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INFORMATION TEASER
ICOMM TELE LIMITED
DECEMBER 2018
2
BUSINESS OVERVIEW
Business Snapshot
Incorporated in the year 1989, ICOMM Tele Limited (ICOMM) is primarily engaged in executing Engineering, procurement and
construction (EPC) contracts for power transmission towers, power distribution and telecom towers / equipment.
Along with EPC services divisions, the company has works locations at Hyderabad, Andhra Pradesh.
The Company has one of the largest manufacturing plants for power transmission towers with production capacity of
250,000 MTPA at Nagaram, Hyderabad (galvanizing capacity is 108,000 MTPA). In Cherlapally, Hyderabad, it manufactures
communication and technology products such as defence communication, military radios, radars, telecom wireless &
wireless equipment.
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3
Promoters21.55%
Investors & Institutional Shareholders
21.85%
Financial Institution
56.28%
Others 0.32%
% SHAREHOLDING
BUSINESS OVERVIEW
Directors
Pradeep Shankar
Non-Executive Chairman
& Independent Director
Sumanth Paturu
Managing Director
Percy Homi Italia
Independent Director
Nivedita Rani
Yalamanchili
Non Executive Director
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Note
Board of Directors is suspended due to
commencement of insolvency proceedings
Financial InstitutionsInvestors & Institutional
Shareholders
Axis Bank Ltd
Syndicate Bank
State Bank of India
UCO Bank
Lakshmi Vilas Bank Ltd
ICICI Bank Ltd
Allahabad Bank
Andhra Bank
Central Bank of India
Corporation Bank
State Bank of Hyderabad
Bank of Maharashtra
Bank of Baroda
IL&FS Financial Services Limited
Kotak Mahindra Trusteeship Services Limited
Tano Mauritius India FVCI
L&T Infrastructure Finance Co. Ltd.
4
ICOMM : BUSINESS PROFILE
Power
• Products & Solutions include transmission lines up to 765KV, manufacturingof towers and conductors, supply & construction of substations (Air InsulatedSubstation), distribution, switchyards and upgrades/retrofits to existingsubstations.
Telecom
• Products & Solutions include Telecom EPC, provision of telecom equipmenton turnkey basis, range of optical & radio transmission equipment and othertelecom equipment.
Defence
• Product & Solutions include design, development, prototyping, andmanufacturing of tactical communication equipment
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5
ICOMM : POWER BUSINESS
EPC Transmissions & Towers
ICOMM Power Transmission is having capabilities to design, test, manufacture & supply and construct on a turn-key basis transmission lines upto 765kV and has built over 2,100 ckm of 400/765 kV transmission lines on a turnkey basis.
ICOMM has one of the largest Tower Manufacturing facilities having capacity of 250,000 MTs per annum (galvanizing - 108,000 MTPA) backed by Conductors, Steel rolling mill & fastener manufacturing facilities.
A well planned plant facilities spread ~75 acre support the receiving of raw materials streamlining the production lines, stacking of finished products, packing & containerized stuffing operations within the factory premises.
It has an exclusive EPC solutions business unit that extends services ranging from soil and topography surveys, to planning & design, execution of transmission lines & Project Management and Support.
Substations
ICOMM is a key player in turnkey EPC in Substations up to 400 kV & Powering rural electrification in India.
ICOMM also has a well enabled EPC team with vast exposure in Substations and rural electrification to undertake all activities of a given project right from beginning to entire completion of Substation & electrification of a village/city.
Conductors
ICOMM has in-house manufacturing facility to manufacture various conductors including 765 kV capacity.
ICOMM is facilitated with 3 nos of 13 draw wire drawing with microprocessor based controls, maintaining 100% circularity in wires and dancer control wire tension and dual take up
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6
ICOMM : TELECOM BUSINESS
ICOMM offers a complete range of products & solutions on Wimax, Optical
transmission, Radio Transmission & Turnkey services from Telecom Network
Planning, Design, supply and installation for GSM, CDMA, 3G and Broadband
Networks.
Capabilities
In-house Design and Engineering
Manufacturing Facilities for Wireline, Wireless Equipment and Passive
Infrastructure like Towers, Shelters
Planning, Site Survey to entire completion of BTS sites on a turn-key basis for
GSM, CDMA, 3G and Broadband Networks
Shelter Manufacturing Facility
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7
ICOMM : DEFENCE BUSINESS
ICOMM has streamlined its business on the basis of its core competencies in the field of Radio technologies.
