Vakrangee Limited — Regulatory Filings 2021

Jun 19, 2021

June 19, 2021

Vakrangee Limited "Vakrangee Corporate House'. Plot No 93. Road No 16. MID C. Maral Andhen (East). Mumbal 400093. Maharashtra W wwwvakrangeeln L ,91 2228503412 ,9122 6776 5100 F ·912228502017 (IN L65990MH 1990PLC056669

To,

Department of Corporate Relationship	Corporate Relationship Department
BSE Ltd.	National Stock Exchange of India Ltd.
Phiroze Jeejeebhoy Towers,	Exchange Plaza, Bandra Kurla Complex,
Dalal Street, Fort,	Bandra (East), Mumbai - 400 051
Mumbai - 400001

Dear Sir/Madam,

Sub.: Co rporate Presentation Ref.: Scrip Code - 511431/VAKRANGEE

With reference to the captioned subject and pursuant to Regulation 30 of SEBI (listing Obligations and Disclosure Requirements) Regulations, 2015, please find attached herewith Corporate Presentation considered in the Board Meeting of the Company held today on June 19, 2021.

Kindly take the above on your record.

Thanking you

Yours faithful ly,

For Vakrangee Limited

Jay Bhansali Company Secretary (Mem. No.: A482S1)

Encl.: A/a

THE ASSISTED DIGITAL CONVENIENCE STORE

VAKRANGEE LIMITED RESULTS UPDATE PRESENTATION – Q4FY2020-21 & Full Year FY2020-21

June 19, 2021

DISCLAIMER

This presentation has been prepared by Vakrangee Limited ("Vakrangee" or "VL" or the "Company") solely for your information and for your use and may not be taken away, reproduced, redistributed or passed on, directly or indirectly, to any other person (whether within or outside your organization or firm) or published in whole or in part, for any purpose. By attending this presentation, you are agreeing to be bound by the foregoing restrictions and to maintain absolute confidentiality regarding the information disclosed in these materials.

The information contained in this presentation does not constitute or form any part of any offer, invitation or recommendation to purchase or subscribe for any securities in any jurisdiction, and neither the issue of the information nor anything contained herein shall form the basis of, or be relied upon in connection with, any contract or commitment on the part of any person to proceed with any transaction. The information contained in these materials has not been independently verified. No representation or warranty, express or implied, is made and no reliance should be placed on the accuracy, fairness or completeness of the information presented or contained in these materials.

Any forward-looking statements in this presentation are subject to risks and uncertainties that could cause actual results to differ materially from those that may be inferred to being expressed in, or implied by, such statements. Such forward-looking statements are not indicative or guarantees of future performance. Any forward-looking statements, projections and industry data made by third parties included in this presentation are not adopted by the Company and the Company is not responsible for such third party statements and projections.

This presentation may not be all inclusive and may not contain all of the information that you may consider material. The information presented or contained in these materials is subject to change without notice and its accuracy is not guaranteed. Neither the Company nor any of its affiliates, advisers or representatives accepts liability whatsoever for any loss howsoever arising from any information presented or contained in these materials.

THIS PRESENTATION IS NOT AN OFFER OF SECURITIES FOR SALE IN THE UNITED STATES OR ELSEWHERE.

TABLE OF CONTENTS
Update on Demerger Scheme	04
Results Performance Update	11
Update on Sustainability ESG Initiatives	22
Case Studies	33
Company Overview	38
Update on Awards & Recognition	55
Board of Directors Team	58
Annexures	61
Kendra Evolution	62

UPDATE ON DEMERGER SCHEME

LAUNCH OF MOBILE SUPER APP UPDATE

• Vakrangee has recently launched an online digital platform to enable seamless services for the consumer at the comfort of their homes. Through this, company has evolved into the unique O2O (Online to Offline) platform, whereby there is Assistance available through the Physical Kendra network along with Digital Online Services
• The company has Initiated this Unique Hybrid proposition with launch of first Digital service of Total Healthcare services The company plans to make many more existing Vakrangee services live through this platform.
• The Company is now launching an All in one : "BharatEasy" Mobile Super App based business platform.
• By downloading a single Vakrangee's BharatEasy Super App mobile application, our customers would get access to a wide array of Products and Services which would significantly reduce their requirement to switch between multiple apps. This would lead to superior customer experience and convenience for the customer.
• The Mobile super app platform would be offering various consumer products and services under one umbrella. Consumers would use it every day because our app would offer a seamless, multi-service, integrated, contextualized and efficient experience.

