1. Shrenuj
Confidential

2. Presentation Plan Business Profile: Shreyas/ Vishal Doshi
Financial Performance: Vinod Shetye
Branding: Pranava Bhargava
New Acquisition : Vishal Doshi
Q&A

3. Business Profile
Shreyas & Vishal Doshi

4. 2006 World Diamond Jewellery Value Chain

5. Value Chain Global Indian Share Net Rough diamonds Usage 14.20 bn
Polished Diamond Value
18.72bn
10.84bn
Diamond Jewellery Value (Wholesale)
37bn
estimated
2.7bn
Retail Sales of Diamond Jewellery
68.51bn
2.23bn
2006:Tacy Limited

6. Indian Perspective
Indian Gem & Jewellery Export CAGR : 13% since 2003 (Source: GJEPC Statistics)
Shrenuj CAGR: 25% since 2003

7. Shrenuj: 100 Years of Excellence
Global presence
Presence across the value chain from diamond processing to retailing jewellery
Direct sourcing of rough diamonds. DTC Sightholder since 1983
Diamond and Jewellery manufacturing expertise. Manufacturing in India, Israel, France and China
Retailing in HK and India
Eminent Board of Directors
IPO in 1987
Revenue grown from under Rs. 620 mn in 1987 to Rs. 8,750 mn in 2007 (consolidated Rs.9,520 mn)
Consolidating the group entities

9. Business Profile Retailing Marketing & Branding Distribution Jewellery
Manufacturing
Diamond
Processing
Deliver consumers
exceptional value through
Innovative designs and concepts
Co-operative promotions
with downstream partners
Exciting product propositions
based on need-gap analysis
Quality
Cost efficiency
Innovation
Productivity
Global Presence
Joint Ventures
Deliver on time/ in full

10. Diamond Manufacturing
3 factories in Mumbai
1 factory in Tel Aviv for niche cuts
Total Manpower: 1,000
Competitive advantage: unique skill set leading to high end product
Rough intake: US$ 120 mn per annum
Proprietary Factory Management System Software
Focus on product, process and technology development and skill development

11. DIAMOND MANUFACTURING

12. Niche Products Trapezoids Half Moons Twin Trapz Triple Trapz Leafz
Cadi

13. Business Profile Retailing Marketing & Branding Distribution Jewellery
Manufacturing
Diamond
Processing
Deliver consumers
exceptional value through
Innovative designs and concepts
Co-operative promotions
with downstream partners
Exciting product propositions
based on need-gap analysis
Quality
Cost efficiency
Innovation
Productivity
Global Presence
Joint Ventures
Deliver on time/ in full

14. Jewellery Manufacturing
4 jewellery manufacturing units in Seepz and Mumbai. 2 JV factories in Seepz and Lyon, France
New unit to start in Jan ‘08 in Seepz(30,000 sq ft)
Outsourcing office in Hong Kong working with 4 dedicated factories in China
Total employee strength: 2,200 with the new factory
Production: 550,000 pcs per annum (to be increased to 1,000,000 pcs/ yr in 2008)
Designing and product development in Mumbai, USA, Hong Kong and Germany

15. Jewellery Manufacturing

16. Business Profile Retailing Marketing & Branding Distribution Jewellery
Manufacturing
Diamond
Processing
Deliver consumers
exceptional value through
Innovative designs and concepts
Co-operative promotions
with downstream partners
Exciting product propositions
based on need-gap analysis
Quality
Cost efficiency
Innovation
Productivity
Global Presence
Joint Ventures
Deliver on time/ in full

17. Global Presence
Manufacturing
Facility
Hub
Proposed

18. Distribution Strategy
Tactical advantage- distribution systems
Stock requirements fully supported from India- inventory centrally coordinated
Receivables booked on actual overseas sales

19. Jewellery Sales

20. Diamond Distribution

21. Business Profile Retailing Marketing & Branding Distribution Jewellery
Manufacturing
Diamond
Processing
Deliver consumers
exceptional value through
Innovative designs and concepts
Co-operative promotions
with downstream partners
Exciting product propositions
based on need-gap analysis
Quality
Cost efficiency
Innovation
Productivity
Global Presence
Joint Ventures
Deliver on time/ in full

22. Marketing & Brands
Pranava Bhargava

23. Business Profile Retailing Marketing & Branding Distribution Jewellery
Manufacturing
Diamond
Processing
Deliver consumers
exceptional value through
Innovative designs and concepts
Co-operative promotions
with downstream partners
Exciting product propositions
based on need-gap analysis
Quality
Cost efficiency
Innovation
Productivity
Global Presence
Joint Ventures
Deliver on time/ in full

