GREAT EASTERN SHIPPING CO. LTD.

Initiating Coverage BUY

RESEARCH Sector Shipping & Logistics I CMP Rs 229 I Target Rs 407

Great Eastern Shipping Co. Ltd. (GES) is India’s largest private shipping
STOCK DATA company with a presence in sea transportation and offshore services.
On a consolidated basis, it owns and operates 41 marine vessels
Market Capitalisation Rs 34.9bn aggregating 2.85 mn dwt and 6 Offshore Supply Vessels (OSVs). It also
Book Value per share Rs 282.1
operates various in-chartered assets in both these segments.
Eq Shares O/S (FV Rs.10) 152.3mn
Median Vol. 412,700 (BSE+NSE) GES is expanding in the aforementioned segments by augmenting its
52 Week High / Low Rs 572/208 fleet at an outlay of USD1.6bn over the next 4 years. Recently, its wholly
BSE Scrip Code 500620
owned subsidiary Greatship (India) Ltd. (GIL) formed a joint venture with
NSE Scrip Code GESHIP
Norway based DOF Subsea (world’s leading subsea project player) to
Bloomberg Code GESCO.IN
Reuters Code GESC.BO
explore opportunities in deep sea projects off the east coast of India.
GES has been strategically firming up its total tonnage and pruning its
SHAREHOLDING PATTERN (%) average fleet age to take advantage of a steady sea transport market.

Qtr. Ended Dec-07 Mar-08 Jun-08

We believe that its expansion will improve the quality of earnings by
Promoters 29.5 29.9 30.4 enhancing the presence of offshore segment to total earnings. With an
MFs/ FIs/ Others 11.9 13.0 14.0 experienced management with proven risk management abilities over the
FIIs/ NRIs/ OCBs 23.8 21.9 21.4 last six decades at the helm, GES is expected to gain considerably when the
PCBs 6.8 7.1 7.2 capex is monetised in the coming years. This would entail better earnings
Indian Public 27.9 28.1 27.1 leading to a re-rating of the stock. Thus, we initiate coverage on the company
with a ‘BUY’ recommendation with an 18 months price target of Rs407.

STOCK PERFORMANCE (%) INVESTMENT RATIONALE

1M 3M 12M z Buoyant global export levels, increasing demand for energy from
Absolute (32.3) (40.9) (36.7) emerging economies, congestion at major ports & channels, increased
Relative (5.7) (21.8) 12.1 orderbook at major shipyards and anticipated delays in new deliveries
should keep the demand for bulk carriers and tankers firm. These would
ensure better earnings for GES with a young fleet of ships.
STOCK PRICE PERFORMANCE
z GES has maintained low debts and a healthy cash balance which we
GES BSE (Rebased)
600 expect to continue in the subsequent years. This should insulate GES
from any downturns in the capital intensive shipping industry.
500
z GES is also well poised to capitalise on potential opportunities on
400 account of its substantial cash reserve.

300 z E & P activities are on rise as there is still no major substitute for
crude oil. There is enough momentum in the shallow water exploration
200 and greater thrust picking up in the deep water regions. GES, through
Aug-07 Nov -07 Feb-08 Jun-08 Sep-08 its subsidiary GIL, is well poised to capture the benefits of both these
market segments.

KEY FINANCIALS (CONSOLIDATED) (Rs Mn) KEY RATIOS

Yr Ended Net YoY Gr Op OPM Net Eq Yr Ended EPS ROACE ROANW P/E EV/EBDIT EV/Sales
(Mar) Sales (%) Profits (%) Profits Capital (Mar) (Rs.) (%) (%) (x) (x) (x)

2006 20,361 (4.5) 9,356 46.0 8,504 1,523 2006 55.8 24.2 37.2 4.1 3.0 1.9
2007 21,660 6.4 10,675 49.3 9,111 1,523 2007 59.8 22.7 32.7 3.8 3.3 2.0
2008 31,084 43.5 13,632 43.9 12,582 1,523 2008 82.6 29.4 39.0 2.8 2.3 1.5
2009E 33,270 7.0 15,396 46.3 13,846 1,523 2009E 90.9 23.1 28.4 2.5 2.2 1.3
2010E 35,690 7.3 18,070 50.6 13,382 1,523 2010E 87.9 18.9 22.8 2.6 2.7 1.6
2011E 53,452 49.8 28,724 53.7 21,618 1,523 2011E 142.0 23.4 30.1 1.6 1.6 0.9

Analyst - Rajesh Kumar Ravi I rajeshkumar.ravi@pinc.co.in I Tel: +91-22-6618 6377 13 October 2008 1

From a single ship company
60 years back, GES has
become a global player today...
GES’ presence in global
logistic hubs ensures better
business opportunites...
Background
GES was promoted by the Mulji (Sheth) brothers and Bhiwandiwalla family who started
their own shipping line with one ship (SS Fort Alice) to help expand the reach of their
trading businesses. It got incorporated on 3rd August 1948 and over the past 60 years it
has become India’s largest private sector shipping company. Responding to the demands
of the oil industry, GES ventured in offshore services in 1983 with the purchase of
Malaviya One – India’s first offshore supply vessel. In Oct’06, the company demerged its
offshore operations into Great Offshore Ltd. as part of its business realignment exercise.
In the same year, Greatship (India) Ltd (GIL), a wholly owned subsidiary took delivery of
its first asset Greatship Disha, a platform supply vessel.
Fleet Structure
Great Eastern Shipping Co. Ltd
Shipping Division Offshore Division
(Sea Transportation) (Offshore oil-field Support &
Logistics Services)
Dry Bulk Carriers Platform Supply Vessels (PSVs)
11 vessels (owned) ¾ 4 Owned
5 vessels (In-chartered) ¾ 2 In-chartered
Tankers Anchor Handling Tug cum
30 vessels (owned) Supply Vessels (AHTSV)
¾ 12 Crude carriers ¾ 2 Owned
¾ 16 Product tankers ¾ 1 In-chartered
¾ 2 LPG carriers
4 vessels (In-chartered)
¾ 2 Crude carriers
¾ 1 Product tanker
Source: Company
At present, GES has 2 main businesses: shipping and offshore. GES and its 3 subsidiaries
caters to the transportation of crude oil, petroleum products, gas and dry bulk
commodities. The offshore division is managed by the other four subsidiaries which
provide support services to oil companies in carrying out offshore exploration and
production (E&P) activities.
Corporate Structure
Shipping Business
The Great Eastern
Offshore Business Shipping Co. Ltd
The Great Eastern Greatship (India) Ltd, The Great Eastern The Great Eastern
Shipping Co London Ltd Mumbai Chartering LLC (FZC) UAE (Singapore) Pte Ltd
Greatship Global Holdings Greatship Global Offshore Greatship Global Energy
Ltd, Mauritius Services Pte Ltd, Singapore Services Pte Ltd, Singapore
Source: Company
2

