MOSt
Advisor
Monthly Markets Newsletter
December 2017
In This Issue
•
Market Outlook for the month
•
Investment Ideas
• Equity Market Outlook
• Derivatives & Commodities Market Outlook
• Model Advisory Portfolios
• Recommended Funds
• New AIF offerings
Key Highlights
Q2 GDP growth accelerates to 6.3%
India's sovereign credit rating upgraded to Baa2 by Moody's
Nifty 2QFY18 PAT growth of 13.4% highest in seven quarters
Dear Investor,
Market in November 2017:
Nifty touched new peak in
November but later took a breather to close at 10,227 (down
1.1% MoM). Nifty Midcap 50 gained 1.7%, led by robust
institutional flows. FIIs bought stocks worth USD3bn, second
consecutive month of inflows. DIIs bought stocks worth
USD1.4bn in November.
On the macro front, India's Real GDP growth picked up to 6.3% in 2QFY18, up from
its three-year low of 5.7% in 1QFY18. India's fiscal deficit for April-October 2017
period reached 96% of FY18 target mainly due to lower revenue collections and rise
in expenditure. The government continued with its review and recalibration of GST,
with the council reducing tax on 178 items under the highest 28% slab to 18%.
Moody's upgraded India's sovereign credit rating to Baa2 from Baa3 and changed
the outlook from positive to stable after nearly 14 years. Moody's cited continued
progress in the nation's economic and institutional reforms such as GST, Demoneti-
Pre. Mth
Global Market
Index
30-Nov 17
MoM (%)
YoY(%)
Sensex
Nifty
FTSE 100
Dow
Nasdaq
Hang Sang
33,149
10,227
7,327
24,272
6,874
29,177
-0.2
-1.0
-2.2
3.8
2.2
3.3
24.4
24.3
8.0
26.9
29.1
28.0
Economic Pulse
Key Indicators Current Mth
zation, Direct Benefit Transfer, Monetary Policy which are expected to drive gradual
improvement in India's fiscal metrics. It expects India's GDP to grow at 6.7% in FY18
and 7.5% in FY19.
The 2QFY18 earnings season exhibited improving trend. Re-stocking post GST rollout,
retention of input tax credits and the early onset of the festive season supported few
B2C sectors, while many corporates sounded optimistic about rural consumption
revival, going ahead. Nifty earnings growth of 13.4% was the highest in last seven
quarters and was mainly driven by Cyclicals.
In Sensex reconstitution, Yes Bank and Indusind Bank will be included while Cipla
and Lupin will be excluded w.e.f. 18th December 2017.
Outlook December 2017:
Nifty has been consolidating in the 10,000-10,500 band.
The 2QFY18 earnings season has formed the base for revival in 2HFY18 and FY19
- which we believe would keep the overall market sentiment positive. Meanwhile,
crude has rallied towards the USD60-65 band and can act as a source of worry if
prices were to rally further. Outcome of the Gujarat state elections would be a key
monitorable.
Siddhartha Khemka
Vice President- Head - Retail Research
IIP
CPI
10 Year Yield
USD/ INR
Crude ($)
Gold (10 gms)
3.8%
3.58%
7.06%
64.46
63.57
29236
4.3%
3.28%
6.86%
64.74
61.37
29333
Thought for the month
1
 Motilal Oswal Financial Services
On This Page
MOSt
Advisor
Monthly Markets Newsletter
Large Cap Investment Ideas,
Mid Cap Investment Ideas
Must Act
December 2017
Investment Ideas
√
Bajaj Auto is back on the growth path and we expect total volume CAGR of 10% over
Bajaj Auto
CMP*:
Target:
INR 3306
INR 4197
FY17-20, driven by 15% CAGR in exports, 13% CAGR in domestic 3Ws, and 7% CAGR
in domestic motorcycles.
√
EBITDA margin is likely to expand by ~60bp to 20.9% in FY20. Net profit is estimated
to grow at 16% CAGR over FY17-20 leading to improvement in RoE to 29% by FY20
(from 27% in FY17). We recommend BUY with a target price of INR4,197.
BUY
√
Sadbhav Engineering provides EPC services in the roads, mining and irrigation segments.
