GRAND TRUNK CAPITAL AN INDIA FINANCIAL OPPORTUNITY
2! The Opportunity Executive Summary Team & Board Past Experience Indian Financial Services Industry The Model Appendix Disclaimers Thank You
PRIVATE & CONFIDENTIAL!
To create a large financial services conglomerate in India ! India’s 1.4B people are actively transitioning from a cash based economy to credit and online financial services. Consumer loans currently represent only 22% of India’s banking system and only 1 Indian bank is in the world’s top 50 despite having the worlds 6th largest economy. Grand Trunk Capital is an early mover with deep expertise and network in India that is perfectly positioned to capitalize on this economic shift.!
3! An investment holding company (“HoldCo”) focused on strategic investments across the Indian financial services industry The Opportunity Executive Summary Team & Board Past Experience Indian Financial Services Industry The Model Appendix Disclaimers Thank You
• Large underpenetrated investment opportunity unique in a global context • Strategic stakes/board seats/ Berkshire Hathaway model • Ability of the Holdco to list as a public company – access to capital markets as well as liquidity for investors
Emphasis on financial businesses that are being fundamentally transformed by technology and India’s digital connectivity surge Drive returns by leveraging expanded scale, consolidation and accelerated technology adoption across complementary business platforms • Create a synergistic ecosystem
Team with extensive experience and success in India for over 15 years. • Deep set of strategic relationships – business, regulatory, political • Team in India and the US with expertise across the space • Team has invested more than $2bn in the Indian financial sector
Initial corpus of $500mm to be expanded to $2bn • Will leverage initial capital with other external investors • Capital raising can be done in stages and via public markets: both debt and equity can be raised into the HoldCo
PRIVATE & CONFIDENTIAL!
4! The Opportunity Executive Summary Team & Board Past Experience Indian Financial Services Industry The Model Appendix Disclaimers Thank You
PRIVATE & CONFIDENTIAL!
The Team!
5! The Opportunity Executive Summary Team & Board Past Experience Indian Financial Services Industry The Model Appendix Disclaimers Thank You
PRIVATE & CONFIDENTIAL!
SAM GUPTA Chief Executive Officer, Chief Investment Officer and controlling owner of Grand Trunk Capital Management, L.P. Co-Founder and Managing Director of QIF Management, a joint venture with Soros Fund Management. Launched at $300m and grew to a $3.0 billion fund Co-Founder of Passport India Fund, private investment fund specializing in long-term investment in the Indian markets Partner at Encompass Ventures, a US & Asia focused private equity firm Managing Director at Wasserstein Ventures, a private equity firm MBA from The Wharton School at the University of Pennsylvania; BS from Washington University
6! The Opportunity Executive Summary Team & Board Past Experience Indian Financial Services Industry The Model Appendix Disclaimers Thank You
SHOBHIT GUPTA
Research Analyst at QIF Management Research Analyst at SAC Capital, focused on India Director of Operations at DCD India M.B.A from Tuck School of Business, Dartmouth College
TODD M ELSBERG Co-Founder and Managing Partner at 37North Capital Chief Operating Officer at RocketSpace Global Director of Strategic Business Operations at Equinix Director, Commercial Integration at Deutche Post DHL B.S. in Business Administration, University of Denver
VIVIENNE CHUA, CPA
Senior Manager at Ernst & Young, San Francisco Asset Management Group Supervising Senior at Ernst & Young, Cayman Islands Asset Management Group B.A. in Communications with Business Administration, University of California, Los Angeles PRIVATE & CONFIDENTIAL!