Prudent mix of liquid and dry
bulk carriers of different
sizes...
Increasing tonnage and
reduced avg fleet age...
The spread between spot and
time charter helps GES to
capitalise on high day rates
while ensuring a safety
margin...
The offshore services sector
provides better operating
margin compared to shipping
sector...
Business Model
Shipping Division
The shipping division owns and operates 41 vessels aggregating 2.85 mn deadweight
(dwt) at an average age of 10.6 years. About 76% of the company’s tanker dwt is double
hulled. The company along with its subsidiaries also operates 9 in-chartered ships.
The product mix of assets includes 30 tankers with avg age of 9.7 years. These vessels
are equipped to carry crude oil, petroleum products and LPG. The fleet also includes 11
dry bulk carriers with an avg age of 13.8 years. These vessels cater to the shipment
requirements for bulk commodities such as grain, coal, iron, and other minerals. In
addition, the company has also in-chartered 4 tankers and 5 bulk carriers of various
sizes. The clients’ list includes oil majors, SAIL, Oldendorff, K-Line, etc.
Fleet Tonnage & Avg Age
Tonnage (Mn Dw t)* LHS Av g Age (y rs)* RHS
4 16
3.77
3 13
3.26 3.22
3.02 2.92 3.07 2.97
3.13
2 2.47 10
1 1.37 1.28 1.32 7
11.4 10 9.4 9.3 8.8
0 4
2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012
Source: Company *Based on current capex & no sales envisaged
GES earns revenues by charter hire of its vessels. It employs ~55% of the tonnage in the
spot market while the remaining is time chartered on an average contract period of
~1.5 yrs.
In case of spot (voyage) charter, the company earns freight as per the current market
rates. The vessel is fixed for a particular voyage in the immediate future. The contract
rate covers all operating costs such as bunker, staffing, port charges, canal dues, etc.
This is a volatile market segment where the day rates are high when demand is firm but
can fall to less than 50% of the same when the demand supply gap narrows.
In a time charter contract, the company receives pre-fixed freight, in advance and at
regular intervals, and remains responsible for running expenses of the ship such as
staffing, and periodic maintenance. Vessel’s employment, bunker costs and other costs
such as port charges and canal dues are passed on the charterer. As the freight is
prefixed, it is insulated from the fluctuations in the spot market. However, time charter
rates are much lower than spot rates.
The direct and indirect operating expenses related to the shipping revenues range
between 50-55%. These include direct operating costs (15-20%), staff cost (8-10%), other
expenditures (5-10%), repair & maintenance costs (5-10%), in-chartering costs, etc.
Offshore Division
The Offshore segment provides support services to the offshore exploration and
production activities through an asset base of 4 Platform Support Vessels (PSVs) and 2
Anchor Handling Tug cum Supply Vessels (AHTSVs). These vessels are fixed on time
charter with an average duration of 2.1 years. Presently, these vessels are operating in
North Sea, Gulf of Mexico and in the Indian waters. Additionally, GIL also operates 3 in-
chartered assets - 1 AHTSV and 2 PSVs.
The operating margin in the offshore services is slightly better than that in the shipping
business. It range between 60-75% depending on the asset, its sophistication and age.
3
 Capex Plan

Shipping Division
Total planned capex of The present fleet of 41 ships has an average age of ~11 years. With investment of ~
USD1.6bn over the next 4 USD780mn over the next 4 years, GES plans to add 12 new built vessels by end FY12. This
years... should increase fleet size by 10 vessels to 51 with total dwt of 3.8 mn and avg age of 9 yrs.

Capital Expenditure Schedule- Shipping

Yr Vessel Type Nos. Expected inclusion (USD mn) Total Additions
FY09 Product Carriers LR 3 Q3FY09
159 2
Product Carriers LR 1 Q4FY09
Post capex, the fleet would
have 32 tankers and 19 dry FY10 Product Carriers LR 1 Q1FY10
129 4
bulk carriers... Bulk Carriers Supramax 2 Q4FY10
FY11 Bulk Carriers Kamsarmax 1 Q4FY11
137 3
Bulk Carriers Suprarmax 2 Q1FY11, Q2FY11
FY12 Crude Carriers Suezmax 2 Q2FY12, Q3FY12
354 5
Bulk Carriers Kamsarmax 3 Q1FY12, Q2FY12(2)
Total Additions 12 vessels Total Capex ($ mn) 779
Source: Company

Offshore Division
In a bid to increase its market size and capacity in the offshore services segment, GIL has
committed ~USD815mn to acquire 21 assets over the next 4 years, including a jack up
rig. Additionally, it has also in-chartered a Jack up Rig on bare boat charter (BBC) from
Mercator, Singapore. The rig is in-chartered for 3 years and would be joining the fleet by
Mar’09.

Capital Expenditure Schedule- Offshore

Yr Vessel Type Nos. Expected inclusion (USD mn) Total Additions

FY09 PSV 2 Q2FY09* & Q3FY09

Huge expansion in the 80T AHTSV 3 Q4FY09 108 5
offshore services sector.... * Joined fleet in Sep 2008
FY10 80T AHTSV 3 Q1FY10, Q2FY10 (2)
MPSV 4 Q2FY10 (2), Q3FY10, Q4FY10
350 Feet Jack Up Rig 1 Q2FY10
MSV- supply 1 Q4FY10
495 10
MSV- const. support 1 Q4FY10
FY11 MSV- const. support 3 Q1FY11, Q2FY11, Q4FY11
MSV- supply 1 Q1FY11 212 6
150T-AHTSV 2 Q4FY11
Total 815 21
Source: Company

The capex will be financed through a mix of debt and internal accruals in the ratio of
2.3:1. GES’ Peak DER would be ~1.2:1. The debt will be arranged phase wise ~6-8
months prior to its requirement.

