Gensol EngineeringLimitedInvestor Presentation
September, 2019
Solar Advisory| Solar EPC | Solar O&M
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offer to acquire any securities. This presentation or any other documentation or information (or any part thereof) delivered or supplied should not be
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Integrated Engineering and O&M Service Offerings in Solar Industry
About Gensol Incorporated in 2012, Ahmedabad based;
Provides Integrated Engineering and O&M Services across Solar Value Chain in India and abroad
Driven by experienced team of Management, Engineers, R&D
Providing Concept to Commissioning Solar Advisory, Project Diligence, Pre & Post bid Consulting, Execution, Operation & Management Services for Solar projects
Services to Leading Renewable Energy Companies, Financial Institutions, Government Organizations, Airports, Developers, Investors, etc.
Elite Clientele – ReNew Power, Adani Group, Greenko, Tata Power, BPCL, Soft Bank Energy, Shapoorji, SBI, Edelweiss, etc.
Demonstrating robust financial performance
500+Employees
19,000+ MW
Technical Expertise
10+Countries
180+Engineers
150+Clients
40+R&D Team Strength
Gensol – Consolidated Business Verticals
49%
Advisory
19,372 MW
EPC Service
190 MW
GensolEngineering
Limited
O&M Service
Resco Services
1.4 MW
51%
2,200 MWGensun
RenewablesPvt.Ltd.
(Subsidiary)
Solarig GensolUtilities Pvt. Ltd.(Joint Venture)
Leadership Team
Anmol Singh Jaggi, Chairman & Managing Director
• Bachelor of Technology under Petroleum Engineeringbranch from University of Petroleum & EnergyStudies, Dehradun;
• Experience of 12 yrs in Renewable Energy;• Responsible for all corporate decisions for the
business operations
Puneet Singh Jaggi, Whole Time Director
• Bachelor of Technology (Chemical Engineering) fromIndian Institute of Technology Roorkee;
• Experience of 9yrs in Solar Industry;• Responsible for designing of Technical Architecture &
Manage Product Development Cycle.
Gaurav Kharbanda, Independent Director
• MBA in Finance & IT;• Experience of 13 yrs;• Associated with Reliance Capital Ltd.,
Jamna Auto Ltd.• Working as an Individual Financial Advisors
• B.Com from University of Delhi;• Experience of 28yrs;• Associated with Reliance Capital as Senior
VP & Head Infra Finance, SBI as ChiefManager & Mytrah Energy India Ltd. as VP(Finance) in past
Harish Kaushik, Independent Director
Jasminder Kaur Jaggi, Non-Executive Director
• Bachelors Degree in Political Science and a Bachelor’sdegree in Education
• 14 years of cumulative service as a Teacher in bothArmy as well as Private Schools
• Responsible for Human Resource related activities ofthe Company
Experienced Management
Mr. Gurpreet Singh Walia
Vice PresidentProjects & Engineering
Ms. Shivya Singhal
Vice PresidentSupply Chain & Finance
Mr. Ali Imran Naqvi
Vice PresidentBusiness Development
Mr. Pranay Mundra
President
Mr. Rajesh Parmar
CS & Compliance Officer
Ms. Shilpi Dangi
Sr. ManagerEngineering
Ms. Payal Saxena
Sr. ManagerStrategic Advisory
Mr. Kohinoor Dam
General ManagerField Services
Mr. Jabir Mahendi Aga
Chief Financial Officer
Solar Advisory Services 19,372 MW 155+ PROJECTS
Ow
ners
Eng
inee
r • Detailed Project Report (DPR)
• Procurement Assistance
• Design Vetting• Construction
Supervision• Plant Handover
Lend
ers
Engi
neer • Techno -
Commercial Assessment
• Construction Progress Reporting
• Generation & Operations Reporting De
taile
d En
gine
erin
g • Basic Drawings• Detailed
Drawings & Calculations
• Field & Material Quality Procedures
• As Built Drawings Pr
ojec
