The document discusses India's economic growth and opportunities for investment. It summarizes that India is expected to recover from the global slowdown in Q3 2009 due to lower dependence on exports and stimulus measures. The cement industry in India is growing and there are opportunities in infrastructure, construction, and other sectors for foreign investment. Sagar Cements is presented as an established and efficient cement producer with expansion plans to triple its capacity.

1. Ackermans & van Haaren INVESTING IN INDIA

2. A Presentation By Ace Global

3. INDIA : Growth through economic liberalisation Source: RBI Statistics Current Period Post Reform Period Pre Reform Period In spite of the Global slowdown, the Economy is expected to grow at a modest 6.5 % & 6.7 % during FY 09 & FY 10External debt mainly corporate commercial borrowings

5. How the meltdown affected India... Govt. Source: RBI Statistics ,Press Article Decline in exports resulted in layoffs in labour intensive sectors Export Growth % Soaring Oil Prices High inflation, Govt. subsidies Fiscal deficits rose to 6% (target 3%)

6. How the meltdown affected India … Pvt. sector. Source: RBI Statistics , Press Article During the meltdown, FIIs pulled out $12.2 billion out of the Indian Stock Market Collapse of the Equity Market, devaluation, and reduced access to debt > Investment led Expansion dropped; warrants redemption became difficult. Govt. swiftly arrested debt flows into construction, real estate sectors based on subprime links and inflation effects.

7. US, EU and Japan Source: IMF, Respective countries official government sources Recovery not likely before 2010 New drivers of global growth? BRICs

9. For Liquidity … Commodities boom over, Inflation under control More room to cut lending rates Increased Money Supply in the Domestic Economy Govt. borrowing can crowd out private sector Private sector banks would have enough liquidity for the Private sector RBI may expand its balance sheet to lend to Government For Investment… 1.3 50 billion $ in investments Government fiscal packages totaled up to Rs 1.2 trillion during the last fiscal year (4% of GDP) Fiscal deficit rose to 6% against the 3% target Oil prices back to pre-boom levels, and govt. recovering the subsidies. Fiscal deficit is narrowing.

10. India to recover in Q3 2009 Source: IMF, Respective countries official government sources McKinsey Global Survey Results – April 2009 “ A Sizeable Majority (53%) expect India will emerge from the crisis economically stronger” “ Low dependence on exports (15% of GDP) has cushioned the impact of global slow down” “ Low oil prices and domestic investment growth will help India recover in Q3 2009” Election results and new budget may affect pace

11. The long term argument

13. 101.1 91.3 10.9 2.4 1.2 74.1 106 55.1 5.5 3.3 49.9 93.1 94.9 33.1 9.5 11.4 3.8 14.6 15.2 3.8 6.3 2.6 13.7 30.6 20.9 21.7 Definition of household income brackets based on annual household income: Globals (more than INR 1,000,000), Strivers (INR 500,000 to 1,000,000), Seekers (200,000 to 500,000), Aspirers (90,000 to 200,000), Deprived (less than 90,000) Middle Class India’s real GDP growth in % Source: MGI Household income brackets 2005 E 2015 F 2025 F Number of Households, (in million) Aggregate disposable income–2000 (in INR trillion)

17. Sagar Cements Limited Corporate Presentation May 2009

23. Efficient Cement Producer Continuous improvement in operating efficiencies Sagar Cements Limited Sustenance of average production cost despite rising input costs Consumption per unit of Production

26. Financials Profit set to more than Triple Sagar Cements Limited Sales Profit EBIDTA

27. Financials Net worth of the company to more than triple in 3 Years Sagar Cements Limited Net worth Capital Employed Debt

28. Financials Sagar Cements Limited Debt-Equity Ratio ROE % ROCE %

29. Financials #1 as on 31 st March 2009 Sagar Cements Limited Shareholding Pattern #1 Share price Movement in BSE Earnings per Share (EPS) Few Key Investors 1 India Fund Inc (Blackstone Group) 5.39 2 AVH Resources India Private Limited 14.78 3 Paraficim S.A.S (Subsidiary of Vicat S.A) 6.67 4 Prinicipal Mutual Fund ~3.5 5 Twinvest Financial Services Limited 6.88 6 Savyasachi Constructions Private Limited 1.96 7 Passionate Investment Management P. Ltd 1.96