4

Trade & GDP growth and
higher ton-mile effect have
positive impact on demand
growth for sea transportation...
Supply of assets impacted by
existing fleet capacity,
utilisation levels, age, shipyard
capacity & efficiency...
Increased demand for oil from
the developing countries to
keep the tanker market firm...
Industry
Demand drivers for the shipping industry
¾ Trade & GDP growth: Demand for ships is positively correlated with the growth in
world trade and global GDP. Also, 90% of trade by volume & 70% by value is carried
through sea route. Hence, any rise and fall in global economy and world trade
pattern will have a direct impact on the shipping industry. During the last 2 decades,
world GDP and global trade grew at 2.9% & 3.6% CAGR respectively leading to a
2.8% long term growth in world fleet.
¾ Geographical distribution of oil & commodities: Demand for tankers is impacted
by the amount of oil in reserves worldwide and the amount that can be processed
in relation to the oil demand. Similarly, distribution of commodities related to
energy (coal), infrastructure (iron, cement, etc), cereals (wheat, soyabean, etc.) and
minerals around the world determine the dry bulk transportation demand. The
distribution also leads to a Ton-Mile effect which is caused due to the inability of
domestic supply to meet the requirements or due to changes in the supply bases of
the crude and commodities. As the distance increases, there is extra demand for
new ships to ease pressure on the existing supply of vessels.
¾ Infrastructure: Tankers demand is impacted by the geographical distribution of
critical infrastructure such as refineries, their processing capacity and storage
capacity for crude as well refined products. In general, both dry and wet market is
impacted by the ports’ efficiency in terms of maximum tonnage they can handle as
well the availability of modern infrastructure and skilled manpower for fast
turnaround at ports.
¾ Geopolitical situations: Various global activities and incidences including oil
pollution, storms, wars, sanctions and acts of terrorism also impact the shipping
market.
Supply Determinants
¾ Existing fleet capacity: This refers to total volume of wet and dry bulk that the
existing global fleet can carry and to surplus inventory vis a vis current fleet. For
tankers, surplus inventory reduced from 15% in 1990 to 2% in 2006 while for bulk
carriers it declined from 8% to 1% during the same period. It is further impacted by
various international regulations (such as scrapping of single hull tankers by 2010
mandate by IMO).
¾ Fleet utilization levels: This is impacted by various efficiency factors such as the
speed of the fleet, congestion at ports, repair activities (resulting in temporary
impairment of supply).
¾ Shipyard capacity: Change in time taken to build a new vessel, capacity of shipyards
worldwide and shipyards’ orderbook determine how fast supply can be created to
cater to the increased demand.
¾ Asset class: Depending upon the nature and length of voyage, there can be
enhanced demand for a particular class of vessel (e.g. single hull vs double hull).
¾ Age: Ships generally have a life span of 25-30 years. As ships approach the end of
their useful life, their demand falls. Currently, 40% of dry bulk carriers and 10% of
tankers are more than 20 years old which need to be replaced in the next 5 years. A
company with a younger fleet hence commands premium in the market.
Tanker market
The tanker market presently comprises ~4500 crude oil carriers, product tankers,
chemical tankers, LPG carriers and LNG carriers. It is positively impacted by the increased
demand for energy, various supply constraints and increased ton-miles over the years.
Increased oil demand growth
The demand for oil is firm on account of demand growth by developing countries such
as China and India. While the overall demand grew by 2.1% p.a. between 2002 and 2006,
demand by Non OECD countries surged by 4.3% p.a. The global demand is expected to
rise by 7% by 2012 from 86 million barrels/ day (mb/d) currently.
5

Changing trading pattern
leading to the ton mile
multiplier effect...
Tankers’ supply would remain
under pressure in the
medium term...
Industry
Based on current trends, China and India alone would account for more than 40% of the
increase in global energy demand till 2030 and much of India’s demand beyond 2030
will have to be imported.
Ton-Mile multiplier effect
In addition, the global refining capacities that are being added are typically away from
the key consumption markets. This implies that tankers have to cover longer distances
to carry the crude to refining units and from the refineries to the consuming nations.
This leads to increasing distances which contributes to the growth of ton-miles. Demand
for crude and other oil products accelerated by 6% YoY to 11.9 mn ton-miles in 2007.
The increasing ton mile effect is exerting pressure on the tanker market and there seems
to be a shortage in the shipyards’ orderbook when compared to the number of single
hull VLCCs. By 2010, these single hull assets would either be scrapped or converted to
dry bulk /offshore assets. This will have a positive bearing on the day rates as well as on
the second hand asset prices.
Supply constraints
As per Clarkson report, the gross fleet growth (before deletions) of the Aframaxes is
estimated at ~7.1% CAGR in the next 5 years. However, the net fleet supply growth of the
tankers is constrained by the following factors:
¾ Increased discrimination by various countries against single hull tankers
¾ 24% of the existing fleet is subject to mandatory phaseout of single hull tankers
¾ Conversion to drybulk and offshore
¾ Delays in the supply of new deliveries: new vessels ordered today cannot be
expected to be delivered until 2011 or 2012
¾ Major part of the existing tanker orderbook is at new, unproven yards in China,
which might lead to slippages and cancellations.
Crude Oil Tankers
Vessel Description Dwt (k- Cargo carrying Global
Type tonnes) capacity (mn barrels) fleet size
ULCC Largest crude carriers in the market 320+ 2-3 8
VLCC Provides economies of scale for
long haul transportation 300-320 2 495
Suezmax Can transit Suez canal in fully loaded
condition. Ideal for medium haul 160 1 319
Aframax Workhorse of tanker fleet. Provides
most flexibility to charterer. Can go to
most crude oilports. Used for short haul 105 0.6 576
Panamax Can transit the Panama Canal in
loaded condition 70-75 0.5 164
Source: TK website. PINC Research
The above factors ensure strong fundamentals in the tanker market and should translate
into firm day rates for the players in the medium term.
Dry Bulk Market
The dry bulk carriers market consists of ~10k bulk carriers, ore carriers and general
cargo ships of various sizes such as capesize, panamax, handymax and handysize.
The driving force behind Capesize demand has been the growth in world steel
production, especially in China, which in turn stimulated iron ore trade. Demand for
Panamax tonnage benefited from the steady growth of grain shipments and strong coal
trade, also driven by steel output growth and energy requirements of China and India.
The demand for Handymax ships gained from steel products trade with China becoming
the largest producer and the United States and the European Union remaining the
major steel-importing regions. Other cargoes stimulating the Handymax market
included soybean and oilseed, bauxite and aluminium trades.
6
 Industry

Growth in seaborne trade

Emerging economies to keep
the growth momentum for
commodities trade intact...
Even though the developed markets are experiencing weaker demand growth, and
there are other concerns such as rising inflation and depressed global stock markets,
WTO expects the world GDP to grow at a rate of 2.6 % in 2008 and merchandise trade to
grow at 5.0 %. The positive momentum is provided from developing countries - primarily
China and India where strong output and trade growth are predicted. However, there
are some concerns on sustainability of the growth of the developing countries when the
developed markets are facing problems amidst sluggish demand.