BUSINESS MODEL : UNIQUE COMPETITIVE ADVANTAGES

Convenience : All-in-one platform for all Customer needs

Unique Proposition of Digital along with Physical: "Phygital"

Sustainable Advantages over the standard benchmarks apps-

• Store Pick Up Facility
• Order Return Management
• Pay at Store Option
• Courier Pick up / Drop Facility
• Physical Assistance Available
• Grievance / Helpdesk Facility

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Strong Technology Expertise : Technology and product-first approach to business

Vakrangee is a strong consumer brand recognized across the length and breadth of India

• Rural Focused Loyalty Program for transition to Mobile Super App
• Unique Referral program for Vakrangee Franchisee network : To Help scale faster and reduce customer acquisition costs

RATIONALE FOR DEMERGER SCHEME

• The focus is on enhancing strategic flexibility to build a viable platform solely focusing on each of these businesses (Physical as well as Digital).
• We believe that both the businesses require greater attention and possess high growth potential, due to which the Company has decided for the segregation of the business.
• To Enable dedicated management focus, resources and skill set allocation to each business, which will in turn accelerate growth and unlock value for the shareholders.
• The segregation of the business of Physical Vakrangee Kendra Outlets and Digital Vakrangee Kendra (Online based business) would enable focused management to explore the potential business opportunities more effectively and efficiently. This would also set the platform for "value discovery" of the digital business at a later stage with the ultimate objective of maximising shareholder returns.
• The demerger will unlock value of both business and result in shareholder value maximization.

BUSINESS STRUCTURE : POST DEMERGER

Physical Platform : Vakrangee Kendra Network

• Strong Growth levers in Place : Assistance Model with strong focus in Rural India
• Leading player in Financial Inclusion, 3rd Largest White Label ATM operator
• One of the Largest Cash in Cash Out network in rural India
• Current network : 11,700+ Outlets
• Planned Target Outlets : Growth strategy
• FY2022- 25,000 Outlets
• FY2025 – 75,000 Outlets
• Total Transaction Value FY2021 – USD 5.2 Billion
• Total No of Transaction FY2021 – 126.8 Million

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Digital Platform : BharatEasy Super App

• Incremental Value added Business platform for Online consumers
• All-in-one Super App platform for all Customer needs
• Focus on Ease, Convenience and Trust
• To Leverage Vakrangee Eco-System : Unique Proposition of Digital along with Physical: "Phygital"
• To leverage Strong Brand Recall in Rural India
• Unique Franchisee referral Program and Loyalty rewards program to build scale and reduce customer acquisition costs significantly

9

DEMERGER SCHEME – KEY UPDATES

	No cash consideration is payable under the Scheme.
Update on Cash consideration and share exchange ratio	Share Exchange Ratio : 1:1 The Resulting Company will issue equity shares to the shareholders of the Demerged Company as under: • Upon this scheme coming into effect, in consideration of the transfer of the Demerged Undertaking by the Demerged Company to the Resulting Company, in terms of this scheme, the Resulting Company shall, without any further act or deed, issue and allot to every member of the Demerged Company holding fully paid up equity shares in the Demerged Company and whose names appear in the Register of Members of the Demerged Company on the record date in respect of every One (1) Equity Shares of the face value of Re.1/- each fully paid up held by him / her / it in the Demerged Company, One (1) new Equity share of the Resulting Company of
	the face value of Re. 1/- each fully paid up.
Listing Update	YES : The Resulting Company will make an application with BSE Ltd and National Stock Exchange of India Limited for listing of its equity shares in compliance with SEBI Circular No SEBI/HO/CFD/DIL1/CIR/P/2020/249 dated December 22, 2020 and relevant regulations thereof.

RESULTS PERFORMANCE UPDATE

RESULTS PERFORMANCE UPDATE

Key Highlights – Q4 FY2020-21 (Q-o-Q Basis)

• The Company has witnessed robust growth in Revenues as well as profitability on QoQ basis as the COVID and Lockdown situation has started to normalize and key services have started being operational.
• The company has also leveraged technology and process automation initiatives which has resulted into enhanced profitability. The Company's return to normalcy on the business front has been progressing well with month-on-month improvement in the sales. However normalization to pre-COVID levels shall take another quarter.
• Outlet revenues have been impacted as only our key essential services like Banking, ATM, Mobile recharges and Telemedicine services have been fully operational however other key services like Assisted Online shopping, Online Pharmacy have recently become operational. Travel services and Logistics have been significantly impacted because of the on-ground field level delivery challenges and travel services being closed due to the lockdown situation.