24. Retailing Acquired Daily Jewellery in HK in 2003
Successful transformation from discount store to fashion jewellery
Launched Diti (shop-in-shop) in India in H with 3 stores. To be increased to 30 POS in
Revenue contribution of retailing: 5% of jewellery segment. To grow to 10% over next 3 years

25. Retail Transformation Strategy

26. Retail Environment
Old: Discount Store
New: Fashion Jewellery

27. Promotion
New: Value Centric
Old: Price Centric

28. Amante88: Promotion

29. Diti B2C Initiative across India Shop-in-shop concept in malls
Average retail price point- Rs. 8,000
Products: Solitaires, Multi-stones in gold and platinum
Each jewellery piece is certified by Shrenuj
Planning to grow to 170 outlets in 3 yrs.

30. Business Profile Retailing Marketing & Branding Distribution Jewellery
Manufacturing
Diamond
Processing
Deliver consumers
exceptional value through
Innovative designs and concepts
Co-operative promotions
with downstream partners
Exciting product propositions
based on need-gap analysis
Quality
Cost efficiency
Innovation
Productivity
Global Presence
Joint Ventures
Deliver on time/ in full

31. Our Strategy: Value Chain Consolidation
Jewellery
Wholesalers
Diamond
Mining
Manufacturing
Wholesaler/
Traders
Manufacturers
Jewellery
Retailers
Move from purely manufacturing from consumer centric model
Consolidate position in the value chain to capture value and
Improve margins

32. To sum up: We are fully integrated from rough diamonds to retailing
Excellence in manufacturing
Efficient and effective distribution network
Growth oriented business model
Focus on branding and retailing

33. Key Financial Information
Vinod Shetye

34. SALES GROWTH Rs. In Crores 875 614 489 410 293 % Growth 2004 2005 2006
2007
Diamond
42%
21%
14%
44%
Jewellery
26%
10%
101%
37%
Total Growth
40%
19%
43%

35. EBIDTA
Rs. In Crores 86 54 36 31 22

36. FINANCIAL INDICATORS March 31 2003 2004 2005 2006 2007 ROCE 6% 7% 9%
10%
12%
ROE 8%
13%
17%
EBIDTA (% to sales)
7.5%
7.6%
7.4%
8.8%
9.8%
PAT (% to sales) 2%
2.2%
2.3%
2.9%
3.4%

37. Highlights
Merger
Shrenuj Diamonds Pvt Limited (Diamonds)
Lavanya Jewels Ltd. (Jewellery- Domestic Market)
Moon Diamonds Limited (Jewellery- Exports)
Advantages: Operational synergies & cost savings
FCCB Issue of US$ 15mn
Subscriber: Lehman Bros.
Utilisation: Overseas expansion and growth
Optionally fully convertible 3,944,500 share warrants issued to the promoter group

38. CAPEX
Rs. In Crores

39. Outlook 2007-10 Sales to grow by 30% p.a. over next 3 years
EBIDTA to increase to 14% by 2010
Budgeted Capex of Rs. 410 mn over next three years, to enhance value, expand retail segment and strengthen manufacturing base.

40. EPS & DIVIDEND FV Rs. 2 each 2003 2004 2005 2006 Dividend% 22% 25% 30%
35%

41. Shareholding Pattern as on 30th April 2007
Total no. of equity shares ,630,550
of Face Value Rs. 2/- each

42. New Acquisition
Vishal Doshi

43. Simon Golub & Sons
80 years old jewellery distribution company based in Seattle, US
US$ 100 mn supplies to majors like JC Penny, Wal-Mart, Sterling, Zales on commission basis
US$ 36 mn sales to independent retailers (Mom & Pop stores)
2,400 accounts: 650 very active accounts
Total employee strength: 100

44. SGS Structure
Simon Golub & Sons
IJC
SGS
Independents Div.

45. Acquisition Details Acquisition cost: US$ 22.63 mn for 84.6% stake
Source of funds: Long term debt, FCCB and internal accrual
10% stake retained by original promoters and 5.4% equity with key employees
Balance stake to be acquired after 7 years
Entered into a 6 yrs contract with key employees and management

46. Projections for SGS
Sales to independents to grow to US$ 50mn from US$ 36 mn over 3 years
Agency sales to majors to grow to US$ 150 mn from existing US$ 100mn. Shrenuj’s share to increase from US$10mn to US$50mn.
Gross margin to improve to US$ 21mn from existing US$ 16mn, including agency commission

47. Shrenuj envisions itself to generate
US$ 1bn in revenue by 2012