Regionwise Imports - Commodities

Others
2%
Europe
24%
Asia
59%

S America
3%
N America
4%
M East
4% Asia alone constitute 59% of the global
Africa
dry bulk imports
4%

Source: Industry

The robust growth in
commodities’ demand leading
to higher utilisation for the dry
bulk carriers...
Of all seaborne trade, China currently accounts for more than 20% of all imports of iron
ore, coal and grain compared to its modest share of 7% in 2000. This, in turn, has pushed
Asia’s share of the dry bulk imports to ~60%. With India and China growing at more
than 8 % p.a., the global dry bulk sea borne trade is expected to grow at a healthy pace
which would lead to increased demand for bulk carriers.

Dry Bulk Seaborne Trade (mn tonnes)

Iron Ore Coal Grain Minor Bulk Total Trade (RHS)
1600 4300

1200 3300

800 2300

400 1300

0 300
2004 2005 2006 2007 2008E 2009E 2010E 2011E 2012E

Source: Drewry, MITI, IISI, MEPS, IGC, Comext

The sea borne trade for various commodities is continuously on rise. Iron ore trade grew
by ~40% between 2003 and 2007 and is expected to enhance by 20% from current levels
to 984 mn-tonnes by 2012. Rapid urbanization has resulted in higher per capita
consumption of steel in India and China. As per industry estimates, Indian steel
Coal imports by developing
consumption is expected to expand by 400% to 200 mn tons by 2020. Also, India to set to
nations steaming...
double its port capacity to 1.5 billion tons in the next 4 years.
Similarly, coal trade is expected to go up by ~150% by 2012 from 769 MT carried in 2007.
US coal exports increased by 37% as weaker dollar helped export adding to the shipping
ton miles. In India, keeping up with its mission 2012 “Power for All”, the government
has announced various imported coal-fired power projects to the tune of 25,000 MW.
These demands would be met by imports from Australia, South Africa and Indonesia.
Additional demand for the coal would be backed by the upcoming steel plants.

7

Congestion at ports reduce
turnover time of vessels and
hence impact global supply...
Panamaxes are the
workhorse of the dry bulk
fleet...
Industry
Similarly, demand for bauxite has gone up considerably in China, where bauxite imports
spiralled by 180% in Jan-Aug’07 period while ton miles surged by 246%. As per industry
sources, infrastructure investment in the Gulf region has soared considerably. Various
projects announced in Saudi Arabia alone have augmented from USD300bn to
USD500bn.
Congestion at major ports
Various logistics hurdles at the major ports of China, South Africa and Australia have
led to a surge in the coal cycle. This has led to longer waiting periods at these ports and
has reduced the supply of dry bulk assets resulting in volatile freight rates.
According to a Drewry report, in May’08, around 180 vessels were reported waiting due
to chronic congestion at Australian ports. The average delay at Australian ports has
increased progressively from 3 days in CY02 to 15 days in CY07. Australia is expanding
& upgrading its infrastructure to address this issue. As a result of these measures, the
Baltic Dry Index, dropped below 9k mark from ~12k levels in May’08.
However, it is estimated that it would take another two years for the infrastructure to
keep pace with the current growing commodity demand. The congestion at Chinese
ports has increased the average waiting periods for the vessels to ~10 days. To add to
this burgeoning problem, Chinese traders, in anticipation of higher steel price, have
stockpiled iron ore at far higher inventory levels at the ports, thus affecting the discharge
schedule of incoming vessels and heightening the congestion problem. These factors
have pushed up asset prices and resulted in a steep jump in long-term contract rates.
Supply of dry bulk carriers- large orderbook at shipyards worldwide
As of July 2008, the global dry bulk fleet stands at ~6,840. Panamaxes form the largest
lot in numbers while tonnage wise, capesizes constitute 34% of the total supply. The
orderbook for capesizes stands at 100% of the current fleet whereas only 19% of the fleet
is more than 20 years old. Similarly, the orderbook for panamaxes and handymaxes is
large as compared to older assets in the respective fleet.
Global Fleet Size: Dry Bulk
Fleet DWT (mn tons) No. of Vessels
160 791
1600
120
80 2397 1468
135.9
586 111.2
40
58.6 62.2
35.8
0
Handy size Handy max Supramax Panamax Capesize
Source: Clarkson July 2008
Even though, the demand growth for these assets is high, these new additions should
ease the pressure on the supply side. This can moderate the day rates in the medium
term. However, as ~19% of all orderbook (all asset class) for new buildings is in green-
field yards, some slippages can be expected in the new deliveries, which can ensure
that day rates remain firm.
8
 Industry

Orderbook & Fleet Age

% of Fleet>20 y rs Orderbook as % of Fleet
100%
100%
75%

A large orderbook of dry assets

would soften the rates in the 50% 32% 57%
medium term... 44%
23% 19%
25%

0%
Handy max Panamax Capesize

Source: Clarkson July 2008

Global Orderbook for All markets Orderbook: Greenfield Yards around

(mn dwt) the world (mn dwt)

Major S Korea All Other Major S Korea

China
37% 6% 16%
33% of the global orderbook is 73%
in unproven new yards in All Other Small
China.. 5%

Others
11%

Major China
Major Japan
33%
19% Greenfield Yards account for nearly 19% of the orderbook

Source: Clarkson July 2008

Firm demand for second hand dry bulk carriers

Resale prices for 5 year old dry bulk carriers have seen continuous upswing as commodity
trade is increasing while new supplies take longer time to hit the market. The prices
have escalated continuously for the last 5 years and in Jun’08, capesize bulk carriers
were commanding resale price tag of over USD150mn, more than 2.5 times its price
three years ago. Similar is the case for other asset classes in the dry bulk segment.