PERFORMANCE OUTLOOK UPDATE

Sale Revenue & Profitability Growth : Positive & Encouraging

• Return to normalcy on the business front has been progressing well with month-on-month improvement in the sales
• Quarterly Throughput crossed Rs. 115+ Billion
• Annual Throughput crossed Rs. 376+ Billion (USD 5.2 Billion)
• Implemented Process automation & Technology Initiatives resulting into enhanced profitability

Business Opportunity on Growth Side: Positive

• Substantial Increase in Trust & Awareness
• Enhanced visibility and Brand Awareness during Nationwide Lockdown
• More than 1,20,000+ Applications in place

Planned Target : Return to Normalcy & Strong Growth

• Expect Pre-COVID Business Revenue level by next Quarter onwards
• Outlet expansion to 25,000 NextGen outlets by FY2022

VAKRANGEE KENDRA OUTLETS – PERFORMANCE UPDATE

PERFORMANCE UPDATE FOR QUARTER ENDED MARCH, 2021 & FULL YEAR FY2020-21

~Rs. 115.1 Bn

Quarterly Throughput on Vakrangee Platform – Q4 FY21 Transaction Value ~32.4 Mn

Quarterly No. of Transactions on Vakrangee Platform – Q4 FY21

~Rs. 376.1 Bn

Annual Throughput on Vakrangee Platform – Full Year FY21 Transaction Value

~126.8 Mn

Annual No. of Transactions on Vakrangee Platform – Full Year FY21

Our Aim to become India's Largest Rural Consumption Platform

• Banking and ATM services witnessed Robust GMV and number of transactions. Stable Growth seen in overall BFSI segment. BFSI GMV has improved during FY21 due to higher withdrawal transactions because of the Government subsidy distribution during the current COVID period.
• Although, other BFSI services like Insurance services, Money transfer have been impacted due to COVID-19 Pandemic.
• E-Commerce has witnessed QoQ growth and is improving, however has been impacted due to services such as Online shopping, Travel services, Online pharmacy being slow in progress due to on-ground field level and delivery challenges as well as ban on Travel services.

* E-Commerce includes online Shopping, Online Pharmacy, Travel Ticket Booking, Logistics & other Services 15

CONSOLIDATED FINANCIAL STATEMENTS

Key Profit & Loss Statement Items
Particulars (Rs. Mn.)	Q4 FY2020-21	Q3 FY2020-21	QoQ%	FY2020-21
Revenue from Operations	1,018.5	743.6	37.0	3,142.9
Total Expenses	919.4	711.8	29.2	3,011.3
EBIDTA	296.6	250.9	18.2	976.2
Profit before Tax (PBT)	275.6	210.0	31.2	828.2
Tax Expenses	67.7	42.0	61.2	200.3
Profit after Tax (PAT)	207.9	168.0	23.8	627.9
Earnings per Share (EPS Basic)	0.20	0.16	25.0	0.59

Key Balance Sheet Items

Particulars (Rs. Mn.)	FY2020-21	FY2019-20	Particulars (Rs. Mn.)	FY2020-21	FY2019-20
Net Worth	26,640.8	26,373.0	Fixed Assets	1605.1	1,539.9
Share Capital	1,059.4	1,059.4	Other Non-Current Assets	6029.9	6,340.4
Other Equity	25,581.4	25,313.6	Inventory	49.7	78.1
			Trade Receivables	11203.1	13,688.4
Total Debt	0.0	0.0	Cash & Cash Equivalents	212.8	1,785.1
Long Term Debt	0.0	0.0	Other Current Assets	9655.7	4,757.4
Short Term Debt	0.0	0.0	Less: Trade Payables	341.4	690.8
			Less: Other Current Liabilities	1729.7	1,058.7
Other Non-Current Liabilities	44.4	66.8	Net Current Assets	19050.2	18,481.4
Total Sources of Funds	26,685.2	26,439.8	Total Application of Funds	26685.2	26,439.8

UNDERSTANDING THE IMPACT OF COVID-19 PANDEMIC

COVID-19 PANDEMIC IMPACT:

• Nationwide Lockdown led to store closures
• Only Essential Services Operational like Banking, ATM & Tele Medicine
• Supply Chain Disruption
• Liquidity Stress
• Logistic and On-Ground Delivery Challenges

CHALLENGES

• Revenue Impact due to store closure during initial Lockdown period and Only Essential services like Banking and ATM available .
• Situation is improving , However would take another one quarter to normalize. Demand side challenge for services like Online shopping, Travel services.
• Supply Chain disrupted impacting Hardware equipment availability / prices and Liquidity Challenges for the Vendor Partners

OPPORTUNITIES

• Increased Store and Brand awareness due to availability of Essential services like Banking, ATM and Tele-medicine.
• Positive Response received to Marketing Campaign for Enquiries on NextGen Vakrangee kendra Franchisee
• Easy Loan availability under Mudra Loan scheme for MSMEs
• Robust balance sheet in place to benefit and ensure software / Hardware availability without material price impact.