7! The Opportunity Executive Summary Team & Board Past Experience Indian Financial Services Industry The Model
AN EXPERIENCED TEAM & BOARD
BOARD/ADVISORY • • • • • • •
Ex-Technology Executive at top US ecommerce company Globally known VC investor / pioneer COO at top US family office Founder of multibillion dollar payments company Partner & Chief Investment Officer at large global asset company Managing Director at one of the world’s largest Private Equity funds Attorney & former USA Deputy Assistant Secretary of State
INVESTMENT/OPERATIONS
Appendix Disclaimers Thank You
TEAM MEMBER
BACKGROUND/ROLE
Sam Gupta Shobhit Gupta Todd Elsberg Vivienne Chua Founder & ex-chairman of digital payments company
CEO Director Investment Relations Operations Technology/CTO
INDIA BOARD & OPERATIONS TEAM • • • • • • PRIVATE & CONFIDENTIAL!
Ex India Banking Association Chairman Senior Banker/ former CEO of large Bank Senior Analyst/ Norwest 2 Investment analysts IAS/ top bureaucrat Ex RBI official
8! The Opportunity Executive Summary Team & Board Past Experience Indian Financial Services Industry The Model Appendix Disclaimers Thank You
PRIVATE & CONFIDENTIAL!
Past Experience!
9! TEAM PAST EXPERIENCE The Opportunity Executive Summary Team & Board Past Experience Indian Financial Services Industry The Model Appendix Disclaimers Thank You
PRIVATE & CONFIDENTIAL!
Have invested more than $2bn in the financial sector over the years, across PSU banks/private sector banks, Non-bank financials since 2001 Yes Bank: Pre-IPO investor in a new bank Kotak Mahindra Bank: Pre-IPO investor in an NBFC transformed into a bank IndusInd Bank Reliance Capital: Early investor in fast growing financial services company & one of the largest asset managers in India ABNL/MAX: Insurance companies Shriram Transport: Early investor in niche financing business ICICI bank: Post restructuring investor Pantaloon Retail: Early investor in India’s largest retail chain Investor in India’s state owned banks Large investor in infra-sector space (key to banks)
10! The Opportunity
PAST INVESTMENTS IN THE FINANCIAL SPACE
Executive Summary Team & Board Past Experience Indian Financial Services Industry The Model Appendix Disclaimers Thank You
Shriram Finance: Rural Vehicle financing business Largest Foreign investor Owned 7% of the equity Stock appreciated 990% in 4 years
Reliance Capital : Fast growing consumer Financial Services company Largest foreign investor Stake Size ~$700mm Stock appreciated 1935% in 4 years
Kotak Mahindra Bank (Pre IPO/Private Equity investment) Yes Bank (Pre IPO/Private Equity investment) ICICI Bank $200 mm stake Stock appreciated 190% in 2.5 years
Max Life: Fast growing private sector insurance company Stock appreciated 88% in 1 year
Aditya Birla Nuvo: Consumer Finance firm Stock appreciated 230% in 2 years PRIVATE & CONFIDENTIAL!
11! 2013 BANK FUND The Opportunity Executive Summary Team & Board Past Experience Indian Financial Services Industry The Model Appendix Disclaimers Thank You
Yes DCB Bank Bank
PRIVATE & CONFIDENTIAL!
Indusind Bank
Federal Bank
Capital First
Ni5y Index
Bank Ni5y Index
4 year returns CAGR
43%
39%
41%
30%
46%
14%
23%
2 year returns CAGR
42%
47%
33%
39%
37%
14%
21%
12! The Opportunity Executive Summary Team & Board Past Experience Indian Financial 
 Services Industry The Model Appendix Disclaimers Thank You
PRIVATE & CONFIDENTIAL!
The Indian Financial ! Services industry presents ! a unique opportunity.!
13!
