282
688,154
641,128
332,626
49,788
106,867
1,046,103
272,709
105,742
297,118
273,241
974,474
573,157
199,707
71,629
1,202,038
2015
6,438
556,181
562,619
692,115
-13,900
1,245,167
1,582,066
744,241
837,825
286,401
46,970
153,367
1,034,685
292,723
125,792
321,158
256,948
1,114,081
574,073
328,305
-79,396
1,245,167
2016
6,792
782,732
789,524
619,612
44,748
1,458,212
1,976,068
911,348
1,064,720
259,189
7,598
237,670
1,102,234
326,557
135,709
304,604
254,033
1,213,200
615,618
460,226
-110,965
1,458,212
2017
6,792
573,827
580,619
744,891
11,740
1,341,781
2,043,106
1,090,398
952,708
336,988
6,733
203,379
1,237,735
350,853
140,756
360,779
291,474
1,395,762
625,326
622,314
-158,027
1,341,782
2018E
6,792
720,186
726,978
726,807
11,740
1,471,132
2,471,810
1,292,150
1,179,660
250,000
6,733
226,732
1,208,114
381,118
160,471
256,178
306,474
1,400,107
657,930
581,706
-191,993
1,471,132
2019E
6,792
930,685
937,477
708,724
11,740
1,664,735
2,847,860
1,537,499
1,310,361
250,000
6,733
253,269
1,399,622
461,715
194,406
308,153
321,474
1,555,249
777,625
583,218
-155,627
1,664,735
2020E
6,792
1,160,076
1,166,868
690,640
11,740
1,877,332
3,232,752
1,823,467
1,409,285
250,000
6,733
293,706
1,531,104
494,458
208,193
368,105
336,474
1,613,495
832,772
572,531
-82,392
1,877,332
10 January 2018
3

Tata Motors
Financials and valuations
Ratios (Con.)
Y/E March
Basic (INR)
EPS
EPS Fully Diluted
Normalized EPS ^
EPS Growth (%)
Cash EPS
Book Value (Rs/Share)
DPS
Payout (Incl. Div. Tax) %
Valuation (x)
Consolidated P/E
Normalized P/E
EV/EBITDA
EV/Sales
Price to Book Value
Dividend Yield (%)
Profitability Ratios (%)
RoE
RoCE
RoIC
Turnover Ratios
Debtors (Days)
Inventory (Days)
Creditors (Days)
Asset Turnover (x)
Leverage Ratio
Debt/Equity (x)
2013
31.2
31.2
11.4
-16.8
54.9
118.0
2.0
6.5
2014
44.1
44.1
17.8
41.3
78.5
203.8
2.0
4.6
2015
43.6
43.6
14.4
-1.1
85.2
174.8
0.0
0.0
2016
38.4
38.4
7.2
-12.0
87.6
232.5
0.0
0.0
10.7
57.5
3.5
0.5
1.8
0.0
28.3
17.0
30.6
21
41
87
2.1
1.5
27.5
19.2
38.7
17
43
90
1.9
0.8
23.1
15.7
39.2
17
41
80
2.1
1.2
19.3
15.1
34.5
18
44
82
1.9
0.8
2017
19.8
19.8
-10.6
-48.4
72.5
171.0
0.0
0.0
20.8
-38.8
4.3
0.6
2.4
0.0
9.8
9.2
22.6
19
47
85
2.0
1.3
2018E
32.8
32.8
-1.0
65.5
92.2
214.1
0.3
1.0
13.3
-437.5
4.5
0.6
2.0
0.1
17.0
9.6
21.9
20
48
82
2.0
1.0
2019E
60.7
60.7
22.2
85.2
133.0
276.1
0.3
0.5
7.2
19.6
2.9
0.5
1.6
0.1
24.8
15.2
29.3
20
48
80
2.1
0.8
2020E
66.3
66.3
18.3
9.2
150.5
343.6
0.3
0.5
6.6
23.9
2.5
0.4
1.3
0.1
21.4
13.9
26.3
20
48
80
2.0
0.6
Cash Flow Statement
Y/E March
OP/(Loss) before Tax
Int/Div. Received
Depreciation
Direct Taxes Paid
(Inc)/Dec in WC
Other Items
CF from Op Activity
Extra-ordinary Items
CF after EO Items
(Inc)/Dec in FA+CWIP
(Pur)/Sale of Invest.