POST COVID:

OPPORTUNITY TO INCREASE OUR COMPETITIVE ADVANTAGE & ACHIEVE OUR PLANNED TARGETS AHEAD OF TIME

VAKRANGEE KENDRA - GROWTH STRATEGY UPDATE

WELL PLACED TO LEVERAGE THE GROWTH OPPORTUNITY

Emerging as a Convenience Store of Choice for Consumers in Rural India

• Enhanced visibility and Brand Awareness during Nationwide Lockdown.
• Our stores were open and have been providing Essential services like Banking, ATM, Mobile recharges and telemedicine consultation services.
• Provided Door-step banking and subsidy payment services in unserved locations during Lockdown.

Huge Number of Enquiries Received for NextGen Kendras with Loan Facility in Place

• Aggressive Marketing Campaign over last 1 year have resulted into overwhelming response generating 1,20,000+ Enquiries.
• Dedicated Loan facility for franchisees with Tie up with Union Bank of India, to ease the franchisee on-boarding process
• Clear visibility of 25,000 NextGen outlets over the next 12 months

Leveraged Strong Balance sheet to ensure Kendra Hardware / Software Availability

• Most of equipment's are imported and are assembled in India. In current environment, we expect price hike as well as availability challenges.
• Leveraged strong balance sheet to financially support vendors and ensure software / Hardware availability without material price impact.
• Software / Hardware procurement well in place for batch of 25,000 Kendra.

The company is well poised to achieve its store expansion targets . However, there has been delay in expansion due to COVID Pandemic leading to Logistic challenges as well as Hardware availability challenges.

VAKRANGEE KENDRA - GROWTH STRATEGY UPDATE

NEXTGEN VAKRANGEE KENDRA: GOLD, SILVER AND BRONZE MODEL

Vakrangee Kendra AB POORI DUNIYA PADOS MEIN Vakrangee n n	BANK LOGO		NextGen Vakrangee Kendra: Model Formats Models		T $\overline{z}$ 僧 西 T 骨 T FRANCHISE
Name	Gold	Silver	Bronze	Bronze
				Only ATM	Without ATM
Store Size	300 sq ft	$100$ sq ft	65 sq ft	40 Sq ft	65 sq ft
No. of Counters	4	$\overline{\mathbf{2}}$	ı		ı
Service Available	All Services Available	All Services Available	All Services Available	ATM Service	All services (except) ATM Service)

With our Customized Plans, Everyone's Dream of Success becomes Reality !!

VAKRANGEE KENDRA OUTLETS – PERFORMANCE UPDATE

VISIBILITY ON OPENING OF NEXTGEN OUTLETS

Total Number of Operational Outlets : 11,700+

Total Number of Formal Expression of Interest : 1,20,000+

CLEAR VISIBILITY OF 25,000 NEXTGEN OUTLETS OVER THE NEXT 12 MONTHS

UPDATE ON SUSTAINABILITY ESG INITIATIVES

KEY INITIATIVES : SUSTAINABILITY IMPACT & ESG

Being Responsible & Social Conscious Company	• Being one of the largest franchisee-based, multi-service retail network, Vakrangee is focused on creating India's extensive network of last-mile retail outlets at every postal code in the country, enabling Indians to benefit from financial, social and digital inclusion.
Being UNGC Signatory Member	• Vakrangee Limited has been accepted as a Signatory of the United Nations Global Compact. • We are now part of a global network of over 9,500 companies and 3,000 non business participants that are committed to building a sustainable future.
Independent ESG Risk Assessment & Integrated Report Assurance	• Globally ranked No.1 in the Sustainalytics ESG Risk rating rankings out of the 816 companies assessed in the Software and Services industry across worldwide. • Achieved "B" Score from CDP for Environmental Practices, Better than the Industry's Average (Asia regional average of D, Global Average of C). • Independent Assurance of Integrated Annual report of FY20 by Grant Thornton .

We have mapped our sustainability initiatives with the United Nation's Sustainable Development Goals. Our aim is to efficiently adopt these goals and address the global challenges, which includes poverty, inequality, climate, environmental degradation, prosperity, and peace and justice.

SUSTAINABILITY ESG PERFORMANCE UPDATE

Global recognition reflects company's commitment to further enhance its corporate governance and transparency standards. Company has achieved Global recognition across various platforms for its superior ESG performance and long term Business sustainability.

Company has been successful in benchmarking its performance on a wide range of industry specific economic, environmental, governance and social criteria that are relevant to the growing focus on Business sustainability and financially relevant to the corporate success.

