13
…Message Box ( Arial, Font size 18 Bold) Presentation Title ( Arial, Font size 28 ) Date, Venue, etc..( Arial, Font size 18 ) Investor Relations Management Update June FY15
…Message Box ( Arial, Font size 18 Bold)
Presentation Title ( Arial, Font size 28 )
Date, Venue, etc..( Arial, Font size 18 )
Investor Relations Management Update June FY15
…Message Box ( Arial, Font size 18 Bold)
Share Price Movements
• Tata Power, up by 4% performed equally well as most of its peers in the last month.
Summary – Share Price Movement
Tata Power Stock Price
52-Week High
52-Week Low
115.6
68.10
CESC 22%
Reliance Power 14%
Lanco 11%
2
…Message Box ( Arial, Font size 18 Bold)
Summary – Investors & Analysts Meetings
Analyst Reports
• Currently 41 analysts are listed on Bloomberg
• 7 of 41 analysts have a Sell / Reduce / Underperform rating on Tata Power with price targets Rs. 70-85. Most
other analysts have a price target of Rs. 85-120 per share with either a Buy or Hold rating.
Key Investor/Analyst Meetings Held in June FY15:
Firm Designation Representative of Firm Representative of Company
1 Rare Enterprises Head of Research, Sr.
Investment Analyst Amit Goela, Vinay Nair Anirudh Mani
2 Everest capital Director John Malloy, Jaimin Shah Sanjay Dube, Anirudh Mani
3 ICICI Securities Analyst Prakash Goel, Ankit Gupta Nandakumar Tirumalai
4 Myriad Asset
Management Rizi Mohanty
Nandakumar Tirumalai, Anirudh
Mani
5 Prabhudas Lilladher Head – Equities, VP –
Equities
Kunal Seth, Sreesankar
Radhakrishnan Anirudh Mani
6 Pioneer Investment Senior Equity Analyst Riccardo Sincheri Nandakumar Tirumalai
7 Victory Capital Portfolio Analyst Gaurav Lunia
Nandakumar Tirumalai
8 MSCI Research Analyst Joel Yamut, Angela Justo Sanjay Dube, Anirudh Mani
3
…Message Box ( Arial, Font size 18 Bold)
Summary – Investors & Analysts Queries
Investor Queries / Concerns
• Tata Power Standalone
• Monetization of other assets on the balance sheet, especially telecom shares to raise additional cash
• Growth plans of the Company now that the CERC order has come
• Capex in Mumbai licence area over next 2 years; impact of laying new
• SED business and Tata Power’s role in manufacturing of weapons systems
• Renewal of Mumbai licence and likely date for announcement by MERC
• CGPL
• Likely date of settlement in ATE and further course if the order is further challenged by the procurers in
Supreme Court
• Arguments of procurers in the ATE against the CERC judgement
• Fuel mix currently being used and benefit from switching from eco-coal mix to higher CV coal
• Compensatory tariff being charged by CGPL to procurers and steps being taken to recover non payment
• Developments regarding hearing on stay by ATE and future course if stay order is issued
• Coal SPVs
• Likely date of completion of Arutmin sale, probability of getting money from Bumi and use of proceeds
• Likely sale of KPC also by Tata Power and reasons for holding on to coal asset
4
…Message Box ( Arial, Font size 18 Bold)
Shareholding Pattern – Last 6 months
S.No. Group Description Percentage to Capital
Jun 2014 May 2014 Apr 2014 Mar 2014 Feb 2014 Jan 2014
1 Promoter Holdings 33.04 33.04 33.04 32.47 32.47 32.47
2 Foreign Holdings 29.77 29.52 30.50 30.18 29.92 29.85
3 Insurance Companies 21.39 21.36 20.85 20.99 21.02 20.96
4 Mutual Funds 1.11 1.05 0.73 0.83 1.18 1.21
5 State Financial Corporations 0.03 0.03 0.03 0.03 0.03 0.03