t Man
agem
ent • Implementation
Schedule Adherence
• Quality Adherence
• Material & Work Certification
• Health, Safety & Environment
• Construction Management Po
licy
& S
trat
egic
Adv
isor
y • Bidding Assistance
• Policy Advisory• Technical Due
Diligence
Benefitting by Providing Engineering & Advisory Services; Growing Demand backed by Strong Investment in Solar Power Sector
RESCO ServicesSolar O&M ServicesSolar EPC ServicesSolar Advisory Services
Key Clients
Solar Advisory Services - Clients
Design Review & Detailed Engineering2,750 MW
Project Management3,600 MW 2,570 MW
Lenders’ Engineer
8,350 MW
Policy & Strategic Advisory
11,490 MW
Detailed Project Reports
Key Lenders
RESCO ServicesSolar O&M ServicesSolar EPC ServicesSolar Advisory Services
Also Wind Clients
800 MWp for Greenko in Andhra Pradesh
India’s Largest Solar PV Plant in Single Location
RESCO ServicesSolar O&M ServicesSolar EPC ServicesSolar Advisory Services
Consulting Services Provided :- Due Diligence Services- Detailed Project Report- Detailed Engineering - Performance Acceptance Tests & Plant Handover- Project Management Consultancy
Solar EPC Services 190 MW 53 PROJECTS 180+ ENGINEERS
Rooftop SolarShed Roof SolarGround Mounted Solar
Services Offered Turnkey EPC Installation & Commissioning EPC Management
Project Engineering √ √ (Selectively) √
Equipment Supply √ √(Minor Equipment) -
Project Execution √ √ √(Management)
Performance Guarantee
√Complete system
√(Equipment & Execution Only)
√(Design only)
RESCO ServicesSolar O&M ServicesSolar EPC ServicesSolar Advisory Services
Carport Solar
Solar EPC Services - Clients
25 MW Sunfan Energy, Karnataka
4.7 MW across, Madhya Pradesh
2 MW, Kenya
Key Clients
RESCO ServicesSolar O&M ServicesSolar EPC ServicesSolar Advisory Services
Samsonite South Asia
Maharashtra, India
RESCO ServicesSolar O&M ServicesSolar EPC ServicesSolar Advisory Services
Solar O&M Services 2200 MW 45 PROJECTS 210 EMPLOYEES
Long Term Contracts (5 to 10 years)
Annuity Revenue generation
Lead generation from Clients in Services & EPC segment
JV entity - Solarig Gensol Utilities Pvt. Ltd.
JV with Solarig Ngage from Spain;
49% held by Gensol Engineering
Started in 2015
RESCO ServicesSolar O&M ServicesSolar EPC ServicesSolar Advisory Services
Solar O&M Services - Clients
Key Clients
RESCO ServicesSolar O&M ServicesSolar EPC ServicesSolar Advisory Services
Thermography Drones
Proprietary SCADA & Monitoring Centre
I-V Curve Testing
Robotic Cleaning CMMS
Advanced Technology
Onsite & At Monitoring Centres
RESCO ServicesSolar O&M ServicesSolar EPC ServicesSolar Advisory Services
Analytics :
Data Driven Performance Management
RESCO ServicesSolar O&M ServicesSolar EPC ServicesSolar Advisory Services
Growth Trajectory – O&M Services
RESCO ServicesSolar O&M ServicesSolar EPC ServicesSolar Advisory Services
O&M Business has been growingat a CAGR of 300% withprojects across 8 states in Indiaand projects in 3 countriesinternationally.
RESCO Services 1.4 MW 3 PROJECTS
Gensun Renewables Pvt. Ltd. is subsidiary of GEL mainly focus on RESCO Services;
Entered into Power Purchase Agreement (PPA) for o Designo Manufacture o Supplyo Erectiono Testing and Commissioning
Power production from solar PV plants
What is RESCO?
Under the RESCO model, a rooftop area is madeavailable by the rooftop owners for setting up solarprojects. Rooftop owners derive revenues from leaserentals and/or cheaper power from solar PV projects,while the solar company can contract with buyers suchas DISCOMs or other open access consumers and sellsolar power generated from the project.
