ANTONY WASTE

HANDLING CELL
LIMITED
INTRODUCTION
• A company incorporated in 2001
• Business :-
• Solid waste collection, transportation, processing and disposal
services across the country, primarily catering to Indian
Municipalities
• Municipal Solid Waste (MSW) is just the garbage we discard away
at our homes, schools, hospitals, and businesses
 Current Projects
14

12

10

0
Current projects

MSW Collection & Transport

MSW Processing (WTE)
Mechanized Sweeping

As on Nov 15, 2020

company has 18 ongoing
projects
INDUSTRY ANALYSIS
• MSW generation is expected to grow at a CAGR of 8.9 % (FY 2020-25)
to reach 115 million TPA by FY2025
• WHY ?
• Urbanization
• Changing life style patterns INCREASED
CONSUMERISM
• Increasing disposable incomes

INCREASED
WASTE
GENERATION
INDUSTRY ANALYSIS
• Overall expected market for FY 2020 is 5000 crores
• Overall expected market for FY 2025 is 9800 crores (CAGR of 14.4% )
Market Size (in crores)

9797
8564
7486
6544
5720
5000

2020 2021 2022 2023 2024 2025

OFFER SIZE
• Offer size –
A) Fresh Issue – Rs 85 crores ( 850 million )
B) Offer for Sale – Rs 215 crores approx. ( i.e. Rs 2150 million
existing stakeholders selling)
• How the money will be spent ?
A) Part financing of Pimpri Chinchwad municipal corporation
waste to energy plant – Rs 40 crores
B) Pre-payment of outstanding debt – Rs 45 crores ( invest in their
subsidiary- AG Enviro by way of debt infusion )
• Rs value of outstanding litigation associated with the company – Rs
190 crores ( Rs 145 crores in civil cases , Rs 45 crores in tax cases )
SHAREHOLDING PATTERN
• Promoters & Promoters group – Around 51%
• Selling Shareholders – Rest 49%
RISKS ASSOCIATED WITH THE
COMPANY
• Heavy dependence on municipal authorities for business ( on average
municipalities generate 39% of the funds they spend ) and hence
most municipalities are dependent on grants/budget allocation
• Uncertainty in securing future projects
New projects Avg Duration of projects (in years)
6 25 23

5 20
5
4
15
3
10 7.7
2 7
2
1 5
1
0 0
2020 2019 2018 C&T Sweeping Processing
RISKS ASSOCIATED WITH THE
COMPANY
• Huge dependence on limited number of customers but the good thing is
it is decreasing y-o-y
Revenues from Top 5 clients
100.00% 93.70% 90.78%
77.55% 81.76%
80.00%
60.00%
40.00%
20.00%
0.00%
2021 2020 2019 2018

• Operations in limited geographies i.e. mostly with municipalities in metro

cities
RISKS ASSOCIATED WITH THE
COMPANY
• Certain group companies, subsidiaries have incurred losses in the
preceding three Fiscals
RISKS ASSOCIATED WITH THE
COMPANY
• High working capital business i.e. high manpower cost, equipment
cost (fleet of 1,147 vehicles out of which 969 equipped with GPS
technology)
Working capital as % of revenue Current Assets/ Current Liabilities
45.00% 1.4
40.00% 1.2
35.00%
1
30.00%
25.00% 0.8
20.00% 0.6
15.00%
0.4
10.00%
5.00% 0.2
0.00% 0
2021 2020 2019 2018 2021 2020 2019 2018
RISKS ASSOCIATED WITH THE
COMPANY
• Covid-19 pandemic :- Due to the COVID-19 pandemic, company’s
MSW tonnage has seen a significant decline mainly due to the closure
/ partial closure of commercial activities
OTHER KEY METRICS
• Urban population has been constantly increasing throughout the last decade

• As per 2018 world bank report, India’s 77% of waste is disposed in open
dumps, 18% is composted and 5% is recycled but India as a country is trying
to move away from open dumping
VALUE CHAIN ANALYSIS
Key points :-

• Organic and recycling waste are

transported to waste processing
facilities which produce compost and
refuse derived fuel respectively
• Composting is decomposition of
organic waste (food waste/yard waste)
naturally under oxygen rich condition
• RDF is used as fuel where boilers are
used to burn RDF as fuel and generate
power
• Rejects from compost, RDF and WTE
plants are eventually sent to landfills
• Inert waste is chemically and
biologically unreactive and does not
decompose. Ex- Sand and Concrete.
Has the lowest disposable fees
VALUE CHAIN ANALYSIS
• Waste segregation at source is still at a very nascent stage. Cities with
more than 50% waste segregation are immediate key markets for
upcoming RDF plants
• Rejects from compost , RDF and WTE are disposed in landfills and
there is significant opportunity for growth for scientific landfills along
with closure and post closure maintenance of landfills
STRENGTHS / STRATEGY
•A leading service provider in MSW management sector with end to end capabilities
•Strong record of project execution and careful selection of projects
•Access to technology backed vehicles and equipment's to manage operations efficiently
•The company is embarking on growth strategy
•Increasing geographical footprint
•Expanding customer base
•Improving operational efficiencies to improve returns
•Moving up the MSW value chain by diversifying into the emerging waste management
areas
•Entry barriers for new players in the MSW market as experience and financial
background is a must in getting municipal tenders
 Appendix
• As of September 30, 2020, the outstanding amount under the borrowings of our
Company, on a consolidated basis was ₹ 2089.11 million
• In Fiscals 2018, 2019 and 2020 and for the six month period ended September
30, 2020 our expense on salaries, wages and bonus was ₹ 550.95 million, ₹
543.88 million, ₹ 986.10 million and ₹ 644.50 million, respectively, constituting
22.77 %, 21.68 %, 25.99 % and 28.03% respectively, of our consolidated total
expense for such periods.
• As per the Restated Financial Statements, in Fiscals 2018, 2019, 2020 and the six
month period ended September 30, 2020, our power & fuel expense was ₹
286.72 million, ₹ 357.66 million, ₹ 555.50 million and ₹ 262.67 million,
respectively, constituting 11.85%, 14.26%, 14.64% and 14.18% respectively, of
our consolidated total expense for such periods.
• As per our Restated Financial Statements, our total revenue for Fiscal 2018,
Fiscal 2019, Fiscal 2020 and the six month period ended September 30, 2020
was ₹ 2,907.78 million, ₹ 2,985.18 million, ₹ 4,646.11 million and ₹ 2,151.01
million respectively and our net profit after tax was ₹ 398.84 million, ₹ 346.82
million, ₹ 620.76 million and ₹ 290.50 million in Fiscal 2018, Fiscal 2019, Fiscal
2020 and the six month period ended September 30, 2020 respectively.
 Appendix
• The penalty amounts levied on the Company along with its
Subsidiaries for failing to deliver services as stipulated in the terms
of the contract were ₹ 50.25 million, ₹ 62.56 million, ₹ 109.08
million and ₹ 54.60 million for Fiscal 2018, Fiscal 2019, Fiscal 2020
and for the six month period ended September 30, 2020,
respectively.