CF from Inv Activity
Issue of Shares
Inc/(Dec) in Debt
Interest Paid
Dividends Paid
CF from Fin Activity
Inc/(Dec) in Cash
Add: Beginning Bal.
Closing Balance
E: MOSL Estimates
2013
98,926
8,062
75,648
-22,231
-680
64,617
224,343
4,342
228,684
-187,203
-54,984
-242,188
7
45,082
-46,560
-15,087
-16,558
-30,061
153,550
123,488
2014
139,910
6,933
110,736
-43,083
57,744
88,983
361,223
7,221
368,444
-269,252
-36,611
-305,863
1
30,092
-61,706
-7,220
-38,832
23,749
142,531
166,280
2015
139,863
7,777
133,864
-41,940
-36,718
136,570
339,415
20,191
359,606
-315,396
-37,570
-352,966
0
122,288
-63,070
-7,204
52,014
58,655
152,629
211,283
2016
110,238
8,258
170,142
-19,939
25,515
96,855
391,069
8,857
399,925
-326,232
-68,134
-394,366
74,332
-47,483
-57,039
-1,739
-31,930
-26,371
219,875
193,505
2017
74,544
7,545
179,050
-65,520
103,236
1,068
299,923
11,146
311,069
-144,837
34,291
-110,546
-283,449
125,280
-42,380
0
-200,550
-27
360,779
360,752
2018E
142,119
7,368
201,752
-48,659
-70,635
1,076
233,021
43,229
276,251
-341,716
-23,353
-365,069
5,344
-18,084
-42,954
-1,104
-56,797
-145,615
256,178
110,562
2019E
206,259
7,684
245,349
-64,178
15,610
1,187
411,912
0
411,912
-376,049
-26,537
-402,586
5,344
-18,084
-44,744
-1,104
-58,588
-49,262
308,153
258,891
2020E
225,151
8,158
285,968
-59,115
-13,284
1,290
448,168
0
448,168
-384,893
-40,437
-425,330
5,344
-18,084
-45,663
-1,104
-59,508
-36,670
368,105
331,435
10 January 2018
4

Tata Motors
NOTES
10 January 2018
5

Disclosures:
The following Disclosures are being made in compliance with the SEBI Research Analyst Regulations 2014 (herein after referred to as the Regulations).
Motilal Oswal Securities Ltd. (MOSL) is a SEBI Registered Research Analyst having registration no. INH000000412. MOSL, the Research Entity (RE) as defined in the Regulations, is engaged in the business of providing Stock
broking services, Investment Advisory Services, Depository participant services & distribution of various financial products. MOSL is a subsidiary company of Motilal Oswal Financial Service Ltd. (MOFSL). MOFSL is a listed
public company, the details in respect of which are available on
www.motilaloswal.com.
MOSL is registered with the Securities & Exchange Board of India (SEBI) and is a registered Trading Member with National Stock
Exchange of India Ltd. (NSE) and Bombay Stock Exchange Limited (BSE), Metropolitan Stock Exchange Of India Ltd. (MSE) for its stock broking activities & is Depository participant with Central Depository Services Limited
(CDSL) & National Securities Depository Limited (NSDL) and is member of Association of Mutual Funds of India (AMFI) for distribution of financial products. Details of associate entities of Motilal Oswal Securities Limited are
available on the website at
http://onlinereports.motilaloswal.com/Dormant/documents/Associate%20Details.pdf
Tata Motors
Pending Regulatory Enquiries against Motilal Oswal Securities Limited by SEBI:
SEBI pursuant to a complaint from client Shri C.R. Mohanraj alleging unauthorized trading, issued a letter dated 29th April 2014 to MOSL notifying appointment of an Adjudicating Officer as per SEBI regulations to hold
inquiry and adjudge violation of SEBI Regulations; MOSL requested SEBI to provide all documents, records, investigation report relied upon by SEBI which were referred in Show Cause Notice. The matter is currently
pending.