1
Large, growing market – and plenty of room for growth • Huge population actively transitioning to both traditional and online financial services • Large market segments are underpenetrated but developing fast
The Opportunity
•
Executive Summary
•
Team & Board Past Experience
Only 1 Indian bank in world’s top 50 – despite being the world’s sixth largest economy Larger companies (and returns) yet to be created
Public Sector giving way to a highly profitable private sector
2
Indian Financial Services Industry
•
The Model
• •
Appendix
Inefficient public sector that controls 70% of assets losing out to the nimble and better run private sector companies. The opportunity for private sector firms gets amplified by the prospects of market share gains Ability to focus on market segments that state-owned bank cannot address Private sector firms tend to be highly profitable
Disclaimers
3
Thank You
India’s digital revolution underway – many new opportunities • Government is actively pushing transition to online/digital Financial Services to increase financial services penetration in the country • Rapid ramp up of digital connectivity and pervasive digital financial system enables fundamental changes in business models • Financial architecture still evolving – opportunities abound across the sector to create leaders at a large scale
4
Strong regulatory regime – Vital enabler but also creates barriers for competition • Strong independent regulator lowers sector risks and is an enabler for the industry • At the same time, cultural/regulatory issues make it hard for outside investors to access this opportunity • Local presence, knowledge and relationships are key differentiators
PRIVATE & CONFIDENTIAL!
14!
INDIA IS CREATING
Executive Summary
PERVASIVE DIGITAL FINANCIAL INFRASTRUCTURE
Team & Board
Unprecedented regulatory push towards a digital financial services industry
The Opportunity
Past Experience Indian Financial Services Industry The Model Appendix
Proliferation of Digitally Enabled Banking
Wide Adoption of Universal Digital Identity System
Universal digital payment/ transaction system
India’s Jan Dhan Yojana has created more than 250mm new bank accounts with 180mm debit cards in the last 3 years. Bringing institutional financial services to India’s population
UIDAI and it’s biometric Aadhar card has created over 1 billion digital identities in India. This system is linked to a growing set of government and private sector services
India’s NPCI payment system provides universal domestic digital transaction and payment services. Also provides connectivity to digital bank accounts and Aadhar accounts
Disclaimers
IMPACT: Thank You
• Move towards using organized financial channels in contrast to traditional informal systems • Sustained increase in deposits with banks • Increased product and service innovation • Adoption of mobile phone driven payment systems
BUT STILL IN THE EARLY STAGES… • Industry models are only just beginning to evolve • M&A to speed up • As industry size increases, absolute dollar returns for investors to get larger
PRIVATE & CONFIDENTIAL!
15! The Opportunity Executive Summary Team & Board Past Experience Indian Financial 
 Services Industry The Model Appendix Disclaimers Thank You
Good quality financial franchises in India have outpaced global returns 5 year returns (%) in USD! 350!
300!
250!
200!
150!
100!
50!
0!
-50!
-100!
PRIVATE & CONFIDENTIAL!
MSCI US Financials!
HDFC Bank!
MSCI World Financial!
MSCI Europe Financials!
MSCI China Financials!
Capital First!
Yes Bank!
MSCI Japan Financials!
Kotak Bank!
JP Morgan!
INDIAN FINANCIALS HAVE BEATEN GLOBAL BENCHMARKS
16! The Opportunity
The financial ecosystem is closely knit.!
Executive Summary Team & Board Past Experience Indian Financial Services Industry The Model Appendix
RETAIL/CUSTOMER FOCUSED
Wallet/E payments/ Payments Bank
Disclaimers Thank You
Private Wealth
RETAIL/CUSTOMER FOCUSED
BACKEND/CORE TECHNOLOGY
General/Life Insurance
Analytics
Bank/NBFC (core holding)
Credit Agency
Asset Manager
PRIVATE & CONFIDENTIAL!
Other Banks
Blockchain Technology
17!
BUILDING A
A ‘BERKSHIRE HATHAWAY’ MODEL FOR THE FINANCIAL SERVICES INDUSTRY IN INDIA
The Opportunity Combining traditional lending skillset with the use of new technology & balance sheet scale to create a category leader
Executive Summary Team & Board
Build a key team of banking and digital experts to create a modern digital financial services company
Past Experience Indian Financial Services Industry
Acquire lead stake in a lending franchise (Bank/NBFC) and to create the financial services platform
The Model Appendix Disclaimers Thank You
Acquire stakes other important businesses • Non-banking Financial Companies (NBFCs) with profitable niches that can be exploited with technology and appropriate scale • Financial technology firms that can help increase revenue potenMal, efficiencies and/or improve credit appraisal • Insurance, asset managers Create scale & value across the platform Synergies across companies to increase revenue opportuniMes & efficiencies Increased use of fin-tech across the plaUorm to lower costs and improve credit analysis • ExperMse of board and team to help scale up businesses profitably • Access to capital (both equity & debt) becomes easier for porUolio companies • ConsolidaMon within the plaUorm can create scale impossible for individual companies • •
Investor returns created by increasing scale & profitability of companies in the ecosystem PRIVATE & CONFIDENTIAL!
