rajesh expoters ltd

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    All thatglitters is

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    India is a leading player in the global gems and jewellery market. The gems and jewellery industry occupies an important position in the Indianeconomy. It is one of the fastest growing industries in the country.

    Large market for Gems & jewellery with domestic sales of over $10 billion. India is the largest consumer of gold jewellery in the world.4% of the global Gems & Jewellery market.Exports of over $15.5 billion; over 18% of Indias exports.Accounts for over 23% of the world consumption.India is the largest diamond cutting and polishing center in the world.Third largest consumer of polished diamond after USA and Japan.

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    JEWELLERY CONSUMPTION TOTAL GOLD CONSUMPTION

    COUNTRY CONSUMPTION(mt) % TOTAL CONSUMPTION(mt) % TOTAL

    INDIA 558.2 23% 773.6 27%

    CHINA 302.2 12% 326.1 12%

    USA 269.9 11% 278.1 10%

    TURKEY 188.1 8% 249.3 9%

    SAUDI ARABIA 120.2 5% 129.4 4.50%

    UAE 99.8 4% 107.3 3.40%

    RUSSIA 77 3% 77 3%

    EGYPT 67.3 3% 68 2%

    ITALY 58.8 2% 58.8 2%

    INDONESIA 58.3 2% 58.7 2%

    UK 48.6 2% 48.6 2%

    OTHER GULF 40.8 2% 43.7 2%

    JAPAN 32.2 1% -24.1 -1%

    VIETNAM 21.6 1% 77.7 3%

    HONG KONG 14.4 1% 15.5 1%

    TAIWAN 14.4 1% 21.8 1%

    EUROPE 0 0% -5.9 0%

    OTHER 460.9 19% 527.3 19%

    TOTAL 2425.7 100% 2830.9 100%

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    Gitanjali group

    Shrenuj & Company

    Suraj Diamonds andJewellery Limited

    Asian star

    Laxmi diamond

    Rajesh exports

    Rosy blue

    Titan Industries(Tanishq into Retail)

    Suashish Diamond

    B. Vijaykumar

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    COMPANY OVERVIEW

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    Business Established in 1989.Head quartered at Bangalore-India. Manufacturer, wholesaler and retailer of goldjewellery

    Key Highlights Worlds largest gold jewellery manufacturer

    Worlds lowest cost producer of gold jewellery

    Worlds largest catalogue of jewellery designs

    12% of gem and jewellery export from India

    25% of gold jewellery export from India

    2% of world gold trade

    Market share

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    Rings

    Earrings

    Pendants

    Chains

    Necklaces

    Bangles

    Bracelets

    Necklace sets

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    Product line

    Asian Jewellery Western Jewellery Diamond Jewellery

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    REL specializes in ASIAN JEWELLERY. Manufactures Asian Jewellery in 22cts, 21cts and 18ct. Having a portfolio of over 20,000 designs.

    REL has developed several unique designs to suit the western taste. They are a combination of machine and hand-work skill sets. Manufactures the western style jewellery in 9, 10, 12, 14 and 18 cts gold.

    Finest designers both in India and abroad have contributed to therange of exclusive diamond designs. REL has developed eight diamond design ranges each withdistinctive workmanship. Manufactures in 18 cts gold and VVS quality of diamonds in GHcolour

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    Gold bullionand alloy heated

    to 1000o C

    Molten goldpoured into castto produce rods

    Furtherprocessed as

    (C) CastingProcess

    (B) ManualProcess

    (A) Machine

    Chains

    Production commencement..

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    Wires drawnfrom gold

    ingots

    Wires thendrawn using

    diamond dyes

    Wires woundon spools and

    mounted

    Solderingof chain

    Non-solderedchain is woven

    Gold chains ofvarious sizes

    Chain withoutloops

    Quality checkand delivery

    (A) Machine Chains (for standard gold chains of various designs)

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    Wire drawingand stampingWire drawingand stamping

    Dye cuttingDye cuttingDesign

    fabricationDesign

    fabrication

    Design pieceswith loose

    ends

    Design pieceswith loose

    ends

    Soldering and

    polishing

    Soldering and

    polishing

    Quality check

    and delivery

    Quality check

    and delivery

    (B) Manual Process (for hand-made jewelry)

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    Metal master &rubber mould

    making

    Wax injection& spurring

    Investmentcasting

    Burn outof wax

    Liquid goldinjection

    De-sprucing &initial

    polishing

    Setting & finalpolishing

    Quality checkand delivery

    (C) Casted Jewellery( for plain and diamond jewellery)

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    1989

    Year ofEstablishment

    1995

    IPO of 2m shares @400% to face valueof INR 10

    1996

    Indias largestjewellery

    manufacturer(6 tpa)

    2003

    Worlds largestjewellerymanufacturingfacility(250 tpa)