RESCO ServicesSolar O&M ServicesSolar EPC ServicesSolar Advisory Services
RESCO Services - ClientsAPPA University – 600 kWp
BLDE – 709 kWp
KLE – 150 kWp
Key Clients
RESCO ServicesSolar O&M ServicesSolar EPC ServicesSolar Advisory Services
Engineering Projects Overview
Innovative Projects Carried by Gensol
TANGEDCO Kadaladi Solar Park
Bhadla II Solar Park
APGENCO Kadapa Solar Park
Owners’ Engineer
Acquisition/Merger
Lenders’ Engineer
SOLAR PARKS SOLAR AT AIRPORTS
Chennai Airport Ahmedabad Airport
Delhi AirportFour Oman Airport
Owners’ Engineer
MAHAGENCO - AG FeederOwners’ Engineer
FLOATING SOLAR
MAHAGENCO
REC- Thermal Plants Reservoir
JSW Energy Limited-
Owners’ Engineer
CANAL TOP SOLAR
Owners’ Engineer
UJVNLSam Solar
SOLAR For AGRICULTURE FEEDERS
SINGLE WINDOW ONLINE WEBTOOL
IFC – Rooftop Proliferation Tool for Maharashtra Energy Development Agency
End Client
MAHAGENCO Kacharala Solar Park
Hyderabad Airport
Engineering Software & Tool’s
To estimate the energy generation at variousprobability exceedanceetc.
Shading Analysis to illustrate thesunshine availability at the areas beingplanned for SolarPVPanel
Conducted to analyze the possibility of Glint and Glare of the solar PV panels
Hybrid Optimization Model for Multiple EnergyResources) nests three powerful tools, i.e.,Simulation, Optimization & Sensitivity Analysis
Computer-aided design (CAD) program used for 2-D and 3-D design and drafting.
Roof/Area Optimization, Computer AidedDesigning and Energy Generation Simulation
Global Presence
National Presence across 22 Indian states with offices at Delhi, Ahmedabad, Pune
International Presence across Africa, Middle East & South East Asia
Select Projects Executed
Location Capacity (MW) Description of Services Client
Maharashtra 2500.00 Policy Advisory Owner’s Engineer
Maharashtra 4.50
Detailed Project Report Detailed Engineering
Procurement Assistance in selection of EPC contractors
Tamil Nadu 500.00 Owner’s Engineer
Tamil Nadu 6.50 Owner’s Engineer
Uttar Pradesh 1.00 Detailed Engineering
Assam - Techno Commercial Feasibility Study
Haryana - Techno Commercial Feasibility Study (Ongoing)
Gujarat 1.02 Engineering , Procurement & Construction (Ongoing)
Project Location Capacity (MW) Description of Services Client
N'djemena, Chad 100.00 Detailed Project Report
Mouila, Gabon 100.00 Detailed Project Report
Saudi Arabia 6000.00 Detailed Project Report
Seirra Lione, Africa 50.00 Detailed Project Report
Seirra Lione, Africa 100.00 Pre-Bid Assistance
Kenya 1.53 Detailed Design
Nepal 4.00 Detailed Engineering Clean Communications
Philippines 25.00 Detailed Engineering Green Tech solar Inc
Afghanistan 10.00 Design Vetting
Solargy (Leone) 1.40 EPC
National International
Blue Ocean Strategies
Strengthen our solar advisory & consultancy services portfolio
Focus on developing O&M portfolio
Expand our customer base by getting repeat orders from current clients &
adding new clients
Targeting new geographies in MENA and South Asia market
Continue to focus on R&D activities and introduction of new technologies
Implement Group Level SAP ERP systems for faster decisions making and bettergovernance. Gensol’s project is one of the first projects on SAP Cloud Platform ona global level
Plan to capitalize on India’s Digital Sky programme and induct the advanced fleetof drones to extend best global practices in thermography inspection and aerialsurveillance of solar plants, thereby adding significant value to its customers andbringing overall cost of operations down
Plan to ramp up third party testing services significantly to further our marketshare with existing client base. Third party testing services position Gensol withthe likes of TUV and DNV who operate in similar space but are not cost effectivew.r.t. Indian market expectations