18! The Opportunity
ADVANTAGES OF A HOLDING COMPANY STRUCTURE
Executive Summary Team & Board Past Experience Indian Financial Services Industry The Model Appendix Disclaimers Thank You
PRIVATE & CONFIDENTIAL!
Source of long-term (perpetual) capital – can access global capital markets Subsequent financing – both debt and equity – to sustain investment strategy Multiple paths to liquidity for investors IPO of holding company Capital raises in holding company or portfolio companies Debt & Equity opportunities Permanent nature of vehicle makes it easier to recruit a top-notch local team – both operational and advisory Leverage minimal capital for disproportionate control across multiple investments Combined influence/returns will exceed “sum of the parts” - due to strategic alignment Scarcity value: no similar approaches currently known for this vast market
19! The Opportunity Executive Summary
INVESTMENT TARGETS UNDER CONSIDERATION Banks
Possible Targets
Team & Board
Public Sector Bank
-
Past Experience
Private Sector Banks
5
Small Finance Banks & MicroďŹ nance Banks
2
Indian Financial Services Industry
Payments Banks
2
The Model
Non-banks
Appendix
Housing Finance
2
Consumer & Niche lending
3
Life Insurance
4
General insurance
5
ARC
1
Infrastructure Finance
-
Investment Trusts
-
Brokerages
2
Private Wealth
2
Credit Agencies
2
AnalyMcs
3
Wallets/Digital Payments Companies
2
Disclaimers Thank You
PRIVATE & CONFIDENTIAL!
20! The Opportunity
Now is the right time to invest in emerging leaders!
Executive Summary Team & Board Past Experience Indian Financial Services Industry The Model Appendix Disclaimers Thank You
India’s nationwide digital push with Identity, payments and connectivity is rapidly changing the financial industry. Transitioning industry is creating opportunities
Rich data available to lenders and service providers State-owned banks unable to keep up New business models and new risks emerge for the industry
India’s financial sector has been in the news for the bad assets problem but resolution is now being pursued at an unprecedented speed and scale
Banks have begun using the Bankruptcy and Insolvency code of 2016 to address defaulters National Company Law Tribunal set up in 2016 has now started adjudicating on large defaulters and disposing off bad assets. We are seeing a spate of asset selloffs to clean up bank books
Frauds recently uncovered in State-owned banks to slow down their lending and hence increase market share for private sector banks State-owned banks to incur losses and conserve balance sheets
PRIVATE & CONFIDENTIAL!
21! The Opportunity Executive Summary Team & Board Past Experience Indian Financial Services Industry The Model Appendix Disclaimers Thank You
PRIVATE & CONFIDENTIAL!
Appendix: The Indian Financial Services Sector
22! The Opportunity
The Indian Financial Services industry is unique in global context
Executive Summary Team & Board Past Experience Indian Financial Services Industry The Model Appendix Disclaimers Thank You
PRIVATE & CONFIDENTIAL!
With a population of 1.4 billion, the potential scale of the market can only be matched by China Rudimentary financial services delivery in place but transforming fast. Fertile ground for new technology & skipping traditional financial intermediaries The country’s digital financial infrastructure is being largely built by the government. Companies building services on top of or along with that ecosystem Western style law & private sector/foreign investor rights Young population and $1700 per capita GDP Level of regulatory oversight is potentially higher than other markets. Positive for health of the industry but can place restrictions for investors Still in the EARLY Stages: only 1 Indian bank amongst the top 50 banks in the world
23! The Opportunity
Private Sector Growth – At the Expense of State-Owned Banks
Executive Summary Team & Board
Indian Financial Services Industry The Model Appendix
280!
