Nayara Energy( Formerly Essar Oil ) Limited Unlisted Shares

History of Essar Oil

Essar Oil was part of the Essar Group based out in Mumbai before it was acquired by Rosneft a Russian Company.

Essar Oil has Private Petrol Pumps, operates the second largest refinery in Gujarat, India and 1000-MW power plant along with the Vadinar port and oil terminal.

In October 2016, Russia state-owned oil company, Rosneft bought a 49% stake in Essar Oil, along with Russian investment fund United Capital Partners in a deal worth $12.9 billion. Other investors include Trafigura and UCP Investment Group. They renamed the company to ‘Nayara’, coined from “Naya” (New) and “Era”, in May 2018.

After the acquisition of 49.13% stake by Rosneft and another 49.13% by Trafigura and UCP Investment Group, the new owners of Essar Oil aim to scale up the company’s petrol pump network to 6,000 outlets in India from 3,500 now.

About Nayara Energy( Formerly Knows as Essar Oil)

Nayara Energy (formerly known as Essar Oil) is an integrated downstream oil company of international scale encompassing the entire hydrocarbon value chain from refining to production and marketing, across segments, including retail. In 2016 Essar Oil was acquired by Rosneft, the world’s largest public oil and gas company by liquid hydrocarbon production and reserves and an investment consortium led by global commodity trading firm Trafigura & UCP Investment Group. Essar Oil has since been renamed as Nayara Energy.

Milestone after the Aquisition:

1. The company after being acquired by New Management Raised INR 2,400cr (c. US$ 355mn) through its placement of nonconvertible debentures in 2018.

2. Local credit rating1 upgraded by three notches to “AA”.

3. Refinancing of INR Debt for optimization of capital structure.

Nayara Energy( Formerly Essar Oil ) Limited Unlisted Shares Details:

Total Available Shares:	2126
Face Value:	₹ 10 Per Equity Share
Lot Size:	100 Shares
Current Unlisted Share Price:	₹ 145 Per Equity Share
Retail Discount:	Bulk Deal (1%)

Promoters And Management:

1. B Anand, Chief Executive Officer a) Experience in corporate finance, strategy, investment banking, and commodity trading b) Previously was the CFO of Trafigura India Private Limited; prior to Trafigura, was Group Director of Finance for Future Group and held senior positions with Vedanta Resources Group. 2. C Manoharan ,Director & Head of Refinery a) Handled variety of assignments in key positions in Refining Operations, maintenance and Technical Services at Gujarat Refinery, Panipat Refinery as well as Head Office (Refinery Division) b) Prior to Nayara Energy, he was Executive Director with IOCL at the Panipat Refinery. 3. Anup Vikal, Chief Financial Officer a) Rich experience in Banking and Finance industry b)Prior to Nayara Energy, he was the CFO of Snapdeal and has held senior positions with Aircel, Interglobe Aviation, COLT Telecom & Bharti Airtel.

Shareholding Pattern:

The Company has three biggest shareholders Namely Rosneft, Trafigura, and UCP Investment Group. Let us see their stakes percentage and brief about them. 1. Rosneft( 49.13% Stakes) a) World’s largest publicly traded petroleum company - 6% of world oil production and a market capitalization of US$69.6bn b) Ownership structure- : Russian Government - ~50%, BP - 19.75%, QH Oil Investments – 18.93%, Public / others – ~11.32% c) FY2017 key figures (as at 31 December 2017) : Revenue - US$104.3bn, Total Assets - US$212 Bn 2. Trafigura( 24.07% Stakes) a) One of the leading commodity traders in the world and the largest independent LNG trader. B)Two main lines of business: physical trading and industrial assets portfolio. C)FY2017 key figures (as at 30 September 2017): Revenue - US$136.4bn, Total Assets - US$48.6bn 3. UCP Investment Group( 24.07%) a) Independent, private investment group established in 2006. b) Focused on investing in high-growth private companies or mature enterprises with a proven business model and stable cash-flow. c) Total assets under management exceed US$3bn.

Financials of Nayara Energy( Formerly Essar Oil ) Limited Unlisted Shares:

(Figures in US$Million)

Year	Revenue	Expense	EBITDA	Finance Cost	PAT
2016	9,750	8,481	924	415	137
2017	11,637	9,800	1317	583	-381
2018	13,258	12,039	1108	508	78
3MFY19	4,036	3,724	300	83	34

Company Presentation

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