It also has a strong BOT portfolio of 18 road projects. The company has strong order book
of INR77bn and expects revenue growth of 18-20% over FY18-20.
√
We believe that company is well placed to take advantage of the upcoming opportunity in
the road sector, given its execution capability, management bandwidth and recent balance
sheet improvement. Over FY17-20, we expect 17% revenue CAGR and 16% earnings. We
recommend BUY with a target price of INR435.
Sadbhav Engineering
CMP*:
Target:
INR 380
INR 435
BUY
PC Jeweller
CMP*:
Target:
INR 395
INR 490
√
PC Jeweller is India's 2nd largest Jewelry Retailer with a strong brand presence in North
and Central India. We see an enormous opportunity unfolding in Indian Jewelry as a
result of value migration towards organized players.
√
We expect strong 25-30% growth in domestic business (64% of sales in FY17), result-
ing in more than doubling of the segment sales over FY17-20. RoCE is likely to improve
BUY
to 19.5% in FY20, led by increasing store-level sales, profitability as well as higher use of
franchisees, making the business asset-light. We recommend BUY with a target price of
INR490.
√
Nilkamal is a market leader with ~32% share in the moulded furniture segment. It sells
~1.4mn plastic moulded chairs per annum. The company is expected to benefit from the
accelerated shift towards organized Ready Furniture sector due to better aesthetics, de-
sign, quality, etc. Further, GST implementation would also aid shift from unorganized to
organized segment.
√
The company has free cash flows with very low leverage (D/E of 0.14x FY17). RoE im-
proved from 10% in FY15 to 18% in FY17. We recommend BUY with target price of
INR2,215.
Nilkamal
CMP*:
Target:
INR 1762
INR 2215
BUY
*Data as on 30th November 2017.
2
 Motilal Oswal Financial Services
On This Page
MOSt
Advisor
Monthly Markets Newsletter
Equity Market Outlook
Markets & Our Recommendations
December 2017
Equity Market Outlook
Technical Outlook
√
Nifty index saw a volatile month as the index oscillated between 10094 to 10490
USDINR
zones. The highlight of the month was the sell-off that the index saw on the last
day of November expiry which continued even on the next days. Nifty made a
small bodied candle for the month of November which under the context and
location suggests rotational action; a sign that the index is taking a pause in the
ongoing trend. Nifty traded below the 50 DEMA but as the trend is turned side-
ways this signal is questionable. Now Nifty has to hold near to 10094, for short
term bounce back move.
√
On the news front, the month of November saw better than expected GDP data
and this was followed by PMI data which was also encouraging. We are now
Nifty Weekly
waiting for RBI monetary policy. Though the street does not expect any radical
changes in the rates but the tone of the policy will be watched very carefully.
√
The top performing sector in the November was IT stocks. The Financial services
sector index ended with small gains but saw a bit of a sell-off from the highs as
several housing finance stocks saw profit booking. Metal sector was a loser as
non-ferrous stocks declined sharply from their recent highs.
√
On the weekly scale, Nifty fell down sharply and wiped out the gains of previous
two weeks as expiry day blues and jitters on slowdown in economy prompted the
sellers to push the index lower. Index is now near to an important support of
Nifty Daily
10094 which is also a key levels of a rising trend line on Daily and weekly scale.
Another interesting development in Nifty is a descending triangle pattern that is
readily visible. This is contraction of volatility and a possible continuation pattern.
A breakout of the pattern on the upside would mean much higher levels. For the
time being the Nifty has resistance at 10178 and a hold above this could see an up
move towards 10300 then 10400. While on the downside, a decisive hold below
10094 could mean a decline towards 9980 then 9900 zones.
Strategy-
Strategy
Nifty is near to key support of 10094 and if it is not respected then
index could drift towards 10000 then 9900 zones while a hold above 10178
could mean a short term bottom process for an up move towards 10300-10400
zones.