260!
240!
220!
200!
180!
Disclaimers
% growth in loans from base year (2013)!
Past Experience
Private Sector vs. State-owned banks: Percentage Loan growth!
160!
Thank You 140!
120!
100! 2013!
Total Loans ! (SBIN IN Equity)!
PRIVATE & CONFIDENTIAL!
2014!
Total Loans ! (HDFCB IN Equity)!
2015!
Total Loans ! (PNB IN Equity)!
2016!
Total Loans ! (AXSB IN Equity)!
Total Loans ! (KMB IN Equity)!
P R I V A T E S E C T O R B A N K S A R E G R O W I N G F A S T S T A T E O W N E D B A N K S A R E S T R U G G L I N G
2017!
Total Loans ! (BOB IN Equity)!
24! The Opportunity
Indian Financials have a strong track record of generating investor returns
Executive Summary Yes Bank
IndusInd Bank
Bajaj Finance
Kotak Mahindra Bank
5 year PAT Growth CAGR
28%
29%
35%
26%
CumulaMve 5 year stock return
484%
491%
1430%
334%
Market cap created in the last 5 years ($ Billion)
$ 5.61
$7.75
$6.37
$13.48
Team & Board Past Experience Indian Financial Services Industry The Model Appendix Disclaimers Thank You
Price/Book of Strong Financial Franchises is consistently high! 12.0 !! 11.5 ! 11.0 ! 10.5 ! 10.0 ! 9.5 9.0 ! 8.5 ! 8.0 ! 7.5 ! 7.0 ! 6.5 ! 6.0 ! 5.5 ! 5.0 ! 4.5 ! 4.0 ! 3.5 ! 3.0 ! 2.5 ! 2.0 ! 1.5 ! 1.0 ! 0.5 ! 0.0 !
2009! 2010! 2010! 2010! 2011! 2011! 2011! 2012! 2012! 2012! 2013! 2013! 2013! 2014! 2014! 2014! 2015! 2015! 2015! 2016! 2016! 2016! 2017! Bajaj Finance!
Kotak Mahindra Bank!
Yes Bank!
Indusind Bank!
Ratnakar Bank!
HDFC Bank!
Gruh Finance!
Sundaram Finance!
!
OPPORTUNITY TO BUY CHEAPER FIRST AND CONSOLIDATE/TRANSFORM I N T O A H I G H E R V A L U E D , L A R G E R S C A L E & M O R E E F F I C I E N T E N T I T Y PRIVATE & CONFIDENTIAL!
25! TRADITIONAL BANKING VS. FINTECH The Opportunity Executive Summary Team & Board Past Experience Indian Financial Services Industry The Model Appendix Disclaimers Thank You
PRIVATE & CONFIDENTIAL!
Room for both to grow. Elements of each to stay relevant Fintech is a great enabler for traditional banking, but profits will stay with asset book holders Scope of regulatory oversight should not be underestimated by Fintech and investors Regulation driven by central bank is extensive Impacts business models and strategy Ownership restriction likely to emerge for Fintech companies once they reach scale Non-consumer banking dwarfs consumer banking in terms of assets and profits. Technology bringing in changes in this space as well
26! The Opportunity
Large, Growing Market 
 for Financial Services
Executive Summary BANK ASSETS: $1.4 TRILLION (2015)
Team & Board 40.0
Past Experience
37.2
Domestic Bank Assets ($ Tn)
35.0 30.0 25.0
20.6
20.0
0.6
0.4
0.3 Singapore
0.8
Indonesia
1.2
Thailand
1.4
Russia
1.9
Switzerland
2.5
India
3.6
S Korea
4.2
France
Appendix
China
Japan
0.0 USA
The Model
5.1
5.0
Germany
10.0
Brazil
12.8
15.0
UK
Indian Financial Services Industry
Disclaimers Thank You BANKING SECTOR GROWTH 30%
10 Year Domestic Credit Growth CAGR
25% 20% 15% 10%
PRIVATE & CONFIDENTIAL!