6 Banks 0.41 0.36 0.39 0.42 0.42 0.45
7 Other bodies Corporates 1.00 1.36 1.14 1.17 1.01 1.02
8 Individuals 13.26 13.27 13.32 13.91 13.94 14.00
Grand Total 100.00 100.00 100.00 100.00 100.00 100.00
5
…Message Box ( Arial, Font size 18 Bold)
Top 10 FIIs (Jun 2014)
Name of Shareholder % of Holding
First State 9.99
Matthews Pacific 5.57
Aberdeen Asset Management 2.03
Blackrock Fund 1.59
Abu Dhabi Investment Authority 1.12
Vanguard 1.00
Government of Singapore 0.86
Morgan Stanley 0.53
Copthall 0.35
Retail Employees Superannuation Trust 0.34
Total 23.03
6
…Message Box ( Arial, Font size 18 Bold)
Top 10 Buyers (June 2014)
Name of Shareholder Units Bought
(lakhs)
Value Bought
(Rs. Crs.) *
% of Holdings
(30-Jun-2014)
Government Of Singapore 75.8 80.2 0.67
SBI Life Insurance Co. Ltd 51.4 54.4 0.49
Monetary Authority of Singapore 27.9 29.5 0.19
GMO Emerging Markets Fund 24.5 25.9 0.17
Reliance Diversified Power Sector Fund 23.9 25.3 0.30
Reliance Regular Savings Fund-equity Option 23.3 24.7 0.09
Credit Suisse (Singapore) Limited 17.5 18.5 0.30
Copthall Mauritius Investment Limited 15.9 16.8 0.35
BNP Paribas Arbitrage 15.7 16.6 0.23
Blackrock Fund Advisors 13.4 14.2 0.19
7
* Average Share price at which shares bought assumed at Rs. 105.8 per share
…Message Box ( Arial, Font size 18 Bold)
Top 10 Sellers (June 2014)
Name of Shareholder Units Sold
(lakhs)
Value Sold
(Rs. Crs.) *
% of Holdings
(30-Jun-2014)
JSH (Mauritius) Limited 93.1 98.5 0.00
Reliance Securities Limited 50.0 52.9 0.00
Morgan Stanley Asia (Singapore) Pte. 27.3 28.8 0.07
Rakesh Jhunjhunwala 25.0 26.5 0.00
Morgan Stanley Mauritius Company Limited 21.9 23.2 0.47
LIC Of India Profit Plus Growth Fund 18.5 19.5 0.50
DSP Blackrock India T.I.G.E.R. Fund 18.4 19.5 0.00
Edelweiss Securities Limited 18.0 19.1 0.00
Abu Dhabi Investment Authority – Peacock 12.7 13.5 0.29
Standard Chartered Bank 11.2 11.9 0.00
8
* Average Share price at which shares bought assumed at Rs. 105.8 per share
…Message Box ( Arial, Font size 18 Bold)
Summary – Competition Updates Power Projects
• JSW Energy is believed to be still aggressively pursuing its plan to acquire Lanco’s 1,200 MW Udupi power plant
• NTPC is seeking to revive its proposed 4,000 MW coal based power project in Andhra Pradesh
• MNRE to launch next phase of solar capacity bidding for solar power projects with a cumulative capacity of 1,500 MW
• GAIL has received environmental clearance for setting up a 220 MW gas based power plant at Raigad in Maharashtra
• Tamil Nadu government evaluating price bids for two 1,320 MW power projects at Ennore SEZ and Udangudi
• NTPC will begin construction of the 1,320 MW thermal power plant at Katwa from September and will take 4 years to
finish the Ph I of 660 MW
• IL&FS Energy Development Co has begun talks with various strategic investors including Shanghai Electric to sell a
stake of up to 74% in eight projects
Fuel
• Ministry of Coal has agreed to allocate a coal block for the proposed Banka UMPP in Bihar
Transmission
• Power Grid has decided to invest Rs 58 bn for system strengthening work in Gujarat over the next 3-4 years
• Power Ministry has approved commencement of bidding for 9 inter-state transmission projects worth Rs 125 bn
Funding
• GMR group has revived plans to raise equity by diluting stake in GMR Energy by raising US$ 250 mn through a QIP