Sr. No.	ESG Assessment & Rating platform	Vakrangee Ranking
1	Sustainalytics ESG Risk Assessment Rating	Globally ranked No.1 in the Sustainalytics ESG Risk rating rankings out of the 668 companies assessed in the Software and Services industry across worldwide
2	CDP Score - Climate Change 2020	Achieved "B" Score from CDP for Environmental Practices, Better than the Industry's Average (Asia regional average of D, Global Average of C)
3	CDP Score - Supplier Engagement Rating 2020	Achieved "A-" Score from CDP for Suppliers Engagement, Better than the Industry's Average (Asia regional average of B-, Global Average of C)
4	SAM Corporate Sustainability Assessment (CSA) – S&P Global	Globally ranked No. 13 Company in the global industry ranking and ranked No. 9 in the Corporate Governance global industry raking based on RobecoSAM – S&P Global ESG Score.
5	Bloomberg Gender Equality Index (BGEI)	Included in the Bloomberg's 2021 Gender-Equality Index (GEI). The 2021 Bloomberg GEI comprises of 380 companies across the world with a combined market capitalization of USD14 Trillion Headquartered in 44 countries and Regions across 11 sectors.	24

HIGHLIGHTS OF SUSTAINALYTICS ESG ASSESSMENT REPORT

	ESG Risk rating	Exposure	Management
Vakrangee Limited	7.4 Negligible	31.6 Low	82.1 Strong

• Vakrangee has been globally ranked No.1 in the Sustainalytics ESG Risk rating rankings out of the 816 companies assessed in the Software and Services industry across worldwide.
• Rating Overview - The company is at negligible risk of experiencing material financial impacts from ESG factors, due to its low exposure and strong management of material ESG issues. Furthermore, the company has not experienced significant controversies.
• Sustainalytics has recognised the company's leadership in sustainability-related matters by giving a score of 7.4 Negligible in ESG risk rating. Sustainalytics mentions that the company's overall management of material ESG issues is strong.
• Link to report: https://vakrangee.in/pdf/Policies-PDF/Sustainalytics%20ESG%20Risk%20Rating%20Summary%20Report%20-%202021.pdf

HIGHLIGHTS OF CDP SCORE REPORT

• Vakrangee Demonstrates Environmental Transparency and achieves "B" Score from CDP for Environmental Practices, Better than the Industry's Average.
• This is higher than the Asia regional average of D, Global Average of C and Higher than the specialized professional services sector average of D.
• It is a proof and recognition of the concrete and constant commitment of the Company in its efforts to fight against climate change.
• Link to report: https://vakrangee.in/pdf/Policies-PDF/2020\_Climate\_Change\_Vakrangee\_Ltd.pdf

HIGHLIGHTS OF CDP SUPPLIER ENGAGEMENT REPORT

• Vakrangee achieves "A-" Score from CDP for Suppliers Engagement, Better than the Industry's Average.
• This is higher than the Asia regional average of B-, Global Average of C and Higher than the specialized professional services sector average of B-.
• It is a proof and recognition of the concrete and constant commitment of the Company engagement with its suppliers on climate change.
• Link to report: https://vakrangee.in/pdf/Policies-PDF/2020\_CDP\_Supplier%20Engag ement%20Report\_Vakrangee\_Ltd. pdf

HIGHLIGHTS OF ROBECOSAM – S&P GLOBAL ESG SCORE

Vakrangee ranked No. 13 Company in the global industry ranking and ranked No. 9 Company in the Corporate Governance global industry raking based on RobecoSAM – S&P Global ESG Score.

Rank	Score	Company Name	Rank	Score	Company Name
1	80	Wipro Limited	1	85	Atos SE
2	80	Indra Sistemas, S.A.	2	84	Indra Sistemas, S.A.
3	79	Tech Mahindra Limited	3	82	Nomura Research Institute, Ltd.
4	78	Atos SE	4	82	Wipro Limited
5	78	Nomura Research Institute, Ltd.	5	81	NTT DATA Corporation
7	75	NTT DATA Corporation	11	71	Infosys Limited
8	72	NEC Corporation	12	71	Cielo S.A.
9	69	Vakrangee Limited	13	70	Vakrangee Limited
10	67	Infosys Limited	14	68	Worldline S.A.
11	65	Fujitsu Limited	15	67	Capgemini SE

28

• Vakrangee is globally recognized & included in 2021 Bloomberg Gender-Equality Index.
• The 2021 Bloomberg GEI comprises of 380 companies across the world with a combined market capitalization of USD14 Trillion Headquartered in 44 countries and Regions across 11 sectors.
• The Average overall GEI score is 66% however Vakrangee have score 70.86%. As we strongly stand with gender equality and it reflects company's long-standing commitment to being a fully inclusive company and to the women who make business successful every day.
• The Bloomberg GEI index measures gender equality across five pillars: female leadership and talent pipeline, equal pay and gender pay parity, inclusive culture, sexual harassment policies, and pro-women brand.