Germany
Japan
US
UK
France
Indonesia
India
China
Brazil
0%
Russia
5%
27! The Opportunity
Low Penetration = 
 Long-term Growth Ahead
Executive Summary Team & Board DOMESTIC CREDIT TO GDP
Past Experience 350%
Indian Financial Services Industry
300%
The Model 250%
Appendix Disclaimers Thank You
200%
150%
100%
50%
0% India
PRIVATE & CONFIDENTIAL!
China
Switzerland
UK
US
Japan
28! The Opportunity
Low Penetration = 
 Long-term Growth Ahead
Executive Summary Team & Board INSURANCE PENETRATION (%) TO GDP
Past Experience Indian Financial Services Industry
16
14
The Model 12
Appendix 10
Disclaimers Thank You
8
6
4
2
0
PRIVATE & CONFIDENTIAL!
Indonesia
Thailand
Singapore
India
Korea
HK
Taiwan
29! The Opportunity
Low Penetration = 
 Long-term Growth Ahead
Executive Summary Team & Board CREDIT CARDS/TOTAL POPULATION (%)
Past Experience Indian Financial Services Industry
250
235
The Model Appendix Disclaimers
200
150 122
Thank You 100
50
10 1.6 0 India
PRIVATE & CONFIDENTIAL!
Malaysia
Korea
USA
30! The Opportunity
Low Penetration = 
 Long-term Growth Ahead
Executive Summary Team & Board CONSUMER LOAN/GDP
Past Experience Indian Financial Services Industry
80%
70%
The Model Appendix
60%
Disclaimers
50%
Thank You
40%
30%
20%
10%
0% India
PRIVATE & CONFIDENTIAL!
Thailand
Korea
HK
Malaysia
Taiwan
Singapore
31!
INDIA’S FINANCIAL SECTOR LANDSCAPE
Banks The Opportunity Executive Summary
1
Team & Board Past Experience 2
Indian Financial Services Industry
New Age Private Sector Banks High ROE, high growth banks Strong management teams & well evolved product offerings
The Model Appendix
Public Sector Banks (State-owned) ~70% of the Indian banking sector Inefficient, dependent on government policy
3
Disclaimers Thank You
Regional Private Sector Banks Limited geographical spread & limited product offerings but strong regional franchises Cheap valuations but high growth
4
New Private Sector Banks Two new private sector banks starting operations in 2015 Public market and private market transactions possible
5
Payment Banks & Small Banks New bank categories with restrictive banking licenses Mostly privately held but recent listings show investor appetite
PRIVATE & CONFIDENTIAL!
32!
INDIA’S FINANCIAL SECTOR LANDSCAPE
Non-Banks The Opportunity Executive Summary
1
Team & Board Past Experience
2
Indian Financial Services Industry
Housing Finance Stable, competitive and low delinquency business Consumer & Niche Finance Several profitable niches enable high ROEs and high growth Autos/Gold/Micro Finance/Personal Loans
The Model
3
Appendix
Infrastructure Finance Mostly government owned
Disclaimers 4
Thank You
Brokerages Lack of scale & predictability of earnings
PRIVATE & CONFIDENTIAL!
5
Insurance Strong growth given low penetration
5
Infrastructure Debt Funds and REITs New structures for fixed income investors
33!
BANKING SECTOR OPPORTUNITY:
TAKEAWAYS The Opportunity Executive Summary
1
Large, growing and underpenetrated market with ample room for future growth
India is one of the most attractive markets for financial services
Team & Board Past Experience 2
Indian Financial Services Industry
Profitability high for well run companies. Tremendous value created for investors
A well regulated financial system and a profitable one
The Model Appendix
3
Overall scale of the financials industry in India is still relatively small in the global context
The financial industry is still relatively young. Larger market caps in dollar values yet to be captured
Disclaimers Thank You
4
Value in the financial services industry being captured by the private sector
The public sector cannot compete with more competent, nimble and focused private sector competition
PRIVATE & CONFIDENTIAL!