Sectoral Highlights
Sector
IT
Auto
Metal
Our Views
Positive
Positive
Positive
Top Pick
Mind Tree Ltd
TVS Motors
NMDC
MBP / MSP
Buy / 553
Buy / 726
Buy / 133
TGT / SL
593 / 533
768 / 710
143 / 128
Note: #Technical view for 1 month perspective
3
 Motilal Oswal Financial Services
On This Page
√
MOSt
Advisor
Monthly Markets Newsletter
Derivatives Market Outlook,
Commodities Market Outlook
Markets & Our Recommendations
December 2017
Derivatives Market Outlook
SECTOR OI
NIFTY - BEAR PUT SPREAD / HEDGE
Nifty witnessed rollover of 63.28% V/s 3 MA of 66.84%. Bank Nifty witnessed
rollover of 55.62% V/s 3 MA of 67.17%. December series started with Open
Interest of 17.83mn shares compared to 23.13mn shares seen at the start of
Buy 1 Lot 10100 PE;
Sell 1 Lot 9900 PE
Stop Loss
: 20 Points
Target
: 155 Points
Premium Paid : 60
Nifty has been making lower highs - lower lows
India VIX has recently jumped by more than 16%
Fresh Call writing at higher strikes suggests that index may find
multiple hurdles near to 10250-10300 zones
Thus, a Hedged, Bear Put Spread is recommended
November series. Rollovers are lower than its last three month average which
√
suggests that traders are reducing their long bets and expecting some volatility
√
in the market. Overall long built up were seen in Banking, FMCG and NBFC stocks.
√
√
Auto: Long in M&M and Bharatforg while shorts in Eicher Motor and Ashokley
√
Cement: Long in Dalmia, Shorts covering in ACC and India Cement
√
√
Banks : Short Covering in Axis Bank, Shorts in Can Bank, PNB and BOB
√
Metal: Long in Jindalstel Shorts in VEDL and Hindalco
√
NBFC: Long in Ujjivan, Manapuram Fin, Shorts in L&TFH, Muthoot Fin and Lichsgfin
√
OIL&Gas: Long in IGL, ONGC and Gail, Shorts in BPCL
√
IT: Long in Hexaware, NIIT Tech and Tataelexsi, Shorts in Wipro
Commodities Market Outlook
Roundup
√
Moody' s seemed to be in a good mood and upgraded India's credit rating one notch higher from Baa3 to Baa2, and changed its credit outlook
for India from positive to stable following expectation of continued progress on economic and institutional reforms. Moody's has also raised
India's long-term foreign-currency bond ceiling to Baa1 from Baa2, and the long-term foreign-currency bank deposit ceiling to Baa2 from Baa3.
Equities as well as the rupee have risen since then, but market will be watchful ahead of the Gujarat election that is held this month. Q2 GDP
number showed the Indian economy grew 6.3% compared to growth of 5.7% in the previous quarter and ended its five quarter slide.
√
Precious metals ended almost flat in November and have been stuck in a narrow range for the last two months owing to conflicting drivers.
The passage of US tax bill coupled with strong growth momentum in the economy kept gold prices capped at higher levels. The selloff in prices
was however limited as the investigation into Trump campaigns Russian connection progressed. Geo-political factors also helped prices find
support as North Korea test fired its most advanced intercontinental ballistic missile last month. Looking ahead, we believe these factors would
continue to keep gold prices tied in a range but the FOMC meeting and the US debt ceiling debate could provide the much needed direction
to prices.
4
 Motilal Oswal Financial Services
On This Page
MOSt
Advisor
Monthly Markets Newsletter
MOSt Multi Cap
For Whom :
Investment Duration :
Risk Profile :
Scrip
HDFC Bank
Bajaj Auto
HDFC Standard LiFe
Yes Bank
Zee Ent.
Piramal Enterprises
CG Consumer Elec
Ramco Cement
PC Jeweller
Shriram City Union
Capital First
Can Fin Homes
Granules
Sterling Tools
Cash
Total
*Data as on 30th November 2017.
