Motilal Oswal Financial Services

Sector Update |

8 July 2019

Automobiles

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BS6 conundrum: OEMs need to do a balancing act

MSIL/EIM least impacted, can potentially benefit from product actions

Indian automakers are all set to transition to Bharat Stage (BS) 6 norms next year. With

these norms being based on Euro 6 standards, India will become the first country in the

world to leapfrog from Euro 4 to Euro 6 (skipping Euro 5) norms. Although BS6 will bring in

much stricter control on emission and reduce pollution, it will also exert pressure on

automakers to deal with increased investment toward compliance and technology,

particularly in a weak demand environment. While this has the potential to create

disruption in the industry, it will also present an opportunity for well-prepared OEMs to

gain competitive/first-mover advantage. Unlike in the past, this transition is unique in

many ways, and thus, would necessitate OEMs to do a balancing act.

BS6: Key Challenges



Impact on demand due to

cost inflation



Availability of BS6 fuel

(particularly diesel)

earlier than Apr’20.



Quick ramp-down of BS4

vehicles and ramp-up of

BS6, particularly at

supplier end.



Inventory planning at

both OEM and supplier

end. - Testing &

validation of entire

portfolio by approving

agencies.



Impart training across

downstream value-chain,

including unauthorized

garages.

BS6: Opportunities



Reduce complexity &

rationalize number of

platforms.



With narrowing of

technology gap, export

opportunities open up

given India’s low cost

advantage.



Scaling up alternative fuel

technologies, including

CNG, hybrids and EVs as

price gap reduces vis-à-

vis diesel.



BS6 is likely to turn out to be the most expensive progression in India, resulting

in cost inflation of up to 15% (least for PV petrol at up to 4%). This is on top of

the most inflationary 12 months for auto customers over the last decade.



The upcoming BS6 transition is unique in many ways, making it even

difficult for OEMs (to strategize) and investors to draw any inference from

the past. Moreover, this is for the first time that (a) cost inflation is very high

and (b) the implementation is happening simultaneously across auto segments

(unlike staggered in the past).

Hence, OEMs will need to do a balancing act to minimize (a) risk of market

share loss (if transited too early), (b) risk of loss on inventory (if transited too

late) and (c) margin impact (due to discounts to clear inventory).

OEMs are indicating benefit of pre-buy to reflect in wholesales in 2Q/3QFY20,

while retails pre-buy would reflect in 3Q/4QFY20.

Hence, unlike in the past, the industry is likely to witness moderate

peaks/troughs in pre and post transition. This is contrary to what is expected

based on pre-buy history.

We expect cycles within cycles and volatility in volumes until 1HFY21 – volumes

recovery in 2HCY19, weak 1HCY20 and normalcy to return only in 2HCY21.

We expect PVs to be least impacted during the BS6 transition due to the limited

cost increase for petrol PVs (~70% of industry volumes) and the scope in

alternative fuels.

On the other hand, 2Ws/CVs would be most impacted by very high cost

inflation. The impact on CVs will be determined by economic viability and freight

availability. 2Ws could see substantial pre-buy and consequent weakness.

BS6 transition would narrow the pricing gap between ICEs and hybrid/EVs in the

2W (particularly 125cc scooters) and PV segments. We believe that BS6 could be

an inflection point for e-scooters and strong hybrid PVs.

MSIL is best placed for BS6 transition due to its less dependence on diesel (~23%

of MSIL's domestic volumes) and focus on CNG/strong hybrids.

In 2Ws, EIM is likely to be least impacted as cost inflation for BS6 would be

relatively less at 5-6%. With the transition, its core portfolio will get the much-

needed overhaul, with product quality potentially coming closer to 650cc twins.

We had recently lowered our FY20/21 EPS estimates across companies, with the

highest FY20 EPS cut for AL (~18%), CEAT (~17%), MSIL (~13.5%) & MM (~12%).



Jinesh Gandhi – Research Analyst

(Jinesh@MotilalOswal.com); +91 22 6129 1524

Investors are advised to refer through important disclosures made at the last page of the Research Report.

8 July 2019

Motilal Oswal research is available on

www.motilaloswal.com/Institutional-Equities,

Bloomberg, Thomson Reuters, Factset and S&P Capital.

Automobiles

BS6 implementation – challenging transition…



The Indian automotive industry will be transitioning to BS6 emission norms

(equivalent of EURO 6 norms) from 1

Apr’20, skipping BS5 norms.