HIGHLIGHTS OF INTEGRATED ANNUAL REPORT

• First Integrated Annual report of Vakrangee limited released with Assurance from Independent Auditor Grand Thornton India LLP [FY19 -20 ]
• Highlights of Integrated Annual Report:
• Vakrangee adopted the Integrated Reporting Framework of the International Integrated Reporting Council (IIRC) for the report .
• Assurance from Independent Auditor reflects our determination to follow the principles of the highest standards of corporate governance.
• Focussed to build robust, transparent and effective reporting framework for our stakeholders .
• Vakrangee has mapped their business strategy and sustainability initiatives with the United Nation's Sustainable Development Goals.
• Link to Integrated Annual Report: https://vakrangee.in/pdf/Annual\_Reports/Integrate d%20Annual%20report%202019 -20%20 - %20Vakrangee%20Ltd.pdf

Nextgen Vakrangee Kendra – Sustainable Business Model

Vakrangee Kendra business model is a Long Term sustainable business model as we are a Provider of Emergency and Essential Services

Even during the current COVID-19 Pandemic situation, Our Vakrangee kendras have been Exempted from Lockdown and are Operational, thereby resulting into Sustainable Earnings

Ministry of Home Affairs circular for lockdown dated 24th March - Link to Circular

Vakrangee Kendra outlets are one stop shops providing key Essential services to the citizens of the country such as –

• Banking Services
• ATM Services
• Telemedicine health services Including Unlimited Tele & Video Consultation with expert doctors & Home Blood test facility

During COVID-19 Pandemic, Our more than 10,000 Vakrangee Kendras are operational to provide the key essential services and thus serving the Nation. 80% of our outlets are in Tier 5 &6 Rural locations thereby benefiting the unserved and underserved bottom of the Pyramid population.

Nextgen Vakrangee Kendra – Sustainable Business Model

Vakrangee Kendras disbursing Government DBT Subsidies and Providing Essential Services during Lockdown:-

Please view Video Links for more Details : -

• Vakrangee Cares : Serving the Nation: https://www.youtube.com/watch?v=4-eHcPznPTM
• Doorstep Banking:
• https://www.youtube.com/watch?v=Fi0aoR118CU
• https://www.youtube.com/watch?v=rfkNwTX58jQ&t=82s
• https://www.youtube.com/watch?v=jHGSP4PNaTc

CASE STUDIES

"I have earned Rs. 77,889

From BFSI – Banking Services in just 1 month"

SUKHRAM VISHWAKARMA UTTAR PRADESH TIER 6 LOCATION

Number of Accounts Opened

Total Transaction Value

48

₹ 4,10,54,963

"I have earned Rs. 41,262

From BFSI – Domestic Money Transfer Service in just 1 month"

DEEPALI ANDHARE MAHARASHTRA TIER 1 LOCATION

2,491

"I have earned Rs. 27,300

From Online Total Health care Service in just 1 month"

KANHAIYA LAL RAJASTHAN TIER 3 LOCATION

COMPANY OVERVIEW

NEXTGEN VAKRANGEE KENDRA – SCOPE OF SERVICES

Vakrangee Kendra offers a broad spectrum of services across different sectors to offer a "One Stop Shop" solution for its customers

NEXTGEN VAKRANGEE KENDRA – SCOPE OF SERVICES

BFSI & ATM SERVICES

NEXTGEN VAKRANGEE KENDRA – SCOPE OF SERVICES

UNIQUE FEATURES OF ASSISTED E-COMMERCE MODEL

Own The World's Biggest E-mall : More than 6 Crore+ products

Complete Healthcare Package : Tele medicine services and doorstep delivery of Medicines

POTENTIAL EARNING OF Rs. 1,00,000+ per month

Monopolistic Offering of Marketplace & Assisted Healthcare

High Quality Products at Competitive Prices & Services at Competitive Prices

Inventory Model Zero Working Capital Requirement

Zero

Source: Company

E-COMMERCE MARKETING INITIATIVES

Link to the Co-Branded Advertisement Campaign - Amazon & Vakrangee :

https://www.youtube.com/watch?v=MPtZ\_c62 Odg

https://www.youtube.com/watch?v=- AJarKHI94c

FORMATS OF NEXTGEN VAKRANGEE KENDRA

NEXTGEN VAKRANGEE KENDRA: GOLD, SILVER AND BRONZE MODEL

Update on Nextgen Vakrangee Kendra Model:-

• As the Bouquet of services have increased over the last few years , the viability of the kendra has increased on a standalone basis resulting into an Exclusive store format.
• Key Mandatory features have been added in the Nextgen Model –CCTV, Digital Signage & Pinpad device for all kind of payment mode.
• Nextgen Vakrangee model includes standardized Look & Feel and Branding as designed by renowned Store Brand consultants Lewis & Hickey.