MOSL, it’s associates, Research Analyst or their relative may have any financial interest in the subject company. MOSL and/or its associates and/or Research Analyst may have beneficial ownership of 1% or more securities in
the subject company at the end of the month immediately preceding the date of publication of the Research Report.
MOSL and its associate company(ies), their directors and Research Analyst and their relatives may; (a)
from time to time, have a long or short position in, act as principal in, and buy or sell the securities or derivatives thereof of companies mentioned herein. (b) be engaged in any other transaction involving such securities and
earn brokerage or other compensation or act as a market maker in the financial instruments of the company(ies) discussed herein or act as an advisor or lender/borrower to such company(ies) or may have any other
potential conflict of interests with respect to any recommendation and other related information and opinions.; however the same shall have no bearing whatsoever on the specific recommendations made by the analyst(s),
as the recommendations made by the analyst(s) are completely independent of the views of the associates of MOSL even though there might exist an inherent conflict of interest in some of the stocks mentioned in the
research report.
Research Analyst may have served as director/officer, etc. in the subject company in the last 12 month period. MOSL and/or its associates may have received any compensation from the subject company in
the past 12 months.
In the last 12 months period ending on the last day of the month immediately preceding the date of publication of this research report, MOSL or any of its associates may have:
a)
managed or co-managed public offering of securities from subject company of this research report,
b)
received compensation for investment banking or merchant banking or brokerage services from subject company of this research report,
c)
received compensation for products or services other than investment banking or merchant banking or brokerage services from the subject company of this research report.
d)
Subject Company may have been a client of MOSL or its associates during twelve months preceding the date of distribution of the research report.
MOSL and it’s associates have not received any compensation or other benefits from the subject company or third party in connection with the research report. To enhance transparency, MOSL has incorporated a Disclosure
of Interest Statement in this document. This should, however, not be treated as endorsement of the views expressed in the report. MOSL and / or its affiliates do and seek to do business including investment banking with
companies covered in its research reports. As a result, the recipients of this report should be aware that MOSL may have a potential conflict of interest that may affect the objectivity of this report. Compensation of Research
Analysts is not based on any specific merchant banking, investment banking or brokerage service transactions.
Terms & Conditions:
This report has been prepared by MOSL and is meant for sole use by the recipient and not for circulation. The report and information contained herein is strictly confidential and may not be altered in any way, transmitted to,
copied or distributed, in part or in whole, to any other person or to the media or reproduced in any form, without prior written consent of MOSL. The report is based on the facts, figures and information that are considered
true, correct, reliable and accurate. The intent of this report is not recommendatory in nature. The information is obtained from publicly available media or other sources believed to be reliable. Such information has not
been independently verified and no guaranty, representation of warranty, express or implied, is made as to its accuracy, completeness or correctness. All such information and opinions are subject to change without notice.
The report is prepared solely for informational purpose and does not constitute an offer document or solicitation of offer to buy or sell or subscribe for securities or other financial instruments for the clients. Though
disseminated to all the customers simultaneously, not all customers may receive this report at the same time. MOSL will not treat recipients as customers by virtue of their receiving this report.
Analyst Certification
The views expressed in this research report accurately reflect the personal views of the analyst(s) about the subject securities or issues, and no part of the compensation of the research analyst(s) was, is, or will be directly or
indirectly related to the specific recommendations and views expressed by research analyst(s) in this report.
Disclosure of Interest Statement
Analyst ownership of the stock
Tata Motors
No
A graph of daily closing prices of securities is available at
www.nseindia.com, www.bseindia.com.
Research Analyst views on Subject Company may vary based on Fundamental research and Technical Research. Proprietary
trading desk of MOSL or its associates maintains arm’s length distance with Research Team as all the activities are segregated from MOSL research activity and therefore it can have an independent view with regards to
subject company for which Research Team have expressed their views.
Regional Disclosures (outside India)
This report is not directed or intended for distribution to or use by any person or entity resident in a state, country or any jurisdiction, where such distribution, publication, availability or use would be contrary to law,
regulation or which would subject MOSL & its group companies to registration or licensing requirements within such jurisdictions.