Asset Price Movement (5yr old)

VLCC Aframax Capesize Panamax (Dry)
180 180
Spike in resale price of second 160 160
hand bulk carriers...
140 140
120 120
USD mn
Dry Bulk
USD mn
Tankers

100 100
80 80
60 60
40 40
20 20
0 0
Time line - Sep 2003 till Aug 18, 2008
Source: Baltic Sale & Purchase Assessment, Company

9

Increased E&P activities
provide thrust for allied
services....
Offshore exploration industry
is less than 90 years old...
Understanding the drivers...
Industry
Offshore Segment
The offshore oil field market is broadly classified into the following four segments-
Drilling and allied services: This segment comprises assets involved in shallow, deep
and ultra deep water drilling operations, such as drill barges, jack up rigs, drill ships,
semi submersibles etc.
Sea logistics and special services: consist of assets assisting various activities such as
survey (scanning the seabed), exploration (test drilling, well construction, towing and
supplying) and production (anchor handling and towing, stand-by, oil recovery, well
maintenance and well intervention). The common vessel categories are PSVs, AHTSVs,
Anchor Handling Tugs, Standby Rescue Vessels, and Construction/Subsea vessels.
Offshore construction & projects: The various services under this segment include
pipe laying and maintenance, platform installation, repair and maintenance and subsea
activities.
Support services: consist of air logistics, offshore supply management, agency
management, staffing and personnel management, training, etc.
Most service providers tend to specialize in one or two of the above market segments. A
few encompass two or more, intending to be a broader spectrum player.
History
The offshore oil/gas exploration and production services industry is relatively nascent
compared to the onshore exploration which date back to 8th/9th century:
z The first offshore exploration venture took place in the Mississippi delta in 1929
z The first submersible drill barge, Mr. Charlie, was launched in 1954
z The first offshore support vessel, Ebb Tide, was delivered in 1955
Three upheavals drove the world to offshore exploration
z The discovery of huge oil reserves in the North Sea in the sixties
z The OPEC oil shock in the early seventies
z USA reaching peak onshore oil production in the late seventies
Drivers & Influencers for the Offshore Services Industry
Direct Drivers Boosters
¾ World Economy ¾ Surveying, exploration & drilling technology
¾ Oil & Gas prices ¾ National energy security policies
¾ Asset supply/demand equations ¾ Manufacturing growth
¾ Increase in automobile usage
Influencers Threats
¾ Oil consumption patterns and growth rates ¾ Alternative energy measures/ subsidies
¾ Production/ reserve replacement ratio ¾ Energy efficiency measures
¾ OPEC policies
¾ Global and regional politics
¾ Oil futures speculation
¾ Stated reserves
¾ Nature (weather patterns and calamities)
Source: Industry, company
Increased Oil Consumption
Global consumption of oil is continuously on rise. It has grown by ~56% in the last 30
years and is estimated to rise to 92mb/day level by 2012. This anticipated increase in
demand is putting pressure to discover larger oil reserves every year to ensure
replacement and to delay the threat of ‘peak oil’ and diminishing reserves.
10
 Industry

Crude Oil: Demand vs Supply

Demand (mb/d) [RHS] OPEC Supply (mb/d) [LHS] Non OPEC Supply (mb/d) [LHS]
62 100

54 85

Rising consumption and rapid

46 70
exhaustion of onshore
reserves fuel offshore E&P...
38 55

30 40
2004 2005 2006 2007 2008e 2009e 2110e 2011e 2012e

Source: IEA, BP Statistical Review of World Energy, Govt & Industry Sources

The price of crude oil has been escalating on account of spurt in demand. The price of
Dated Brent crude has increased from USD38.3/bbl in 2004 to more than USD140/bbl
recently. As per industry sources, crude oil is expected to sustain at USD90/bbl level by
2012.
Large capex to ensure firm demand for service providers
The rising price has in turn led to a large investment in the offshore upstream segment
globally. It has increased by 3 times to USD265bn by 2005 compared to the expenditure
in 1990-2000 period. The spend on offshore drilling over the five-year period till 2012 is

Offshore Drilling Spend Deep vs Shallow (USD bn)

Enough momentum in the
Deep w ater Shallow w ater
shallow waters... 60

56.8
51.4 52 53.7 52.6
45 49.8
42.8
30

24 23.7 25.5
15 19.7 21.9
18.5
13.5
0
2006 2007 2008E 2009E 2110E 2011E 2012E

Source: Douglas Westwood & Energyfiles

estimated at a total of USD380bn; a rise of nearly 60% compared to the amount spent in
the previous five years.
Last year, ~USD50bn was spent on shallow water drilling, representing 73% of all drilling
expenditure. By 2012, it is forecasted that both shallow and deep water drilling
expenditure will have increased, but with shallow water contributing 69% to the mix.

11
 Industry

Offshore Drilling Spend for All Wells CY (USD bn)

Africa & MEA Eurpoe & FSU Americas Asia Pac Global Spent
32 100

Asia Pac & Americas 24 82.3 85

constitute ~62% of the 77.7 76.1
73.9
offshore drilling spend globally 71.1
16 68.3 70
over the next 5 years... 56.3
8 55

0 40
2006 2007 2008E 2009E 2110E 2011E 2012E

Source: Douglas Westwood

Of the total USD380bn capex planned for offshore drilling worldwide in next 5 years,
Asia Pacific regions and the Americas will lead the pack with a spending USD110bn
and USD127bn respectively.
Offshore Oil & Gas activities in India - on a rise

NELP : Oil Blocks awarded in India

No. of Blocks
Bid Rounds
Deep water Shallow water Onshore Total Awarded Under Operation
NELP-I 7 16 1 24 15
NELP-II 8 8 7 23 11
NELP provides big boost to
NELP-III 9 6 8 23 23
E&P in India...
NELP-IV 10 0 10 20 20
NELP-V 6 2 12 20 20
NELP-VI 21 6 25 52 -
NELP-VII* 19 9 29 57
Total 80 47 92 219
Source: Directorate General of Hydrocarbons (DGH), Industry (*offered for bidding)

Increased activities to keep
the demand for OSVs firm...
Positive moves by Indian Govt
to enhance offshore activities
in India...
Government of India introduced the New Exploratory Licensing Policy (NELP) in 1997-
98 to promote exploration of indigenous oil and gas reserves, reduce dependence on
imports, and save valuable forex. NELP encouraged investments in indigenous oil and
gas industry segments (as well as in securing oil and gas assets overseas).
The government has offered 29 onshore blocks, 9 shallow water blocks and 19 deep-
water blocks in the NELP VII bid. Recently, there has been a shift towards more deep-
water blocks as the oil wells in the shallow water have reduced in capacity whereas
there are huge reserves in the deep water to be explored. However, the deep water
requires sophisticated technology and it is still not a liquid market for asset provider
compared to the shallow water regions.
When the offshore blocks under the NELP reach development stage, they will boost the
market for offshore supply vessels in India. With an exploration cycle of 7 years for offshore
blocks, majority of the blocks (if discovered) will reach development stage post 2010. As
per India’s Directorate General of Hydrocarbons estimates offshore basins have 18.8bn
tons of reserves 65% of the country’s total hydrocarbon reserves. Presently, Indian
exploration firms have drilled less than 10% of the 880 wells agreed to under exploration
licenses awarded since 2000 because of shortages of assets. This has led to very high
levels of rig utilization (around 90%) for the last few years and the day rates have also
been rising throughout indicating demand supply mismatch.