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ICOMM has the facility to Design, Develop,
Manufacture & Supply:
Secure Wireless Communication Systems
EW Sub-systems
RADAR
Turnkey and Networking Solutions
Antennae
Mobile / Stationary Shelters
Telescopic Masts
Major Products Developed include
Point to Multi Point ECCM Radios, Band III & IV
Point to Point ECCM Radios, 8Mbps, Band IV
Backbone Radios, 8/34 Mbps, Band IV
Short Range Communication Systems
EW Search/ Monitoring Receivers
Location Finding Systems based on TDOA
Jammer Power Amplifiers
Subsystems (Exciters, DIFM etc.) for EW application
Fields exchange for Tactical Applications
MIL WiMAX / FWS
Inter Operability Device
Voice Command and Control Systems
Antennae for EW, Communication and Surveillance
RADAR
MIL Shelters & Masts
8
FINANCIAL OVERVIEWYear Ending Mar-18 Mar-17 Mar-16 Sep-15 Mar-14 Mar-13 Mar-12
Period (In Months) 12 12 6 18 12 12 18
Net Sales 281.20 476.31 317.25 494.68 401.48 380.00 1154.03
Other Income 70.66 17.18 7.40 55.41 39.50 11.21 17.36
Total Income 351.86 493.49 324.66 550.08 440.98 391.21 1171.39
Total Expenditure 375.96 446.07 280.08 608.34 429.01 459.14 1084.79
EBITDA -24.10 47.43 44.58 -58.25 11.97 -67.93 86.60
Depreciation 6.23 6.38 3.45 17.48 8.99 9.71 15.88
EBIT -30.33 41.05 41.14 -75.74 2.98 -77.64 70.72
Interest 148.22 141.93 65.52 176.95 104.24 94.84 172.72
PBT -178.55 -100.88 -24.39 -252.68 -83.60 -172.49 -102.00
Tax - 0.48 - -1.14 0.99 -0.40 -31.51
PAT -178.55 -101.36 -24.39 -251.54 -84.58 -172.08 -70.49
All Figures in INR Crores
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-60.00%
-40.00%
-20.00%
0.00%
20.00%
Mar-18 Mar-17 Mar-16 Sep-15 Mar-14 Mar-13 Mar-12
0.00
500.00
1,000.00
1,500.00
Year Ending
INR in C
rore
s
Financial Highlights
Net Sales EBITDA Margin PAT Margin
9
FINANCIAL OVERVIEW
Segment wise - Revenue (Figures in INR Cr. Unless otherwise specified)*
SegmentOct'15 - Mar’16 (6 months) April'16 - Mar’17 (12 months) April'17 - Mar’18 (12 months)
Amount % Amount % Amount %
Power - Transmission 292.81 92.29% 429.90 90.26% 169.20 60.17%
Distribution - Others 8.27 2.61% 27.04 5.68% 87.61 31.16%
Defence 15.98 5.04% 17.39 3.65% 23.79 8.46%
Others 0.20 0.06% 1.98 0.42% 0.60 0.21%
Total 317.25 100.00% 476.31 100.00% 281.20 100.00%
Restricted Reliance
*Source: Annual Report of
Corporate Debtor
0.00%
10.00%
20.00%
30.00%
40.00%
50.00%
60.00%
70.00%
80.00%
90.00%
100.00%
Power - Transmission Distribution - Others Defence Others
% Revenue
Oct'15 - Mar'16 April'16 - Mar'17 April'17 - Mar'18
10
KEY INVESTMENT RATIONALE
International Presence & Strong
Customer Base
Presence in Defence Sector
Defence sector has high entry barrier
due to initial product testing phase
which requires around 2-3 years for
approval by defence ministry. ICOMM
is approved and registered vendor
across all Defence Communication
Product requirements from Ministry
of Defence.
Facilities
Company has Tower manufacturing facility
with annual production capacity of 250,000
MT. (galvanizing capacity is 108,000 MTPA)
Design and manufacturing/ fabrication
capabilities for various products like:
Towers Manufacturing & Galvanizing Unit
- Power Transmission Towers up to
765kV, Broadcasting, Windmill & Military
and Telecom Towers.
