ACIL LimitedA Broad Overview……….

Page 2

Table of Contents

S. No. Particulars

1. Executive Summary

2. Industry Analysis

3. Business Overview

4. Product Portfolio

5. Customer Base

Page 3

Executive Summary Industry Business Overview Customers Products

Executive Summary

Business Overview

Shareholding Structure

► Established in 1997, ACIL Ltd. is engaged majorly in manufacturing of high precision engineering automotive components viz.

crankshafts. It also manufactures connecting rod, wheel hubs and steering knuckles.

► It has the capacity to manufacture crankshafts of wide range from 0.5 to 150 kg.

► ACIL’s plant is located in IMT, Manesar, a well developed industrial area in Gurugram, Delhi NCR.

► As of August 8, 2018 ACIL employed ~539 employees ( approx. 30% on regular and 70% on contract basis)

► For the financial year ending 2018, the company generated INR 1446 Mn in net sales and INR 112 Mn in EBITDA as per the audited

financial statements.

ACIL’s is amongst the

largest Crankshaft

machining plants in

India

Market Leader

1

Customer Base

Diversity

Company is selling its

products to no. of

OEMs for tractors,

HCVs/LCVs as well as

4/2 wheelers in the

Indian market

2

Manufacturing

Capabilities

Capable of Machining

high precision

Crankshafts having

finer tolerances

3

Key Investment Consideration

Alliance Integrated

Metalliks – 46%

Amtek Auto – 44%

Investors – 10%

ACIL Limited

Promoter Non Promoter

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Executive Summary Industry Business Overview Customers Products

Major Highlights:

► Crankshaft being an engine component requires utmost precision. ACIL has the proven capability

► Company has 16 lines of production

► High-end Machinery and Equipment from reputed manufacturers like Toyoda and Komatsu (Japan), Heller and

Landis (Germany) etc

► Long term relationships (over 10 years) with key OEMs like John Deere, New Holland Tractor, Swaraj Mazda,

Maruti Suzuki India & Honda Motorcycles & Scooters.

► EBITDA positive financials;

► Significant growth & profitability improvement opportunity based on existing installed capacity and customer base;

► Robust short to mid term outlook for automotive industry

► Excellence Award in recognition of Partner-level performance received from John Deere for three years

consecutively (2014-2016)

► Achieved Silver Award in 2015 and Gold Award in 2016 from Frost & Sullivan Indian Manufacturing

Excellence Awards.

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IndustryExecutive Summary Business Overview Customers Products

Automobile Industry Overview - Global

41.22 39.83 41.36 41.97 44.55 47.05 49.92 53.2 52.84 47.77 58.24 59.9 63.07 65.44 67.53 68.6 72.11 73.4617.17 16.48 17.64 18.69 19.94 19.67 19.3 20.06 17.89

13.99

19.34 19.92 21.17 21.86 22.22 21.92 22.53 23.85

2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017

Worldwide automobile production (million units)

Passenger vehicles Commercial vehiclesSource: Statista

• India is the 5th largest vehicle manufacturer globally after China, USA, Europe and Japan.

• The automotive manufacturing industry comprises production of commercial & passenger vehicles, three & two-wheelers.

• The total production volume grew at a CAGR of 5.5% and the total sales grew at a CAGR of 5.9% from FY12 to FY 18

7

6

22

25

3

Automobiles

Iron & Steel

Consumer Durables

Electronics

Coal

Contribution to GDP in FY2016 (in %)

Indian GDP in

2016:

2.264 Trillion

Indian Automobile

contribution to

GDP in 2016 :

$158.48 Billion

Largest tractor

manufacturer

5th largest heavy

truck manufacturer

4th largest

passenger car

manufacturer

2nd largest bus

manufacturer

2nd largest two

wheeler

manufacturer

5th largest

commercial vehicle

manufacturer

Indian Automobile Industry

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IndustryExecutive Summary Business Overview Customers Products

Auto Component Industry Overview - India

22%

4%

45%

4%

1%

5…

8%8%

2% 2%

Auto component consumption by OEMs

Two wheelers

Three wheelers

Passenger vehicles

LCV (2 to 7.5T)

SCV (<2T)

MCV (7.5 to 16T)

HCV (>16T)

Tractors

Backhoe loaders

Others

Source: ACMA

OEM's 50%

Exports 28%

Replacement

Market22%

Market Segmentation of Auto Component Industry Turnover

Source: Dun & Bradstreet

2013-14 2014-15 2015-16 2016-17 2017-18P 2018-19P

22132397 2551 2730

30603445

2471 2624 2818 30143359

3765

400 444 460 465 501 545

Automotive components market trend (INR Bn)

Domestic production Domestic sales Exports

Source: Crisil

2010-11 2011-12 2012-13 2013-14 2014-15 2015-16 2016-17

1883 2046 2160 21172348

25562922

1580 1619 1633 1502 16631847

2191

303 427 527 615 685 709 731

Automotive components aggregate turnover (INR Bn)

Aggregate Turnover Domestic trunover Exports turnover

Source: Crisil

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IndustryExecutive Summary Business Overview Customers Products

Growth Drivers of Auto Component Industry

Demand side drivers

• Robust growth in domestic automotive industry

• Increasing investment in road infrastructure

• Growth in the working population and middle class income to drive the

market

Supply side drivers

• Competitive advantages facilitating emergence of outsourcing hub

• Technological shift; focus on R&D

• Cheap Labor advantage

Policy support

• Establishing special auto parks and virtual SEZs for auto components

• Lower excise duty on specific parts of hybrid vehicles

• Policies such as Automotive Mission Plan 2016-26, Faster Adoption &

Manufacturing of Electric Hybrid Vehicles (FAME, April, 2015), NMEM*

2020, likely to infuse growth in the auto component sector of the country.