KEY FEATURES – NEXTGEN VAKRANGEE KENDRA

KEY FEATURES

NEXTGEN VAKRANGEE KENDRA MODEL

NEXTGEN VAKRANGEE KENDRA MODEL

NEXTGEN VAKRANGEE KENDRA – OUR PRESENCE

48

HUGE UNTAPPED MARKET: OVERALL MARKET POTENTIAL

ADVANTAGE VAKRANGEE : OUR STRENGTHS

enabled banking

Tie up with Strong Partners & Access to Key Licenses Technology & Integration Expertise On Ground Field Presence till the Block Level Size and Scale with Strong Franchisee Model • Portfolio of key Licenses & Partnership empanelment's built over last 20 years • Have built a strong bouquet of products and services • Over two decades of System Integration Capabilities • Interoperable banking - Integration with the Core Banking servers of the Banks • Pioneer in Aadhaar based biometric • Field Level Hierarchy till Block level • Continuous Handholding and support to Franchisee to maintain smooth Operations and drive sales • Robust store Economics leading to strong growth in stores • Scale leading to emerge as a Partner of choice

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STORE ECONOMICS OF A NEXTGEN KENDRA

NextGen Outlet Estimated Revenue Per Store

NextGen Outlet Estimated Commission Sharing Ratio

NextGen Outlet Estimated Profit Margins %

NextGen Outlet Estimated Capex for Franchisee & Breakeven

Avg. Revenue per Month Rs. 0.1 mn *

Ranging from 65:35 to 80:20 based on Service Type

Vakrangee Margins Operational Gross Level – 18-20% Sustainable EBIDTA Level – 15-16%**

Total Capital Employed for Franchisee – Rs. 1.0 – 1.5 mn Breakeven Period In Months – 18-24

Note: * - Estimate Based on a mature store. Maturity is considered as more than 12 months old outlet.

** - EBIDTA Margins calculated on basis of reaching an Operating leverage of minimum 10,000 operational stores.

• Technology platform integrated with CBS of various banks, delivering real-time & interoperable banking access
• Biometric authentication enabling quick KYC and paper less banking
• Integration with all partner systems across E-Commerce, E-Governance, Insurance and Logistics
• Technical Support Available - Resources at block level trained to handle day-to-day IT glitches and troubleshooting

• Seamless connectivity through V-SAT or Broadband Internet

Security Specifications

• Defined User Policy -Authentication required for each and every user of the server; Secured and safe transactions

FRANCHISEE FOCUSED TEAM STRUCTURE

WHITE LABEL ATM – OPPORTUNITY

• India ranks low in the world in terms of ATM Density. We have ATM density of 210 ATMs per Million whereas developed countries like Canada have 2,141 ATMs per Million.
• Low ATM Penetration in Tier 3, 4, 5 and 6 cities creates Huge opportunity for WLAs to bridge the gap between Urban and Rural India
• As on April 2021, India had ~ 252,000 ATMs
• Vakrangee is 4th largest ATM Deployer in Rural India
• RBI WLA license to Vakrangee –
• Minimum of 1,000 WLAs to be deployed per year
• Maintain ATM deployment ratio of 1:2:3 (Metro / Urban : Semi Urban : Rural)

Benefits of Vakrangee WLAs Over Other Players

Sr. N o.	Operating Cost	Vakrangee	Peers
1	Rent Expense
2	Civil Work & Interiors
3	Internet Connectivity
4	Cash Management Charges
5	ATM Operational Costs
6	Security Guard

COMPETITIVE ADVANTAGES VAKRANGEE MODEL

COST SYNERGIES

• No requirement of security guard as the ATM is located inside the Vakrangee Kendra & monitored through centralized CCTV
• Sharing of Civil Work, Internet Connectivity, Rent and Electricity expenses
• CRA activity performed by Franchisee. No additional CRA Cost and dependency for First Line of Maintenance (FLM) calls

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UPDATE ON AWARDS & RECOGNITION

AWARDS & RECOGNITION

• Vakrangee makes history by setting GUINNESS WORLD RECORDSTM title for the Most stores launched simultaneously on 14th January 2019
• Launches 1107 Nextgen Vakrangee kendra stores across the country at 11.07 Am on the same day
• Overall the Company launched 3,300+ stores on a Pan India basis
• This is the highest number of stores opened anywhere in the world

• Vakrangee has been awarded as the best 'FINANCIAL SERVICES RETAILER OF THE YEAR' at the Indian Retail Awards 2019.
• Award recognises company's 'Nextgen Vakrangee Kendras' growth and customer satisfaction in 2018-19.
• The objective of the Indian Retail Awards is to recognize the Retailers who are closing the gap between operational reality and consumer expectations with great retailing practices.