This transition to BS6 assumes significance due to the substantial increase in

cost, which has the potential to reduce viability of certain technologies (small

diesel, EGR, etc.) and drive faster adoption of newer technologies (like hybrids,

EVs, etc.).

While the preparedness of the industry is not in question, an accurate strategy

for transition (w.r.t technology adopted, timing of transition, cost efficiencies,

etc.) can provide a competitive edge to well-prepared OEMs.

This transition is happening at a time when the auto industry is grappling with

a weak demand environment. Considering substantial cost inflation, OEMs

might choose not to fully pass on cost to consumers in one go.

Exhibit 1: BS6 transition would reduce bring India at par with developed market norms

Source: MOFSL

“Substantially higher

development cost will not

make diesel a viable option

for consumers. Those who

are diesel fans, this could

be your last chance to buy

cheap cars, as come April

2020, prices of cars will go

up with BS VI getting

implemented”

Mr. RC Bhargava, Chairman,

Maruti Suzuki

…especially considering cost inflation of up to 15% for customers



BS6 would lead to the most expensive progression to cleaner emission norms

in India. Based on our interactions with various industry participants, cost

inflation to customer due to BS6 could be as high as 15%.

BS6 related cost inflation is estimated at:



5-12% for 2Ws (higher for mass segment)



8-12% for diesel PVs and 2-4% for petrol PVs



15-20% for LCVs



10-13% for M&HCVs

This cost escalation is coming at a time when consumers have already faced

increased costs over the last 12 months in the form of (a) insurance, (b) safety

norms (for 2Ws and PVs) and (c) commodities (particularly in 2Ws/CVs).

Exhibit 3: Apr-17 transition to BS4 had lesser impact on 2Ws

BS4 price increase (% of Ex-showroom price)

8-12

Exhibit 2: Price increase very high except PV petrol segment

BS6 price increase (% of Ex-showroom price)

15-20

10-12

10-13

8-12

upto 4%

upto 5%

upto 2%

PV (Petrol) PV (Diesel)

M&HCV

LCVs

M&HCV

LCVs

Source: Industry, MOFSL

8 July 2019

Automobiles

BS6 transition in unique in many ways, posing several challenges

“Manufacturing output is

slowing, consumption is

slowing, and so is

execution of infrastructure

projects. This is having a

compounding effect on

demand. Retail growth

may be in double digits, but

due to transition from BS IV

to BS VI, the stock will be

calibrated.”

Mr. Girish Wagh, President

– CVBU, Tata Motors on

why CV industry will see

single digit growth in FY20



The upcoming BS6 transition is unique in many ways, making it even more

difficult for OEMs (to strategize) and investors to draw any inference from the

past.

Unlike in the past (except BS4 for CVs), the magnitude of price increase is high

at 10-15% (ex-petrol PVs).

For the first time, OEMs will have to plan and ensure to carry near-zero BS4

inventory on 1

Apr’20, as sale/registration of BS4 vehicles will not be

permitted. During the BS4 transition, a similar verdict was passed (as against

early restriction on production of outgoing emission norms) but only on 29

March, leaving no time any planned inventory rundown.

Unlike in the past, all segments are simultaneously transitioning to the new

norms (BS6) across the country, as against phased implementation in the past.

Importantly, the implementation of BS6 is happening at a time when demand

is weak (since last 6-9 months) and the economic environment is uncertain.

Exhibit 4: For the first time, emission norms are implemented simultaneously across segments

Standard

Bharat Stage II

Bharat Stage III

Bharat Stage IV

Bharat Stage V

Bharat Stage VI

Reference

Euro 2

Euro 3

Euro 4

Euro 5

Euro 6

Year

Apr-01

Apr-05

Apr-10

Apr-17

Skipped

Apr-20

Segments

PVs

2Ws, 3Ws, CVs

PVs

2Ws, 3Ws, CVs

PVs

2Ws, 3Ws, CVs

2Ws, 3Ws, PVs, CVs

Source: MOFSL

Exhibit 5: Unlike in the past, OEMs would need to plan for minimal inventory

Standard

BS II

BS III

BS IV

BS VI

Applicability

No production post deadline, but sale of

inventory allowed.