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Business OverviewExecutive Summary Industry Customers Products

Manufacturing Facility

Manufacturing Facility

Manesar

▪ Land Area : 7875 square mtrs

▪ Head Count : 539

▪ 70% contractual labour and 30%

regular employees (Approx.)

▪ Co-ordial labour relations; no trade

union

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Business OverviewExecutive Summary Industry Customers Products

Manufacturing Facility & Infrastructure

► Facility is equipped with best in class machinery and equipment with

dedicated machining Lines for customers

► In-house tool room facility equipped with tool & cutter grinders,

Broach Sharpener, Lathe, Milling Machine & Surface Grinders

► Fully automated machining lines with Hydraulic loaders to

load/offload heavy and highly precision components

► For all Key Processes, facility is equipped with world class machines:

► Special Pin & Journal Milling Machine from Komatsu (Japan)

► Journal Grinding Machines from Toyoda (Japan)

► Pin Grinding Machines from Toyoda (Japan)

► Crack detection machine from ITW

► Induction Hardening Machine from EMA (India)

► Heat treatment facility have tempering furnace

► HMC;s (Japan)

► Standard Room equipped with CMM, Profile Projector, Adcole

Gauge, Slip Gauges, Finish Tester & Contour tester

► Testing Lab equipped with Hardness tester, Millipore tester.etc.

► Utilities equipped with Generators for power back up, ETP & STP

Pictorial View

Production Shop floor

Pin Milling Tempering Furnace

Crack Detection Induction Hardening

Key Equipment Capabilities and Edge

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Business OverviewExecutive Summary Industry Customers Products

Awards

Appreciation for successful completion of Lean Six Sigma

Project from John Deere

Appreciation for Productivity Improvement on Conrod

Line from John Deere

Appreciation for reduced Customer PPM from John

Deere

Achieved Silver Certificate of Merit from Frost & Sullivan

India Manufacturing Excellence Awards

Appreciation letter received from Customers for Good Quality and Delivery Targets

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Business OverviewExecutive Summary Industry Customers Products

Value Chain for ACIL

FOD Turning

PIN & JOURNAL

MILLINGTail End Turning

Facing & Centering

START

To customers

OIL HOLE DRILLING JOURNAL GRINDINGINDUCTION

HARDENING)

PIN GRINDING

T.E. & FLANGE HOLE

DRILLING TAPPING &

KEY MILLING

BALANCING LAPPING

Raw Forging

Raw Material

Crankshaft

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Business OverviewExecutive Summary Industry Customers Products

Value Chain for ACIL

Rough Milling

Bolt Hole drilling,

Reaming, Spot FacingFinish Milling

Grinding

START

To customers

Two Spindle

TorqueingGrinding

SEMI FINISH

BORINGFine Boring Honing Big End

Raw Forging

Raw Material

Connecting Rod

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ProductsExecutive Summary Industry Customers Business Overview

Key Products

Crankshafts Connecting Rods Wheel Hub

The Company caters to a range of high value added components

Tractor Components Passenger Vehicle Components

Steering Knuckle

Two Wheeler

2W Crankshaft

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CustomersIndustry Products Business overviewExecutive Summary

Revenue Splits

Revenue Split by Segment

46.0%

7.0%

29.0%

18.0%

Tractor CV 2W PV

Splits based on FY 18

Revenue Split by Product Family

73.6%

18.4%

7.6%

0.4%

Crankshaft Wheel Hub

Connecting Rod Steering Knuckle

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Disclaimer

This power point presentation (“Presentation”) has been prepared for general information purposes. This document does

not constitute or form part of and should not be construed as an offer or invitation for the sale or purchase of securities or

any of the businesses or assets of the ACIL Limited (“Company”) or as an inducement to enter into investment activity.

Neither this document, the fact of its distribution, nor anything contained herein, should form the basis of, or be relied upon

in connection with any contract, agreement, undertaking, understanding or any commitment or investment decision

whatsoever.

The information in this Presentation has been collated from the primary information available with the Company / public

domain and does not purport to be accurate, comprehensive or complete. All recipients should conduct their own

diligence, investigation and analysis of the Company and the data set forth in this document and otherwise provided.

While this information has been prepared in good faith, no representation or warranty, express or implied, is or will be

made and no responsibility or liability is or will be accepted by the Company or any of its officer, in relation to the accuracy,

fairness, authenticity or completeness of this Presentation. The recipient acknowledges that it shall not use any

information provided herein and/or disclosed pursuant to the terms hereof to cause an undue gain or undue loss to

Company and further undertakes that it will protect all intellectual property rights of the Company.

Thank You