For Hong Kong:
This report is distributed in Hong Kong by Motilal Oswal capital Markets (Hong Kong) Private Limited, a licensed corporation (CE AYY-301) licensed and regulated by the Hong Kong Securities and Futures Commission (SFC)
pursuant to the Securities and Futures Ordinance (Chapter 571 of the Laws of Hong Kong) “SFO”. As per SEBI (Research Analyst Regulations) 2014 Motilal Oswal Securities (SEBI Reg No. INH000000412) has an agreement with
Motilal Oswal capital Markets (Hong Kong) Private Limited for distribution of research report in Hong Kong. This report is intended for distribution only to “Professional Investors” as defined in Part I of Schedule 1 to SFO. Any
investment or investment activity to which this document relates is only available to professional investor and will be engaged only with professional investors.” Nothing here is an offer or solicitation of these securities,
products and services in any jurisdiction where their offer or sale is not qualified or exempt from registration. The Indian Analyst(s) who compile this report is/are not located in Hong Kong & are not conducting Research
Analysis in Hong Kong.
For U.S.
Motilal Oswal Securities Limited (MOSL) is not a registered broker - dealer under the U.S. Securities Exchange Act of 1934, as amended (the"1934 act") and under applicable state laws in the United States. In addition MOSL is
not a registered investment adviser under the U.S. Investment Advisers Act of 1940, as amended (the "Advisers Act" and together with the 1934 Act, the "Acts), and under applicable state laws in the United States.
Accordingly, in the absence of specific exemption under the Acts, any brokerage and investment services provided by MOSL, including the products and services described herein are not available to or intended for U.S.
persons. This report is intended for distribution only to "Major Institutional Investors" as defined by Rule 15a-6(b)(4) of the Exchange Act and interpretations thereof by SEC (henceforth referred to as "major institutional
investors"). This document must not be acted on or relied on by persons who are not major institutional investors. Any investment or investment activity to which this document relates is only available to major institutional
investors and will be engaged in only with major institutional investors. In reliance on the exemption from registration provided by Rule 15a-6 of the U.S. Securities Exchange Act of 1934, as amended (the "Exchange Act") and
interpretations thereof by the U.S. Securities and Exchange Commission ("SEC") in order to conduct business with Institutional Investors based in the U.S., MOSL has entered into a chaperoning agreement with a U.S.
registered broker-dealer, Motilal Oswal Securities International Private Limited. ("MOSIPL"). Any business interaction pursuant to this report will have to be executed within the provisions of this chaperoning agreement.
The Research Analysts contributing to the report may not be registered /qualified as research analyst with FINRA. Such research analyst may not be associated persons of the U.S. registered broker-dealer, MOSIPL, and
therefore, may not be subject to NASD rule 2711 and NYSE Rule 472 restrictions on communication with a subject company, public appearances and trading securities held by a research analyst account.
For Singapore
Motilal Oswal Capital Markets Singapore Pte Limited is acting as an exempt financial advisor under section 23(1)(f) of the Financial Advisers Act(FAA) read with regulation 17(1)(d) of the Financial Advisors Regulations and is a
subsidiary of Motilal Oswal Securities Limited in India. This research is distributed in Singapore by Motilal Oswal Capital Markets Singapore Pte Limited and it is only directed in Singapore to accredited investors, as defined in
the Financial Advisers Regulations and the Securities and Futures Act (Chapter 289), as amended from time to time. In respect of any matter arising from or in connection with the research you could contact the following
representatives of Motilal Oswal Capital Markets Singapore Pte Limited:
Disclaimer:
The report and information contained herein is strictly confidential and meant solely for the selected recipient and may not be altered in any way, transmitted to, copied or distributed, in part or in whole, to any other person
or to the media or reproduced in any form, without prior written consent. This report and information herein is solely for informational purpose and may not be used or considered as an offer document or solicitation of
offer to buy or sell or subscribe for securities or other financial instruments. Nothing in this report constitutes investment, legal, accounting and tax advice or a representation that any investment or strategy is suitable or
appropriate to your specific circumstances. The securities discussed and opinions expressed in this report may not be suitable for all investors, who must make their own investment decisions, based on their own investment