MOSt Multi Cap , MOSt Velocity
Build a Portfolio
December 2017
Long Term Investors
One year and above
Moderate Investors
Wtg. Sectoral Allocation
10
10
5
10
10
10
5
5
5
5
5
5
5
5
5
100
In
: Bajaj Auto, HDFC Standard Life
Insurance , PC Jeweller
We are recommending a MULTI-CAP approach with the
following characteristics:
√
Corpus requirement of INR 10 Lakhs
√
40-50% in Large-cap and 50-60% in Mid-cap
√
15 companies to invest at maximum, 10 minimum
√
Large-cap stocks are suitable for SIP investments as well
√
Adheres to our QGLP philosophy
CMP
1854
3306
372
307
568
2774
266
700
395
2051
702
484
128
382
Out : Hero Moto, Dewan Housing,
PI Industries
MOSt Velocity
For Whom :
Investment Duration :
Risk Profile :
Scrip
Tata Motors Ltd
RBL Bank Ltd
Federal Bank Ltd
IOC
Reliance Ind.
Eicher Motors
Maruti Suzuki
Cash
Total
Medium Term Investors
Few months horizon
Moderate Investors
Wtg. Sectoral Allocation
10
10
10
10
10
10
5
5
30
100
In
: Reliance Ind., Maruti Suzuki
Investment characteristics
√
Corpus requirement of INR 10 Lakhs
√
Investment Rationale based on TechnoFunda
√
Maximum stocks open : 10
√
Cash holding based on market direction call. Cash to be deployed
in case of sharp market falls
√
10% in a particular Stock and 30% (max) in a Sector
CMP
404
517
111
394
922
29944
8599
LIC Housing Finance 582
Out : Dalmia Bharat
*Data as on 30th November 2017.
5
 Motilal Oswal Financial Services
On This Page
MOSt
Advisor
Monthly Markets Newsletter
MOSt PMS - Model Portfolio
Managed Funds
December 2017
MOSt PMS
Performance since inception
√
Large Cap PMS:
VALUE STRATEGY- An amount of 1 cr. Invested in March 2003 is worth INR 25.62 crore (compounded return of 24.69%)
√
Multi Cap PMS:
ASK IEP STRATEGY- Amount of 1 cr. Invested in January 2010 is worth INR 4.58 crore (compounded return of 21.4%)
√
Multi Cap PMS:
NTDOP STRATEGY- Amount of 1 cr. Invested in December 2007 is worth INR 5.80 crore (compounded return of 19.23%)
√
Small & Midcap PMS:
IOP STRATEGY- Amount of 1 cr. Invested in February 2010 is worth INR 3.75 crore (compounded return of 18.46%)
Latest Performance of all PMS (Portfolio Management Services) strategies. (As on 30th Nov. 2017)
6
 Motilal Oswal Financial Services
On This Page
MOSt
Advisor
Monthly Markets Newsletter
What is Category III Alternative Investment Fund?
Investment Product
Motilal Oswal Focused Emergence Fund
December 2017
New AIF offerings: Motilal Oswal Focused Emergence Fund - (AIF category III)
The Indian AIF industry is giving investors a wider platform for investing across asset classes as this is evident from the steady rise in asset across
all categories. AIF (category III) invests in tradable securities. Unlike, PMS where minimum ticket size is INR 25 lacs, the minimum investment
under AIF is INR 1Cr.
√
This makes suitable for Ultra HNI investors.
√
Investments are staggered, which means investors don't need to put the money in one go.
√
The management fees is between 150 to 175 bps. (1.50% to 1.75%). Which is lower than Mutual Fund expense ratio (2.25% to 2.5%?)
√
There is a performance fee which means fund manager charges fees if the fund performs.
√
Execution & tax aspects are also in favor of AIF investors given the structure.
√
As it will not be available to invest and redeem, this will give the cushion for Fund manager to take call.
Why Motilal Oswal AIF?
√
Investment strategy remains same of BUY RIGHT & SIT TIGHT through QGLP approach.
√
Investment in drawdown (40% of commitment amount at first drawdown), this will help the investor and fund manager to time the market
and no need to deploy the amount at Lump sum.
√
Build focused portfolio of 15-20 stocks.
√
Closed end fund of 4 years (with extension of 1 year). Means, Fund manager can extend the tenure of product by maximum ONE YEAR if looks
better opportunity to generate returns.
√
As it's a closed end fund, wherein Investment Manager can take long term investment views which helps the investors to ride the complete
cycle of the business growth
Key features of new AIF "Motilal Oswal Focused Emergence Fund".
7
 Motilal Oswal Financial Services
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
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 1% or more securities
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.: Motilal Oswal Securities Ltd. (MOSL): 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 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