34! The Opportunity Executive Summary Team & Board Past Experience Indian Financial Services Industry The Model Appendix Disclaimers Thank You
This document ( “Document”) is for discussion purposes only and does not constitute an offer to sell or a solicitation of an offer to purchase ownership interests (the “Interests”) in any company or companies (the “Companies”) managed by or to be launched by Grand Trunk Capital Management L.P. (“GTCM” or “GTC”). This Presentation is furnished on a confidential basis to a limited number of sophisticated investors for the purpose of providing certain information about an investment in Interests in the Companies. Only prospective investors who meet the Companies‘ investor suitability criteria will be permitted to invest. Any such offer or solicitation of Interests in the Companies shall be made only by means of the Companies’ confidential private placement memorandum, as amended from time to time (the “Memorandum”), which qualifies in its entirety the information set forth herein and contains detailed information concerning the terms and risks of an investment in the Companies (including risk factors, fees and charges and regulatory and tax considerations). Some or all alternative investment programs may not be suitable for certain investors. Market data contained herein is based upon information that GTCM considers reliable under the circumstances, however, GTCM does not represent that it is accurate, complete or up to date and it should not be relied upon as such. Past or targeted performance is not necessarily indicative of future results and there can be no assurance that the Companies will achieve comparable results or that the Companies will be able to implement its strategy or achieve its investment objectives. The information contained in this document is confidential and intended solely for the use of GTCM and its affiliates and the prospective client to whom it is presented. It is not intended to be published, reproduced or distributed to any other persons. Certain information contained in this Presentation constitutes “forward-looking statements,” which can be identified by the use of forward-looking terminology such as “may,” “will,” should,” “expect,” “anticipate,” “project,” “estimate,” “intend,” “continue,” or “believe” or the negatives thereof or other variations thereon or other comparable terminology. Due to various risks and uncertainties, including those described in this Presentation, actual events or results or the actual performance of the Companies may differ materially from those reflected or contemplated in such forward-looking statements. No representation or warranty is made as to future performance or such forward-looking statements. Risk Disclaimer An investment in a company entails a high degree of risk and no assurance can be given that the Companies’ investment objective will be achieved or that investors will receive a return of their capital. Prior to making an investment, prospective investors should carefully consider the information set forth in the Memorandum and should evaluate the risk factors set forth therein. These risk factors, individually or in the aggregate, could have a material adverse effect on the Companies and their investments. As further discussed in the Memorandum, among the risks of an investment in the Companies are the absence of regulatory oversight, the lack of operating history, the competition for suitable investment opportunities, the lack of liquidity of investments and the economic, political and regulatory risks of investments in emerging markets. Other potential risks that potential investors should be aware of include the following: • An investment is speculative and involves a high degree of risk. • An investment may be leveraged. • Past results of portfolio manager (PM) or GTCM are not necessarily indicative of future performance. • Performance can be volatile and an investor could lose all or a substantial amount of his or her investment. • The Companies are not intended to provide an investor with an investment program that is diversified or otherwise tailored to suit an investor’s overall investment needs. • There is no secondary market for the investor’s interest in the Companies and there are restrictions on transferring interests in the Companies. • Companies’ fees and expenses may offset the Companies’ profits. • GTCM has total trading authority over its Companies and is subject to certain conflicts of interest. • Neither the Securities and Exchange Commission nor any securities administrator has passed on, or endorsed, the merits of these interests. • GTCM will receive performance-based compensation. Such compensation may result in riskier investments.
PRIVATE & CONFIDENTIAL!
35! The Opportunity Executive Summary Team & Board Past Experience Indian Financial Services Industry The Model Appendix Disclaimers Thank You
PRIVATE & CONFIDENTIAL!
THANK YOU