12
 Industry

In a recent legislative move to boost exploration activities under NELP, the Union
Petroleum and Natural Gas Ministry has ruled out the possibility of any windfall gains
tax on oil extracted out of blocks awarded under the NELP. This would make the
exploration more lucrative for current and new players, which in turn will provide positive
momentum to the offshore services industry.
Offshore Supply Crunch to keep day rates high

OSVs: Supply situation

More than 25 y rs old 2751

Orderbook is relatively small
compared to the fleet of older
assets...
Orderbook 842

Current Fleet 5291

0 1500 3000 4500 6000

Source: Clarkson, PINC Research

The demand for offshore assets follows the E& P cycle. During the oil booms of the late
80s and early 90s, there was a huge influx of offshore assets. However, the boom did not
sustain for long and there was a lull for the next 15 years which forced the shipyards to
shift product mix towards tankers and bulk carriers for better margins. Only recently

Fleet Summary: OSVs & Offshore Installations

Current Fleet Orderbook

PSVs 241
1566
AHTSVs 504
2138
Others 197
1587
Semisub 44
212
Drillship 23
65
Drilling assets are also facing 3
Inland Barge
supply crunch... 93
Jackup 77
494

Source: Clarkson (Data: Feb 08), Rigzone

have these shipyards been getting big orders from the OSV market. This resulted in
assets getting older and the recent spurt of activities leading to congestion at shipyards.
The gestation period for a PSV has gone up from ~12-15 months to ~30-36 months.
More than 50% of ~5290 OSVs worldwide are 25+ years old, while the orderbook for the
next 4 years is only 18% of the present fleet size. As the life-span for OSVs is around 30-
35 years, these new additions would in effect replace the older assets and hence the
supply crunch remains.
In case of offshore installations, the orderbook is 17% of the current global fleet size of
864 assets. A major chunk of the same would come in 2008 & 2009. However, given the
increased activity in the E&P space, these new assets would be easily absorbed without
much softening of the asset prices.

13

Prudent mix of time charter
and spot to minimise
fluctuation in earnings...
Healthy Balance Sheet with
low leverage and high
liquidity...
Strategic expansion in
shallow and deep water
activities ...
The offshore business would
constitute ~40% of the
revenues by FY11E...
Investment Argument
Strong asset base
Increased demand for tankers and bulk carriers is a positive for GES which has strategically
reduced the average age of its fleet over the years. The firm demand has helped the
company to dispose off the older ships at a premium. It is continuously adding more
assets in the fleet either through new buildings or from the resale market. Given its asset
mix of various classes of dry bulk and tankers, it is poised to command good day rates in
the market.
Good mix of spot & time charter
GES has been trying to get the best of both the markets by keeping ~55% of its assets in
spot market. As the utilisation rate for vessels have increased, the spot market is
commanding a high premium against time charter rates. Crude tanker spot rates increased
significantly in the second quarter of 2008. VLCCs, Suezmaxes and product tankers also
posted spectacular gains in this period. The spot earnings in the dry bulk segment has
also experienced high growth before easing down recently. The contracted earnings
from the time charters helps improve the earning visibility and acts as a safety net in case
of a downturn.
Low leverage and healthy cash position
Over the last 20 years, GES has managed to keep its debt to equity ratio <1. Even with the
planned capex of USD1.6bn, this leverage would not be impacted much as the DER at the
peak of capex would be ~0.7.
More over, a healthy cash balance on the books has helped it to capitalize on available
opportunities. The ratio of cash to total assets for GES has been around 20% compared to
the global average of 10%. Hence, it is strongly positioned to service its debt in case of any
possible downturn in this capital intensive industry. The company’s “Domestic Currency
Debts” have been rated ‘AAA’ since 1996.
Expansion of the Offshore business
Given the enhanced activities worldwide in the E&P segment, the offshore market is firm.
Hence the day rates have been continuously on rise and the same is expected to remain
firm in the near future. The newer assets being acquired by GIL will command premium
in the market and hence would lead to better margins. The assets operating in North Sea
and Gulf of Mexico command above average day rates in the offshore market.
Recently, GIL has joined hands with Norway based DOF Subsea ASA to form a joint
venture to be named GREATSHIP DOF SUBSEA PRIVATE LIMITED. Its prime focus will
be to explore and capitalize on subsea project opportunities off the east coast of India.
This JV should contribute meaningfully to earnings from FY10 onwards. This tie-up is a
strategic move to expand the company's presence in the E&P market.
Financial Outlook
InFY09, we estimate revenues to grow by 7% to Rs33.3bn on the back of firm day rates in
H1FY09 and increasing offshore operations, which should help offset the reduction in
shipping operating days. The OPM should expand by 240 bps to 46.3% on account of
increasing share of offshore business which commands better margins. This should
lead to net profits (excluding forex gain/loss) growing by 10% to Rs13.9bn.
The revenues in FY10 is expected to edge up by 7% to Rs35.7bn due to perceived
moderation in the dry bulk day rates. However, with expansion of the offshore segment
OPM should improve by 430 bps to 50.6%. In view of the increased interest costs related
to capex loans and higher depreciation, net profits should decline by 3% to Rs13.4bn.
We have not accounted for income from the joint venture which can have positive impact
on earnings.
In FY11, the revenues should upsurge by 50% to Rs53.5bn on the back of higher operating
days in both segments. OPM should expand by 310 bps to 53.7% on account of the
offshore expansion and newer ships. Thus, net profits should grow by 62% to Rs21.6bn.
14
 Our View

Valuations & Recommendation

At the CMP of Rs229, GES is trading at a P/E of 2.5x & 2.6x and an EV/EBITDA of 2.2x and
2.7x for FY09E & FY10E estimates respectively.
International players such as Ship Finance International, Teekay Corp., Tidewater &
Hercules Offshore enjoy relatively higher P/E >4x. On the other hand, Indian competitors
such as Mercator Lines & Varun Shipping are trading at a P/E of 2x and 3.8x. The Indian
offshore players are trading at a PER of ~3.2x-7.3x FY09E estimates.