Blue Ocean Strategies – Current Major Initiatives
INDUSTRY DYNAMICSINCREASE IN SOLAR CAPACITY
INVESTMENT WILL LEAD TO DEMAND IN ADVISORY & CONSULTING SERVICES
GOI has set targets to achieve 175GW in solar capacities by 2022… Renewable Energy capacities expected to become 3x in 5 years
5878
100123
148175
FY17 FY18E FY19E FY20E FY21E FY22E
Renewable Energy(GW)
63%21%
16%
RE break-up in FY16
Wind Other Solar
34%
57%
9%
Proposed RE break-up in FY22
Wind Solar Other
…with emphasis on ground-mounted as well as rooftop… …supported by falling capital cost of Solar PV project
5.1 10 16 23 31 4012.7 23
3343
5260
FY17 FY18 FY19 FY20 FY21 FY22
Roof-top (GW) Ground Mounted Solar (GW)
17.8 32.8 48.8 65.8 83.3 100
8069
5140
26 23 19 17 15
FY14 FY15 FY16 FY17 FY18 FY19E FY20E FY21E FY22E
Module Price Trend & Forecast (INR/Wp)
Over the next 6 years the sector will need investment of ~ INR 4.7 trillion
India Renewables – Solar Energy
Solar Capacity (GW)
Interesting Facts on Solar Industry
Registered lowest ever solar tariffs in India of Rs.2.44 per unit in July, 2018
Registered lowest ever wind tariff of Rs.2.43 per unit in December, 2017
International Energy Agency estimates “India’s solar potential is greater than 750 GW”
0%
20%
40%
60%
80%
1990 1995 2000 2007 2012 2013 2014 2015 2016 2017 2018 2019 2020
Shifts in India's Energy Mix: 1990-2019
REs contribution Coal contribution Source: CEA
Green Energy : Impact Investment
Did You Know?• Nearly 300 million Indians are still under electrified.
• India’s 2 GW park in Karnataka to be World’s Largest: To power nearly 1 million households; To reduce CO2 emissions by 20 million tons a year
Direct environmental benefits of Solar Energy: Lower carbon dioxide and methane emission No harmful greenhouse gasses Cheaper source of electricity powering millions of households
PRI highlights that signatories allocated ~US$900 billion to renewable and alternative energy investments in 2016.
World Bank lent more than $1 billion for Renewable Energy in FY 2017 to India. Bank’s largest-ever support for solar power in any country.
Source: PRI, World Bank, “An Assessment of India’s Energy Choices” by ISB, CPI, JNU, IIT Delhi
Financial Snapshot (1/3)
FY16 FY17 FY18 FY 19O&M 20 93 558 1047Engineering & Advisory 445 988 2250 1697EPC 747 5136 4094 5595
0
1000
2000
3000
4000
5000
6000
7000
8000
9000
Service-wise Revenue Breakup (in lakhs)
37%62%
16%
83% 60%
32%
8%
67%
21%
13%
2%
Total 1212 6217 6902 8339
Financial Snapshot (2/3)
15
121
654
1304
FY16 FY17 FY18 FY19
Networth (in lakhs)
55182
785
1005
FY16 FY17 FY18 FY19
EBITDA (in lakhs)
36119
534
650
FY16 FY17 FY18 FY19
PAT (in lakhs)
Return on Equity – 66.4%
Return on Cap Employed – 70.2%
0263%
0443%
0262%
Consolidated Balance SheetParticulars (in lakhs) FY 19 FY18 FY17 FY16
EQUITY AND LIABILITIESShare capital 604 1 1 1Reserves and surplus 700 653 120 13Networth 1,304 654 121 15Minority Interest (0) 1 - -Long-term borrowings 680 74 16 0Long-term Provisions 42 28 21 10Short-term borrowings 5 20 15 -Trade payables 919 952 230 132Other current liabilities 1,138 810 558 379Short-term provisions 201 104 35 13Total 4,289 2,644 997 550ASSETSFixed Assets 842 88 14 17Deferred Tax Asset (Net) 48 38 47 42Long-term loans and advances - 23 0 -Other non-current assets 163 35 10 9Trade receivables 2,256 1,639 642 349Cash and Bank Balances 256 192 71 45Short-term loans and advances 98 218 212 26Other Current Assets 627 411 1 62Total 4,289 2,644 997 550
Consolidated Profit & Loss StatementParticulars (in lakhs) FY19 FY18 FY17 FY16
Revenue from operations 8,339 6,902 6,217 1,212