objectives, financial positions and needs of specific recipient. This may not be taken in substitution for the exercise of independent judgment by any recipient. Each recipient of this document should make such investigations
as it deems necessary to arrive at an independent evaluation of an investment in the securities of companies referred to in this document (including the merits and risks involved), and should consult its own advisors to
determine the merits and risks of such an investment. The investment discussed or views expressed may not be suitable for all investors. Certain transactions -including those involving futures, options, another derivative
products as well as non-investment grade securities - involve substantial risk and are not suitable for all investors. No representation or warranty, express or implied, is made as to the accuracy, completeness or fairness of
the information and opinions contained in this document. The Disclosures of Interest Statement incorporated in this document is provided solely to enhance the transparency and should not be treated as endorsement of the
views expressed in the report. This information is subject to change without any prior notice. The Company reserves the right to make modifications and alternations to this statement as may be required from time to time
without any prior approval. MOSL, its associates, their directors and the employees may from time to time, effect or have effected an own account transaction in, or deal as principal or agent in or for the securities
mentioned in this document. They may perform or seek to perform investment banking or other services for, or solicit investment banking or other business from, any company referred to in this report. Each of these entities
functions as a separate, distinct and independent of each other. The recipient should take this into account before interpreting the document. This report has been prepared on the basis of information that is already
available in publicly accessible media or developed through analysis of MOSL. The views expressed are those of the analyst, and the Company may or may not subscribe to all the views expressed therein. This document is
being supplied to you solely for your information and may not be reproduced, redistributed or passed on, directly or indirectly, to any other person or published, copied, in whole or in part, for any purpose. This report is not
directed or intended for distribution to, or use by, any person or entity who is a citizen or resident of or located in any locality, state, country or other jurisdiction, where such distribution, publication, availability or use would
be contrary to law, regulation or which would subject MOSL to any registration or licensing requirement within such jurisdiction. The securities described herein may or may not be eligible for sale in all jurisdictions or to
certain category of investors. Persons in whose possession this document may come are required to inform themselves of and to observe such restriction. Neither the Firm, not its directors, employees, agents or
representatives shall be liable for any damages whether direct or indirect, incidental, special or consequential including lost revenue or lost profits that may arise from or in connection with the use of the information.
The
person accessing this information specifically agrees to exempt MOSL or any of its affiliates or employees from, any and all responsibility/liability arising from such misuse and agrees not to hold MOSL or any of its affiliates or
employees responsible for any such misuse and further agrees to hold MOSL or any of its affiliates or employees free and harmless from all losses, costs, damages, expenses that may be suffered by the person accessing this
information due to any errors and delays.
Registered Office Address: Motilal Oswal Tower, Rahimtullah Sayani Road, Opposite Parel ST Depot, Prabhadevi, Mumbai-400025; Tel No.: 022-3980 4263; www.motilaloswal.com. Correspondence Address: Palm Spring
Centre, 2nd Floor, Palm Court Complex, New Link Road, Malad (West), Mumbai- 400 064. Tel No: 022 3080 1000. Compliance Officer: Neeraj Agarwal, Email Id:
na@motilaloswal.com,
Contact No.:022-30801085.
Registration details of group entities.: MOSL: SEBI Registration: INZ000158836 (BSE/NSE/MSE); CDSL: IN-DP-16-2015; NSDL: IN-DP-NSDL-152-2000; Research Analyst: INH000000412. AMFI: ARN 17397. Investment Adviser:
INA000007100. Motilal Oswal Asset Management Company Ltd. (MOAMC): PMS (Registration No.: INP000000670) offers PMS and Mutual Funds products. Motilal Oswal Wealth Management Ltd. (MOWML): PMS
(Registration No.: INP000004409) offers wealth management solutions. *Motilal Oswal Securities Ltd. is a distributor of Mutual Funds, PMS, Fixed Deposit, Bond, NCDs, Insurance and IPO products. * Motilal Oswal
Commodities Broker Pvt. Ltd. offers Commodities Products. * Motilal Oswal Real Estate Investment Advisors II Pvt. Ltd. offers Real Estate products. * Motilal Oswal Private Equity Investment Advisors Pvt. Ltd. offers Private
Equity products
10 January 2018
6