Shelter Fabrication Unit – Defence,
Power & Telecom.
Telecom Wireless & Wire-line
Manufacturing Unit and Technology
Centre
Conductors (AAAC & ACSR)
Executed in various countries like
Libya, Philippines, Dubai, Sri lanka,
Nepal and Nigeria
Customer base include the best
brands in India, telecom operators
like Airtel, TATA, Reliance,
Vodafone, IDEA, BSNL etc. and all
electricity boards, NTPC and PGCIL
(Power grid) and equipment vendors
like Nortel, Nokia, Alcatel, Ericsson,
Hawaii etc.
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*As per Company information
11
STATE OF THE ART FACILITIES
Power T&D Facility-Nagaram, Hyderabad Defence Unit- Cherlapally, Hyderabad
Conductors Unit-Hyderabad Shelters Manufacturing Unit-
Hyderabad
Telecom Manufacturing & EPC
Telecom- Cherlapally, Hyderabad
Corporate Office- Banjara Hills, Hyderabad
Tower Manufacturing Unit-Hyderabad
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12
AWARDS/CERTIFICATES
Awards/
Certificates
C-DoT Award as the largest manufacturer of
MARR Radios for the year 1992
Recipient of the ElcinaAward : R&D
Achievement for the year 1994
Reached the No. 1 position as Private
Telecom Manufacturer in the country during
1995
Procured the prestigious ISO 9001 Certification during
1997
Ranked No. 5 in the top ten private
Infrastructure Telecom companies in the
country during the year 2000
Ranked No. 8 among the top network integrators in the
country and received prestigious ISO 14001 certification during
2001
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13
FINANCIAL CLAIMSDetails of Financial Claims (in INR Crore)
S.
NoBank Name
Claim amount
Admitted
Claim amount for
voting sharePercentage*
1 Axis Bank 414.51 264.57 18.19
2 Syndicate Bank 249.50 229.03 15.74
3 State Bank of India 275.29 204.29 14.04
4 UCO Bank 192.81 146.98 10.10
5 Lakshmi Vilas Bank Ltd 142.64 111.63 7.67
6 PTC India Financial Services Limited 90.63 90.63 6.23
7 ICICI Bank Ltd 151.93 82.07 5.64
8 Allahabad Bank 95.15 74.56 5.13
9 Andhra Bank 56.54 56.54 3.89
10 L&T Infrastructure Finance Co. Ltd. 46.91 46.91 3.22
11 Central Bank of India 51.23 46.15 3.17
12 Corporation Bank 45.58 34.61 2.38
13 Bank of Maharashtra 68.25 33.92 2.33
14 Bank of Baroda 25.57 21.16 1.45
15 Canbank Factors Ltd 11.65 11.65 0.80
16 Dena Bank 16.52 - -
17 IDBI Bank Ltd 22.23 - -
Total 1,956.94 1454.70 100%
Source: The aforesaid claims are admitted by IRP, subject to verification
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*Claim amount for voting shares has been derived by IRP after excluding un-invoked non fund based limits. This
amount may undergo change subject to legal opinion sought by RP in this regards.
14
DISCLAIMER
This Document is not a prospectus and does not constitute or form any part of any offer or invitation to subscribe for,
underwrite or purchase securities, nor shall it or any part of it form the basis of, or be relied upon, in any way in connection
with any contract or investment decision relating to any securities.
The information contained in this document is selective and is subject to expansion, revision, amendment and update. It
does not purport to contain all the information that Recipients may require. No obligation is accepted to provide Recipients
with access to any additional information or to correct any inaccuracies, which may become apparent. Recipients should
conduct their own investigation/due diligence and analysis of the operations and of the information contained in this
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the decision.
We have not independently verified any of the information contained herein. Neither BDO, nor affiliated partnerships or
bodies corporate, nor the directors, shareholders, managers, partners, employees or agents of any of them, makes any
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Note: This publication has been carefully prepared, but it has been written in general terms and should be seen as broad guidance only. The publication cannot be relied upon to cover specific situations and you should not act, or refrain from acting, upon the information
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not accept or assume any liability or duty of care for any loss arising from any action taken or not taken by anyone in reliance on the information in this publication or for any decision based on it.
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