Other income 47 62 15 4
Total Revenue 8,385 6,964 6,232 1,216
Expenses:
Purchase of stock in trade 3,458 3,227 4,179 472
Employee benefits expense 1,532 1,085 604 331
Other expenses 2,390 1,867 1,266 358
EBITDA 1,005 785 182 55
Depreciation and amortization expense 44 12 12 1
EBIT 961 773 171 54Finance costs 77 28 4 2
PBT 884 745 166 52Tax expense:
(1) Current tax 244 203 52 13
(2) Deferred tax (10) 9 -5 3
PAT 650 534 119 36
Consolidated Cash Flow StatementParticulars (in lakhs) FY19 FY18 FY17 FY16
Cash flow from Operating Activities Net profit before taxation, and extraordinary items 884 745 166 52Adjustments for :
• Depreciation & Amortisation 44 12 12 1• Interest & Finance Cost 77 28 4 2• Interest income (6) (6) (2) -
Operating Profit Before Working Capital Changes 999 779 181 55Adjusted for (Increase)/ Decrease:
• Trade Receivables (617) (997) (293) (243)• Other Current assets (344) (435) 60 (55)• Loans and advances and other assets 143 (29) (186) 5• Trade payables (33) 722 98 103• Other Current Liabilities & Provisions 274 265 199 170
Less : Income Tax paid (80) (141) (52) (19)Net Cash Flow from Operating Activities (A) 343 165 6 15Cash flow from Investing Activities Purchase of Fixed Assets (798) (85) (9) (17)Bank Deposit Matured (47) (7) (48) (1)Interest Income 6 6 2 -Net Cash Flow from Investing Activities (B) (839) (87) (55) (19)Cash Flow From Financing Activities (Payment)/ Proceeds From Share Capital/Minority Interest Holders - 0 - -Proceeds from long term borrowings 605 59 16 -
(Repayments)/ Proceeds from short term borrowings (Net) (15) 4 15 -Interest & Financial Charges (77) (28) (4) (2)Net Cash Flow from Financing Activities (C) 513 35 27 (2)Net (Decrease)/ Increase in Cash & Cash Equivalents (A+B+C) 17 113 (22) (5)Cash and cash equivalents at the beginning of the period 130 16 38 43Cash and cash equivalents at the end of the period 147 130 16 38
IPO Details
Sr. No. Particulars Amt. (INR in lakhs)
1. Funding of working capital requirement 1,350
2. General Corporate Purposes [▪]
IPO Details
Issue Size Upto 21,60,000 Equity Shares
Issue Size in Amount INR 17.49 crs – INR 17.93 crs
FaceValue INR10
Price Band INR 81 – 83
Pre Issue No. of Shares 60,42,737Equity Shares
Post Issue No. of Shares 82,02,737 Equity Shares
Listing On BSE SMEBid/ Issue Opens On September 30, 2019Bid/ Issue Closes On October 4, 2019
Shareholding Pattern Pre-IPO Post-IPOPromoter & Promoter Group Holding 96.00% 70.72%
Public Holding 4.00% 29.28%
Book Running Lead ManagerPantomath CapitalAdvisors Pvt. Ltd.
Registrar to the IssueLink Intime India Pvt. Ltd.
ReservationFor No. of SharesMarket Maker 1,08,800
Retail Portion 10,25,600
Non-Retail Portion 10,25,600
Utilization of Net Proceeds
Investment Rationale
Why
Investin Gensol
Engineering
Integrated Services Offerings for entire Solar Value chain
Clienteles includes Soft Bank, ReNew Power, Adani, etc
Growing pie of Annuity revenue generating O&M business
Strong Human capital - Experienced team of Management,Engineers, R&D
Continuous investment in R&D and Technology
Demonstrated Operational Track Record in field of Services & Consultancy to Solar Companies, Banks & Other Stakeholders
Huge Addressable Market : Domestic as well as Overseas
Robust financial track record across segments
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THANK YOU
Registered Office SCO : 156-157,
First Floor, Sector 9C, Madhya Marg,
Chandigarh -160009, India
Corporate OfficeA2, 12th Floor, Palladium,
Opposite Vodafone's House,Corporate Road, Prahladnagar,
Ahmedabad - 380051, India
Gensol Engineering Ltd | Solarig Gensol Utilities Pvt Ltd | Gensun Renewables Pvt Ltd
THANK YOU!