One year forward estimates

Company M Cap Sales EPS P/E EV/EBITDA P/BV P/Sales
($ mn) ($ mn) ($) (X) (X) (X) (X)
Shipping
Ship Finance International 1,050 518 3.4 4.3 6.9 1.4 2.0
Teekay Corporation 1,420 2,596 4.1 4.9 8.1 0.5 0.5
Frontline Ltd 2,740 1,639 8.3 4.2 - 3.8 1.7
Mercator 215 396 0.4 2.0 3.0 0.5 0.5
Varun Shipping 162 209 0.3 3.7 4.8 - 0.7
Average 3.8 5.7 1.6 1.1
Offshore
Tidewater 2,260 1,411 7.4 5.9 4.8 1.0 1.6
Hercules Offshore 721 1,152 1.4 6.5 4.3 0.4 0.6
Great Offshore 267 188 1.2 5.1 4.2 1.1 1.3
Garware Offshore 75 33 0.4 7.3 - 1.4 2.0
Aban Offshore 1,055 934 7.2 3.2 5.5 2.1 0.9
Average 5.6 4.7 1.2 1.3
G E Shipping 742 708 1.9 2.5 2.2 0.6 1.1
Source: Bloomberg, PINC Research (*Indian companies)

SOTP Valuations for FY10E

Shipping Offshore
Present NAV (Q1FY09) Rs 620 EPS FY10 Rs 35
Current discount to NAV % 63 Avg P/E (x) 6

Fair Value (40% disc to NAV) FY10 Rs 372 Fair Value Rs 210
SOTP (Fair Value) Rs 582
Assuming GE Shipping to trade at 30% discount to its SOTP Fair Value (Trough Valuation)
Target Price Rs 407
CMP Rs 229
Upside potential % 78
Source: PINC Research

SOTP target underlines a
potential upside of 78% from
the current levels...
At the CMP of Rs229, GES is trading at 63% discount to its present NAV while globally
shipping companies trade in the range of 0.8x-1.2x its NAV. We believe that this gap
should narrow as the capex will reduce the average age of the fleet resulting in a premium
for the shipping day rates. As stated above, global offshore players are trading at a P/E
range of 5x-7x with the Indian players getting relatively lower P/E. Thus, we have assumed
an average P/E of 6x to arrive at a fair value of Rs210 for the offshore business.
Based on SOTP calculations, we have arrived at a fair value of Rs582/ share in FY10. We have
further discounted the fair value by 30% to reflect trough valuations. Hence, we initiate
coverage with a ‘BUY’ recommendation with a price target of Rs407 on an 18 month
investment perspective.

15
 Financial Results for the quarter ended June 30, 2008
Quarter Ended (Standalone) Year Ended (Consolidated)
Particulars (Rs Mn)
30/06/08 30/06/07 Gr % 31/03/08 31/03/07 Gr %

Net Sales (Freight & Charter Hire) 7,024 6,371 10.3 31,084 21,660 43.5
Total Expenditure 3,192 3,244 (1.6) 17,452 10,985 58.9
Other expenditure 314 376 (16.7) 1,776 1,414 25.6
Direct operating Expenses 1,317 1,063 23.9 5,504 6,389 (13.8)
Hire of chartered ships 320 1,002 (68.1) 5,923 -
Employee Cost 633 534 18.5 2,465 1,843 33.7
Repair & Maintenance 609 269 126.5 1,784 1,339 33.3
Operating Profit 3,832 3,127 22.6 13,632 10,675 27.7
Other Income 2,901 2,326 24.7 6,544 2,518 159.9
Gain on sale of ships 2,539 789 221.9 2,894 1,363 112.3
Int & Div Inc 297 273 8.5 1,147 1,054 8.8
Other Income 65 1,264 (94.9) 2,503 101 2,381.0
EBIDT 6,733 5,453 23.5 20,176 13,193 52.9
Interest (Net) 383 314 22.0 1,616 1,110 45.6
Depreciation 780 836 (6.6) 3,551 2,684 32.3
Exceptional Item (1,386) - - -
PBT 4,184 4,303 (2.8) 15,009 9,399 59.7
Taxes (incl. deferred and FBT) 308 93 474 325
PAT before extra-ordinary items 3,876 4,210 (7.9) 14,535 9,074 60.2
Prior Period Items - - 2 54
Net Profits 3,876 4,210 (7.9) 14,534 9,019 61.1

Paid-up Equity Cap (F.V of Rs 10 per share) 1,523 1,523 - 1,523 1,523 -
Reserves (excl reval reserves) - - 41,567 30,539
EPS for the Period(Rs.) 25.45 27.65 95.5 59.2
Book Value (Rs) - - 282.1 205.3

OPM (%) 54.6 49.1 11.2 43.9 49.3 (11.0)

NPM (%) 39.1 48.4 (19.3) 38.6 37.3 3.5

Expenditure (% of Net Sales)

Other expenditure 4.5 5.9 (24.4) 5.7 6.5 (12.5)
Direct operating Expenses 18.7 16.7 12.4 17.7 29.5 (40.0)
Hire of chartered ships 4.5 15.7 (71.1) 19.1
Employee Cost 9.0 8.4 7.5 7.9 8.5 (6.8)
Repair & Maintenance 8.7 4.2 105.4 5.7 6.2 (7.1)