    2006

    Revenues exceedUS$ 1 billion

    24K Retail andBangalore Infra ventureslaunchedJV with MuthootPappachan Group

    1960-1989

    2007

    1.Whitelabelled jewellery

    2. Diamondstudded jewellery

    2007-2012

    3. Retailing:Shubh,Laabh &Oyzterbay

    Promotersengaged in goldjewelleryretailing

    Saga of Rapid GrowthSaga of Rapid Growth

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    Rajesh MehtaExecutive Chairman

    Experience of over 20 years in the jewellery industry Pioneer in organizing jewellery trade in India Director, Handloom & Handicrafts Exports Promotion Corp President,

    Jewellery Exporters Association of Karnataka

    Prashant MehtaManaging Director

    Experience of over 22 years in jewellery manufacturing Expert on global best practices in jewellery manufacturing and

    technology.

    Vipin SharmaCEO (Shubh)

    Experience of over 12 years in brand building & jewellery retailing Part of the Oyzterbay promoter-group

    Kirit TurakhiaCEO (Laabh)

    Experience of over 20 years in retailing

    M APrakash

    CEO (Banglore Infra)

    Experience of 7 years in real estate and construction

    Management TeamManagement Team

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    Largest gold jewellery manufacturing facility.

    Lowest cost advantage because of economies ofscale.

    Understanding of various global markets andportfolio of 29000 exclusive jewellery designs.

    Experienced team of jewellery professionals.

    Government recognized trading house injewellery sector

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    New player in retail sector.

    No ready retail distribution network.

    No brand recognition.

    New entrant in diamond jewellery

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    Fast growth in organised jewellery retail marketsin India.

    Organised retail market in India is lesspenetrated (Single player commands ~50% ofthe market share).

    Foray into diamond jewellery.

    Entry into white label jewellery exports.

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    Growing investment opportunity in other assetclass like equities, real estate etc to affect goldjewellery consumption.

    Slow down in US and other developed market.

    Weaker outlook for US $ may further spur thegold prices in future.

    Emergence of other luxury products to replacegold jewellery.

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    RAJESH EXPORTS LIMITED

    Manufacturers, Exportersand Wholesalers

    24K RETAIL BANGALORE INFRA

    LAABH

    SHUBH

    OYZTERBAY

    Parent company

    SUBSIDIARIES

    STORE BRANDS

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    One of India's top jewellery makers and exporters. Currently having 25 retail outlets in the country. plans to open 300 retail stores in India over the

    next three years. The firm plans to increase revenues from retailoperations to 20-25 percent of total revenues fromthe current 1.5 percent.

    company plans to set up retail operations overseaswith showrooms in the Middle East, Far East, U.S.and parts of Europe including the U.K. and France.

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    22K Guarantee

    Largest Range

    Technology

    Competitive

    Pricing

    Service

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    For mass marketTo replace mainstream urban and rural jewellery stores 5,000 exclusive designs available at Shubh stores

    SHUBH offers guaranteed 22cts purity gold jewellery.

    REL has designed an exclusive portfolio ofFive thousand designs for

    SHUBH.

    The color, shine and tarnish resistance are the distinguishing featuresofSHUBH jewellery.

    SHUBH offers international class service at all its showrooms. All

    the showrooms are connected online, which helps to serve the

    customers better

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    International Lifestyleplatform I own it!

    Targeted at youth and rapidly growing upwardly

    mobile economic strata

    To offer jewellery, watches, and accessories

    1,200 exclusive pieces of jewellery designed for

    the Oyzterbay Collections

    To launch 30 stores in malls and shop in shops during

    Q1 of 2008-09

    To expand to 150 stores in next 3 years

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    To monetise land-bank owned by REL of 170,458.16 sq. ft of primecommercial space and 137 acres of land outside the city municipal

    zone

    Acquisition cost: US$ 25 million

    Estimated market value: US$ 200 million

    Post-development value: US$ 350 million

    Land bank, primarily in Bangalore foremost technology growth

    engine of India

    Exponential appreciation in land bank value, due to low historic

    value To be managed by highly experienced industry professionals

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    y Ranked No. 1 Investor Friendly Company in a National Survey by Business Today

    y

    The onlyPremier Trading House

    in Jewellery Sector in India

    y Overall Excellence in the category of Gold Exports by the Gem & Jewellery Export Promotion

    Council for13 consecutive year

    y Karnataka State Government Best Exporter Award for past 9 years

    y Awarded Gold Trophy for exports by Federation of Imports & Exports

    y Accorded Nominated Agency status to import gold for domestic consumption.

    y Ranked No. 1 in the Gems & Jewellery sector in India by Dun & Bradstreet

    y Ranked as the Second Fastest Growing Company in the Large Scale Sector.

    y Accorded as the Jeweller of the Year Award by Jewellers Association, Bangalore

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