Stock Techno-Fundamental Report. BF Utilities DBFSL EQUITIES. Associate of DOHA BANK. Friday, 15.Jan.2016.

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1 DBFSL EQUITIES Friday, 15.Jan Stock Techno-Fundamental Report Associate of DOHA BANK BF Utilities Phone: CMP: 578, TGT: 634, SL: 547

2 About the Company: BF Utilities Limited (BFUL), a part of the Kalyani Group, is engaged in the business of integrated infrastructure development in India. BFUL is also engaged in the generation of power through nonconventional sources. As of March 16, 2015, the Company's Infrastructure business consisted of the operations of its subsidiaries, Nandi Infrastructure Corridor Enterprises Ltd. (NICE) and Nandi Highway Developers Ltd. (NHDL), and its wind energy project. The Company has wind-assisted power plants at Thoseghar in Satara District of Maharashtra in India. As of March 16, 2015, the Company's wind farm had 51 wind energy generators (WEGs) of 230 kilowatt (KW) capacity each and 11 WEGs of 600 KW capacity each with a total capacity of s megawatt (MW). NICE is engaged in the implementation of the Bangalore Mysore Infrastructure Corridor (BMIC) project. NHDL has built and, as of March 16, 2015, operates the 30km bypass road connecting Hubli and Dharwad.

3 Stock Data CMP ( ) 578 NSE Code BFUTILITIE BSE Code Week High Week Low 446 Market Cap (In Cr) 2384 Face Value 5 Sector Quarterly results- Sept 2015 Other Operating Income Operating Profit Other Income %change quarterly. power %chang e yearly EBITDA Interest Depreciation Net Profit EPS (Rs) Investment Rationale:- BF Utilities reported nearly doubled standalone net profit for the fourth quarter 2015, due to one-time gain of Rs 4.04 crore on sale of investments. On consolidated basis, the company posted net profit after minority interest of Rs crore for the year ended September 2015 against a loss of Rs crore in the previous year. Net sales rose 118% at Rs 519 crore on year on year basis. The total income from operations stood at Rs crore as against Rs crore (11% up) in the year ago period. BF Utilities Ltd. (BFUL) was setup to satiate the power requirements of the Kalyani Group companies. Power, apart being a scarce commodity, is also a critical element in the Group's activities, which includes steel making, forging, machining etc. The incentives offered by the government to wind power plants also has encouraged the company to foray into this sector.

4 Investment prospective The Company was incorporated on September 15, 2000 under the Companies Act, 1956 in the State of Maharashtra. The Company was born out of a scheme of demerger with Bharat Forge Limited (BFL). The Scheme of Arrangement was approved by the Honorable High Court of Judicature at Bombay on January 17, Under the said Scheme, the Investments (listed as well as unlisted) and Wind Mills Division of the BFL were demerged and transferred to the Company, effective from March 1, BFUL uses the state-of-art technology in their machines manufactured by Enercon India Ltd. with the support from its business partners, Enercon GmbH, Germany, which has presence in many countries. The unique concept of 'gearless' Generator has given our machines an edge over other technology turbines in India. With steady growth of adding projects, in stages Kalyani group has ensured that the projects are viable and also shall yield good generation year after year. With the right people to support & scrutinize the performance of the manufacturers, in the organization the group has been able to ensure the best micrositing, the science of locating the turbines and has the good promise of optimum generation. The machines are also under long-term contract for the turnkey operation and maintenance by the manufacturer itself so that there is continuous up-gradation with the support of Enercon, Germany and also use the right techniques and parts to carry out the upkeep of the long term investment machine. Though the concept of wind power is new in India, BFUL has developed the wind farm in phases since 1998, and has thus, in the process gained experience to further expand its power generation capacities. BFUL has set up wind-assisted power plants at Thoseghar in Satara District of Maharashtra. The site has been declared as the best site in the state by MNES with an annual mean wind speed of 23.3 KMPH and annual mean wind power density of 287 W/m2 at 30 m. The windmills have been set-up in phases since June '98 and as of now, 51 machines of 230 KW capacities each and 11 machines of 600 KW capacities each have been set up. This would generate around 40.0 Million units annually. The total capacity of the power plants is MW.

5 Peer Group Comparison Peer group comparison Company Name Assets (cr) BF utilities Bil energy 103 Rattan infra 652 Crane infra Indowind energy SE power Entegra Adani power Peer group comparison Net Company Name profit(cr) BF utilities 1.29 Bil energy 0.95 Rattan infra 0.6 Crane infra 0.36 Indowind energy 0.22 SE power Entegra Adani power Peer group comparison Company Name Market cap(cr) BF utilities 2293 Bil energy 14.8 Rattan infra Crane infra 6.88 Indowind energy SE power Entegra Adani power 8851 GVK Power 2211 GVK Power GVK Power 1263 suzlon 4683 suzlon suzlon 10077

6 Techno fundamental view We recommend a buy on BF utilities for a short term perspective. The stock is continuously making higher tops formation. The stock has given upside brake out and trading near high for last three months. It has been better rollover and now fresh long again adding in the counter. The stock shows a super bullish sign coupled with a positive placement of momentum oscillators.its starts the next leg of rally. We expect that the stock move positive range bound manner. The stock climbed volatility zone in recent days. The stock has been moving sideways for the past three months in a range between580to 650 levels. The momentum indicators RSI and MACD also support our view. We are expecting powerful bullish rally in the coming weeks.investors with a short term view can initiate a long position on a strong rally above 578 levels with a short term target of 634 second target 651. Investors should maintain a strict stop loss at 547 levels.

7 Disclaimer: This report is only for the information of our Institutional and retail clients. Recommendations, opinions or suggestions are given with the understanding that readers acting on this information assume all risks involved. The information provided herein is not to be constructed as an offer to buy or sell securities of any kind. DBFSL and/or its group companies do not assume any responsibility or liability resulting from the use of such information. DOHA BROKERAGE & FINANCIAL SERVICES LTD. SMART CENTRE,CIVIL LANE ROAD,VAZHAKALA. KOCHI SEBI Regn.No PMS:INP