Median PE v/s Daily PE PE Band

Daily PE Median PE 800
8

600
6 6x
5x
4 400 4x
3x
2 200 2x

0 0
Dec-06 May -07 Oct-07 Mar-08 Aug-08 Dec-06 May -07 Oct-07 Mar-08 Aug-08

16
 Year Ended March (Figures in Rs mn)

Income Statement 2006 2007 2008 2009E 2010E 2011E

Revenues 20,361 21,660 31,084 33,270 35,690 53,452

Growth (%) (4.5) 6.4 43.5 7.0 7.3 49.8

Total Expenditure 11,005 10,985 17,452 17,874 17,619 24,728

Operating Profit 9,356 10,675 13,632 15,396 18,070 28,724

Growth (%) (16.9) 14.1 27.7 12.9 17.4 59.0

Other income 3,358 2,518 6,544 4,472 2,952 2,777

EBIDT 12,714 13,193 20,176 19,868 21,022 31,501

(-) Interest 976 1,110 1,616 1,973 2,652 3,341

(-) Depreciation 2,831 2,684 3,551 3,503 4,381 5,445

PBT & E/O items 8,908 9,399 15,009 14,391 13,989 22,715

(-) Tax provision 346 325 474 546 607 1,097

PAT excluding Forex tran. gain 8,504 9,111 12,582 13,846 13,382 21,618

Growth (%) 2.7 7.1 38.1 10.0 (3.4) 61.5

Fully diluted Eq. sh. O/s (mn nos) 152.3 152.3 152.3 152.3 152.3 152.3

Book Value (Rs) 158.9 205.3 282.1 353.7 410.8 524.8

Basic EPS (Rs) 56.0 59.9 82.6 90.9 87.9 142.0

Diluted EPS (Rs) 56.0 59.9 82.6 90.9 87.9 142.0

Balance Sheet 2006 2007 2008 2009E 2010E 2011E

Equity Share Capital 1,523 1,523 1,523 1,523 1,523 1,523

Reserves & Surplus 22,681 29,737 41,567 52,782 61,547 79,058

Net worth 24,204 31,260 43,317 54,305 63,070 80,580

Total Debt 18,767 22,620 27,469 33,251 42,513 52,955

Minority Interest 13 - - - - -

Deferred Tax liability (2) - - - - -

Capital Employed 42,983 53,880 70,786 87,556 105,583 133,535

Fixed Assets 28,656 40,387 56,805 63,725 85,873 95,741

Net current assets 12,652 11,898 10,806 20,721 16,599 34,684

Investments 1,674 1,595 3,175 3,110 3,110 3,110

Total Assets 42,983 53,880 70,786 87,556 105,583 133,535

17
 Year Ended March (Figures in Rs mn)

Cash Flow Statement 2006 2007 2008 2009E 2010E 2011E

Profit before tax 8,908 9,399 15,009 14,391 13,989 22,715

Depreciation 3,706 2,684 3,551 3,503 4,381 5,445

Interest & dividend inc. (719) (1,054) (1,147) (1,742) (1,462) (2,547)

Interest paid 976 1,110 1,616 1,973 2,652 3,341

Tax paid (384) (376) (496) (546) (607) (1,097)

(Inc)/Dec in working capital 1,045 (1,530) 997 (998) (300) (275)

Others 186 (28) (1,547) (2,412) (2,514) 393

Cash from operations 13,718 10,205 17,984 14,170 16,140 27,975

Net capital expenditure (5,953) (14,148) (19,723) (8,479) (26,090) (15,705)

Net investments (1,292) (739) (2,291) 65 - -

Interest recd 635 885 1,223 1,742 1,462 2,547

Disposal/Acquisition of subsidiaries - 33 702 - - -

Cash from investing activities (6,610) (13,969) (20,089) (6,673) (24,628) (13,158)

Application money towards Equity Warrants - - 219 - - -

Change in debt (82) 4,427 6,358 5,782 9,262 10,442

Dividend paid (1,907) (1,971) (2,129) (2,631) (2,543) (4,107)

Interest paid (1,007) (1,144) (1,625) (1,973) (2,652) (3,341)

Other Adjustments (633) - - - - -

Cash from financing activities (3,627) 1,312 2,823 1,178 4,068 2,993

Inc/(Dec.) in cash 3,481 (2,452) 719 8,675 (4,421) 17,809

Key Ratios 2006 2007 2008 2009E 2010E 2011E

OPM (%) 46.0 49.3 43.9 46.3 50.6 53.7

ROACE (%) 24.2 22.7 29.4 23.1 18.9 23.4

ROANW (%) 37.2 32.7 39.0 28.4 22.8 30.1

Debt:Equity (x) 0.8 0.7 0.6 0.6 0.7 0.7

Sales/Total Assets (x) 0.5 0.4 0.5 0.4 0.4 0.4

Current Ratio (x) 4.5 4.4 3.2 4.9 3.9 5.3

Debtors (days) 15.8 29.4 17.6 21.6 23.8 25.2

Inventory (days) 12.2 12.3 12.8 13.0 14.4 14.0

Net working capital (days) (83.1) (39.0) (66.1) (64.0) (67.7) (70.3)

EV/Sales (x) 1.9 2.0 1.5 1.3 1.6 0.9

EV/EBIDT (x) 3.0 3.3 2.3 2.2 2.7 1.6

P/E (x) 4.1 3.8 2.8 2.5 2.6 1.6

P/BV (x) 1.4 1.1 0.8 0.6 0.6 0.4

18
 T E A M

EQUITY DESK
R. Baskar Babu Head - Equity Broking baskarb@pinc.co.in 91-22-6618 6465
Gealgeo V. Alankara Head - Institutional Sales alankara@pinc.co.in 91-22-6618 6466
Sachin Kasera Co-Head - Domestic Equities sachink@pinc.co.in 91-22-6618 6464
Sailav Kaji Head Derivatives & Strategist sailavk@pinc.co.in 91-22-6618 6344

SALES
Anil Chaurasia anil.chaurasia@pinc.co.in 91-22-6618 6483
Alok Doshi adoshi@pinc.co.in 91-22-6618 6484
Sapna Mehta sapna.mehta@pinc.co.in 91-22-6618 6485
Sundeep Bhat sundeepb@pinc.co.in 91-22-6618 6486

DEALING
Chandrakant Ware chandrakantw@pinc.co.in 91-22-6618 6327
Ashok Savla ashok.savla@pinc.co.in 91-22-6618 6400
Raju Bhavsar rajub@pinc.co.in 91-22-6618 6301
Manoj Parmar manojp@pinc.co.in 91-22-6618 6326
Shivkumar R shivkumarr@pinc.co.in 91-22-6618 6329
Hasmukh D. Prajapati hasmukhp@pinc.co.in 91-22-6618 6325
Pratiksha Shah pratikshas@pinc.co.in 91-22-6618 6329

DIRECTORS
Gaurang Gandhi gaurangg@pinc.co.in 91-22-6618 6400
Hemang Gandhi hemangg@pinc.co.in 91-22-6618 6400
Ketan Gandhi ketang@pinc.co.in 91-22-6618 6400

COMPLIANCE
Rakesh Bhatia Head Compliance rakeshb@pinc.co.in 91-22-6618 6400

19
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