No sales post deadline. However verdict

came only on 29th March with deadline of

31st March 2017

No sales post deadline of 31st March 2019

Implications

Build of inventory and sales continued well

beyond deadline

OEMs had built-up inventory like in the past,

however SC judgement didn't permit sales

OEMs have sufficient time to plan their

inventory

Source: MOFSL

8 July 2019

Automobiles

Exhibit 6: BS-6 emission norms require sharp drop in NOx and particulate matter emissions

Source: Industry

OEMs will need to do a balancing act



OEMs will need to get their BS6 transition strategy right to minimize (a) the risk

of market share loss (if transited too early), (b) the risk of loss on inventory (if

transited too late) and (c) margin impact (due to discounts to clear inventory).

While the scope of differentiation is limited on the technology front, OEMs

might try to differentiate their strategy to pass on cost inflation (staggered

price hikes pre/post BS6 implementation v/s full cost-pass through v/s loading

contribution margins as well).

OEMs having a reasonable export contribution would have avenues to sell

unsold BS4 inventory (though might need some modification and at extra

cost), and in turn, have scope to transition to BS6 much closer to the deadline.

Exhibit 7: OEMs will have to do a balancing act

Loss on

unsold

Inventory

OEM

Loss of

margins

(Discounts)

Loss of

market

Source: MOFSL

8 July 2019

Automobiles

"Bajaj Auto as a

responsible corporate has

complied with this directive

and had already

commenced manufacturing

of BS IV complaint vehicles

from October 2016.

Moreover, with effect from

Jan 2017 all products from

all our three plants are BS

IV compliant,"

Mr Rajiv Bajaj, MD, Bajaj

Auto

Exhibit 8: BJAUT lost share due to earlier BS4 compliance (Jan-17)

BJAUT Dom. Motorcycle MS (%)

Source: SIAM, MOFSL

Exhibit 9: Discounts on BS3 vehicles in Mar’17

Segment

Trucks

M&M Bolero

M&M Scorpio

Hero Scooters

Hero Motorcycle

Honda Activa

Honda Motorcycle

Honda Navi

TVS Jupiter

TVS Apache

Discounts (%)

20-40%

up to 13%

up to 10%

up to 20%

up to 25%

up to 39%

up to 20%

up to 10%

Source: Industry, MOFSL

Exhibit 10: OEM margins shrank in 4QFY17 due to discounts

4QFY17 EBITDA Margin YoY (bp)

BJAUT

HMCL

TVSL

TTMT (S/A)

-201

-302

-147

-283

-608

Source: Industry, MOFSL

What it means for investors?



Considering the high focus of OEMs on inventory management during the BS6

transition (unlike in the past), the impact of pre-buy on volumes is likely to be

different in the wholesale and retail segments.

OEMs are indicating the benefit of pre-buy to reflect in 2Q/3QFY20 at

wholesale level and in 3Q/4QFY20 at retail level.

In its 4QFY19 earnings call, Bosch India (biggest supplier in powertrain

components and key player in BS6) indicated that most OEMs would stop

production of BS4 vehicles latest by Dec’19.

Hence, unlike in the past, the industry is likely to witness moderate

peaks/troughs in the pre- and post-implementation phase. This is contrary to

what is expected based on past pre-buy history.

We expect cycles within cycles and a volatile volumes performance until

1HFY21 – volume recovery in 2HCY19, weakness in 1HCY20 and normalcy to

return only in 2HCY21.

Cutting EPS to factor in weak demand environment and BS6 impact



We expect short cycles within cycles led by macro issues (monsoon, liquidity,

etc.) and BS-6 implementation, leading to volatile volumes over the next 12-15

months.

Considering substantial cost inflation under BS6 (particularly for 2Ws and CVs),

we estimate ~4% CAGR for 2Ws, flat volumes for 4Ws, 1-2% for CVs and 6-7%

for tractors over FY19-21 (assuming normal monsoon).

8 July 2019

March 2019 Results Preview | Sector: Automobiles

Automobiles



As a result, we had recently lowered our FY20/21 EPS estimates for all

companies under coverage, with the highest FY20 EPS cut for AL (~18%), CEAT

(~17%), MSIL (~13.5%) and MM (~12%). The least EPS cut is in BJAUT (~3%),

TTMT (~4%), MCIE (~4%) and EXID (~5%).