• Power Grid has sought board approval for raising up to Rs135bn through a private placement of bonds in F2015
• Standard Chartered PE is picking up over 20% stake in Sterlite Grid, valuing the company at about Rs 30 bn
• KSK Energy has allotted 40.4 mn equity shares at a price of Rs 99/sh aggregating to a value of Rs 4 bn to QIBs
• KKR is all set to acquire a majority stake in Avantha Power by injecting US$ 110 mn of fresh equity
Other
• PTC India plans to own and operate power generation assets through its subsidiary PTC Energy
• ReNew Power signs PPA with MP to sell solar power from a 50 MW plant at Rs 6.90/unit for 20 years
9
…Message Box ( Arial, Font size 18 Bold)
Appendix
…Message Box ( Arial, Font size 18 Bold)
Analysis of Analyst Recommendations
Stock No of Recommendations % of Recommendations Ranking
Buy Hold Sell Total Buy Hold Sell Total
No of
analysts
covering
the stock
No of
Buys Buy %
Adani 2 5 23 30 7% 17% 77% 100% 6 11 11
CESC 16 9 3 28 57% 32% 11% 100% 7 5 4
JSPL 16 9 6 31 52% 29% 19% 100% 5 5 6
JSW 16 9 7 32 50% 28% 22% 100% 4 5 7
Lanco 3 1 6 10 30% 10% 60% 100% 11 10 8
NHPC 6 6 11 23 26% 26% 48% 100% 8 8 9
NTPC 30 10 6 46 65% 22% 13% 100% 2 2 3
Power Grid 42 5 1 48 88% 10% 2% 100% 1 1 1
PTC 18 1 2 21 86% 5% 10% 100% 9 4 2
Reliance Power 4 4 12 20 20% 20% 60% 100% 10 9 10
Tata Power 22 12 7 41 54% 29% 17% 100% 3 3 5
Total – Sector 175 71 84 330 53% 22% 25% 100%
11
…Message Box ( Arial, Font size 18 Bold)
Stock Price Summary
BSE Power
Index
Tata
Power
Reliance
Power NTPC JSPL
Adani
Power Lanco CESC NHPC Powergrid
30/05/2014 24217 2167 103.9 94.8 159.9 298.0 60.3 11.0 577.5 24.8 121.8
30/06/2014 25414 2319 107.8 108.3 155.9 322.7 62.6 12.2 706.7 26.4 139.2
Movement 4.9% 7.0% 3.8% 14.2% (2.5)% 8.3% 3.7% 11.2% 22.4% 6.3% 14.3%
12
…Message Box ( Arial, Font size 18 Bold)
Firm Name Analyst Recommendation Target Date
Jefferies Lavina Quadros buy 105 07/07/14
ICICIdirect.com Chirag J Shah hold 107 07/07/14
Axis Capital Limited Bhavin Vithlani hold 101 07/04/14
Edelweiss Capital Shankar K buy 117 07/04/14
Centrum Broking Pvt Ltd Sachin Mehta sell 85 07/02/14
UBS Pankaj Sharma buy 130 07/01/14
Quant Broking Pvt Ltd Abhineet Anand accumulate 103 07/01/14
Deutsche Bank Abhishek Puri buy 115 06/27/14
Almondz Global Securities Ltd Amit Shah hold 110 06/27/14
Barclays Venugopal Garre equalweight 95 06/27/14
Standard Chartered Jay Kakkad outperform 105 06/26/14
IIFL Harshvardhan S Dole buy 100 06/22/14
Goldman Sachs Pulkit Patni neutral/cautious 122 06/19/14
Batlivala & Karani Securities Vishal Biraia outperform 107 06/13/14
HSBC Arun Kumar Singh overweight 131 06/11/14
IndiaNivesh Securities Pvt Ltd Abhishek Jain hold 115 06/10/14
JPMorgan Sumit Kishore overweight 113 06/04/14
Karvy Stock Broking Ltd Rupesh D Sankhe buy 118 06/04/14
EVA Dimensions Neil Fonseca underweight 06/03/14
Emkay Share & Stock Brokers Amit Golchha sell 86 06/02/14
KR Choksey Shares & Sec Pvt Ltd Abhishek Patel hold 91 06/02/14
Ambit Capital Pvt Ltd Bhargav Buddhadev buy 106 06/02/14
ICICI Securities Prakash Gaurav Goel add 105 06/01/14
Kotak Securities Murtuza Arsiwalla add 115 05/30/14
Motilal Oswal Securities Ltd Nalin Bhatt neutral 102 05/30/14
IDFC Securities Ltd Shirish Rane neutral 103 05/30/14
HDFC Securities Abhinav Sharma neutral 95 05/30/14
Antique Stock Broking Limited Rahul Modi buy 96 05/12/14
Analyst Report Summary
13