Exhibit 11: Revised estimates

Rev

169

158

240

793

524

FY20E

Old

174

177

277

877

578

Chg (%)

-3.3

-10.6

-11.1

-13.5

-12.3

-3.7

-17.8

-9.6

-5.4

-7.2

-9.5

-17.0

-9.5

-6.1

-5.3

-4.1

-6.6

Rev

186

179

304

942

636

FY21E

Old

190

185

334

1,007

674

Chg (%)

-2.0

-3.3

-10.0

-9.2

-6.7

2.3

-14.6

-6.4

-8.1

-5.0

-5.5

-13.5

-11.4

-6.3

-5.6

-2.5

1.8

Bajaj Auto

Hero MotoCorp

TVS Motor

Maruti *

M&M *

Tata Motors *

Ashok Leyland

Eicher Motors *

Amara Raja

Bharat Forge *

BOSCH

Ceat

Escorts

Endurance Tech*

Exide Industries

Mahindra CIE

Motherson Sumi

* Consolidated

Valuation and view



We expect PVs to be least impacted on a relative basis during the BS6

transition due to limited cost increase for petrol PVs (~70% of industry

volumes) and the scope of alternative fuels.

On the other hand, 2Ws/CVs are likely to be most impacted due to very high

cost inflation. The impact on CVs will be determined by economic viability and

freight availability. 2Ws could see substantial pre-buy and consequent

weakness. However, both these segments could see possible stimulus in the

form of GST cut (for 2Ws) and scrappage policy (for CVs).

BS6 transition would narrow the pricing gap between ICEs and hybrid/EVs in

the 2W (particularly 125cc scooters) and PV segments. We believe BS6 could

be an inflection point for e-scooters and strong hybrid PVs (as pricing could be

similar to BS6 diesel PV). This poses a threat for incumbents in the scooter

segment (HMSI and TVSL) and an opportunity for OEMs ready with a

compelling e-scooter package.

From an OEM perspective, we believe MSIL is best placed for BS6 transition

due to its less dependence on diesel (~23% of MSIL’s domestic volumes) and

focus on CNG and strong hybrids.

In 2Ws, EIM is least impacted as cost inflation for BS6 would be relatively less

at 5-6%. With the BS6 transition, its core portfolio will get a much-needed

complete overhaul with product quality potentially coming closer to 650cc

twins.

MSIL and MSS are our top large-caps picks. Among mid-caps, we prefer AL and

ENDU.

8 July 2019

Automobiles

Exhibit 12: Comparative valuation

CMP

Auto OEM's

Bajaj Auto

Hero MotoCorp

TVS Motor

M&M

Maruti Suzuki

Tata Motors

Ashok Leyland

Eicher Motors

Escorts

Auto Ancillaries

Bharat Forge

Exide Industries

Amara Raja

BOSCH

Endurance Tech

Motherson Sumi

Mahindra CIE

CEAT

(INR)

2,780

2,380

411

635

6,033

155

19,041

521

449

199

636

15,971

1,016

118

222

905

Rating

Neutral

Buy

Neutral

Buy

Neutral

Buy

Neutral

Buy

(INR)

2,988

2,969

434

778

7,425

183

110

22,724

626

534

269

725

17,214

1,296

150

295

1,169

P/E (x)

FY20E

16.5

14.7

25.5

15.6

25.1

11.6

14.2

24.0

9.9

19.3

19.2

20.2

30.5

25.3

21.5

13.5

14.9

FY21E

14.9

13.0

20.0

14.9

19.9

10.0

15.8

20.2

9.7

17.6

17.1

18.2

25.6

21.9

16.2

11.8

11.5

EV/EBITDA (x)

FY20E

11.5

8.3

13.1

11.4

14.2

3.2

6.9

19.1

-0.2

10.8

10.4

10.0

20.7

10.8

1.9

8.1

3.7

FY21E

9.7

7.1

10.6

11.1

11.2

3.0

7.8

16.1

-0.4

10.0

9.3

8.9

16.6

9.3

1.0

6.6

3.6

RoE (%)

FY20E

21.3

24.2

21.1

12.0

14.5

7.2

20.3

22.4

16.2

18.9

13.5

15.3

18.2

20.5

15.2

13.5

8.6

FY21E

21.3

25.0

22.9

11.3

17.1

7.8

17.3

22.7

14.4

18.3

13.7

15.2

21.8

20.4

18.7

13.5

10.4

Div Yield (%)

FY20E

2.3

3.8

0.9

1.6

2.1

0.2

4.0

0.6

1.4

1.6

1.2

1.1

1.0

1.3

0.0

1.4

FY21E

2.5

4.0

1.0

1.6

2.3

0.2

4.0

0.7

1.4

1.6

1.4

1.3

1.1

1.7

0.0

1.4

EPS CAGR

(%)

FY19-21E

5.9

2.7

20.9

0.0

10.7

LTP

-12.3

7.6

0.3

7.4

12.9

11.1

7.4

13.2

19.6

15.6

11.4

8 July 2019

Automobiles

Explanation of Investment Rating

Investment Rating

BUY

SELL

NEUTRAL

UNDER REVIEW

NOT RATED

Expected return (over 12-month)

>=15%

< - 10%

> - 10 % to 15%

Rating may undergo a change

We have forward looking estimates for the stock but we refrain from assigning recommendation

*In

case the recommendation given by the Research Analyst is inconsistent with the investment rating legend for a continuous period of 30 days, the Research Analyst shall within following 30 days take appropriate measures to make the recommendation

consistent with the investment rating legend.

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Motilal Oswal Financial Services Limited (MOFSL) 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 MOFSL 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 MOFSL, 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., MOFSL 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:

In Singapore, this report is being distributed by Motilal Oswal Capital Markets Singapore Pte Ltd (“MOCMSPL”) (Co.Reg. NO. 201129401Z) which is a holder of a capital markets services license and an exempt financial adviser in Singapore,

as per the approved agreement under Paragraph 9 of Third Schedule of Securities and Futures Act (CAP 289) and Paragraph 11 of First Schedule of Financial Advisors Act (CAP 110) provided to MOCMSPL by Monetary Authority of Singapore. Persons in

Singapore should contact MOCMSPL in respect of any matter arising from, or in connection with this report/publication/communication. This report is distributed solely to persons who qualify as “Institutional Investors”, of which some of whom may consist of

"accredited" institutional investors as defined in section 4A(1) of the Securities and Futures Act, Chapter 289 of Singapore (“the SFA”). Accordingly, if a Singapore person is not or ceases to be such an institutional investor, such Singapore Person must

immediately discontinue any use of this Report and inform MOCMSPL.

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. MOFSL, 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 MOFSL. 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 MOFSL 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 MOFSL or any of its affiliates or employees from, any and all responsibility/liability arising from such misuse and agrees not to hold MOFSL or any of its affiliates or employees

responsible for any such misuse and further agrees to hold MOFSL 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 71934200/ 022-71934263; Website

www.motilaloswal.com.

CIN No.: L67190MH2005PLC153397.Correspondence Office Address: Palm Spring Centre, 2nd Floor, Palm Court Complex, New Link Road, Malad(West), Mumbai- 400 064. Tel No: 022 7188 1000.

Registration Nos.: Motilal Oswal Financial Services Limited (MOFSL)*: INZ000158836(BSE/NSE/MCX/NCDEX); CDSL and NSDL: IN-DP-16-2015; Research Analyst: INH000000412. AMFI: ARN - 146822; Investment Adviser: INA000007100; Insurance

Corporate Agent: CA0579 ;PMS:INP000006712. Motilal Oswal Asset Management Company Ltd. (MOAMC): PMS (Registration No.: INP000000670); PMS and Mutual Funds are offered through MOAMC which is group company of MOFSL. Motilal Oswal Wealth

Management Ltd. (MOWML): PMS (Registration No.: INP000004409) is offered through MOWML, which is a group company of MOFSL. Motilal Oswal Financial Services Limited is a distributor of Mutual Funds, PMS, Fixed Deposit, Bond, NCDs,Insurance

Products and IPOs.Real Estate is offered through Motilal Oswal Real Estate Investment Advisors II Pvt. Ltd. which is a group company of MOFSL. Private Equity is offered through Motilal Oswal Private Equity Investment Advisors Pvt. Ltd which is a group

company of MOFSL. Research & Advisory services is backed by proper research. Please read the Risk Disclosure Document prescribed by the Stock Exchanges carefully before investing. There is no assurance or guarantee of the returns. Investment in

securities market is subject to market risk, read all the related documents carefully before investing. Details of Compliance Officer: Name: Neeraj Agarwal, Email ID: na@motilaloswal.com, Contact No.:022-71881085.

* MOSL has been amalgamated with Motilal Oswal Financial Services Limited (MOFSL) w.e.f August 21, 2018 pursuant to order dated July 30, 2018 issued by Hon'ble National Company Law Tribunal, Mumbai Bench.

8 July 2019