AWARDS AND CERTIFICATIONS

• Vakrangee has been ranked amongst Top 100 Franchise Opportunities for the year 2021 by the Franchisee India in the Franchising World's Annual Survey.
• Vakrangee has been nominated in the 'India's Top 100 Franchisees' list by the Franchisee India Magazine in the January 2020 edition.
• Guinness World Records Title for the Most Stores Launched Simultaneously on 14th January 2019. Launches 1107 Nextgen Vakrangee Kendra stores across the country at 11.07 am on the same day
• Awarded as the best 'Financial Services Retailer of the year' at the Indian Retail Awards 2019
• CA Entrepreneur Path Breaker Award 2017 by Institute of Chartered Accountants of India
• Selected in the Fortune 500 Companies – Fortune India 2017
• Selected in the Super 50 Companies – Forbes India 2017
• Selected in the Top 50 BSE 500 Companies by Growth in M-Cap - Forbes India 2017
• Vakrangee has been features in 11 Indian companies, up from an all-time low of eight last year by Forbes Asia's Best Under a Billion list for 2015
• ET-500 Companies for 2013 as published by ET
• Nominated (top 5) for the best CEO (IT & ITes) by Business Today in January 2014
• 26th in the Deloitte Technology Fast 50 companies in India, 2012
• 18th in the Deloitte Technology Fast 50 companies in India, 2011
• 226th rank in Deloitte Fastest 500 growing Asia Pacific companies in 2011
• CA. Business Leader - SME (3rd Rank) of the Year Award, 2008 to the Chairman by Institute of Chartered Accountants of India

BOARD OF DIRECTORS TEAM

BOARD OF DIRECTORS

Strong Board of Directors

• Has about 40+ years of business experience. He has held several leadership positions in the Reserve Bank of RAMESH JOSHI India and has been Nominee Director on behalf of RBI on the Boards of Various Banks, and retired as an Non Executive Executive Director of SEBI. • He is also on the Panel of Arbitrators for NSE, BSE and MCX. • Holds a Bachelor's degree in Arts from the University of Nagpur and a Bachelor's degree in Law from the University of Nagpur.
• Has about 27+ years of business experience. Main functions and areas of responsibilities in the Company include policy formulation and decision making. • Has received a memento from the former Honorable President of India, Late Shri Shankar Dayal Sharma in 1996. NANDWANA • Recipient of the 'CA Business Leader - SME (3rd Rank)' award by the Institute of Chartered Accountants of India Managing Director for the year 1997. • Holds a Bachelor's degree in Commerce from Rajasthan University & is a certified Chartered Accountant from the Institute of Chartered Accountants of India.
DR NISHIKANT • Has about 25+ years of business experience in the information technology sector. HAYATNAGARKAR • Main areas of responsibility in the Company include software development, information technology compliance R&D and technical support. Holds a Doctorate in Computer Science from the Indian Institute of Technology, Mumbai

STRONG BOARD OF DIRECTORS

AVINASH VYAS Non Executive Independent Director	• Has wide experience in Audit Certification for externally aided projects funded by foreign agencies such as World Bank and its extended arms • Holds a Bachelor's Degree in Commerce and is LL.B (professional) which adds to his business acumen.
SUNIL AGARWAL Non Executive Independent Director	• Has over 25+ years of experience in business administration. He is an entrepreneur with varied business interests in the mining industry in Rajasthan. • Holds a Bachelor's degree in Commerce from the University of Rajasthan.
B. L. MEENA Non Executive Independent Director	• Has about 28+ years of experience, having served in various Government departments. A former Chief Commercial Manager, North Western Railways. • Holds a Master's degree in Arts from the University of Rajasthan and a Bachelor's degree in Law from the University of Rajasthan
Ranbir Datt Nominee Director	• Nominee Director (representing the Life Insurance Corporation of India) of our Company. • Joined LIC as Assistant Administrative Officer in 1984. Worked as Head of various channels in LIC of India viz., Deptt of Pension & Group Superannuation, Banking Assurance, Micro Insurance, Office Service & Estates etc. Presently Mr. Datt is Executive Director of Corporate Planning /New Projects.
SUJATA CHATTOPADHYAY Non Executive Independent	• Fellow member of the Institute of Cost Accountants of India and the Associate member of the Institute of Company Secretaries of India. • Has over 26+ years of experience across various industries and geographies - Choice Capital Advisors Private Ltd, Polygenta Technologies Ltd, Arysta LifeScience India Ltd, Steel Exchange India Limited.
Director H.C. MITTAL Non Executive Independent	• Mr. Mittal is a postgraduate and a certified associate from Indian Institute of Bankers. In his long and illustrious career of more than 37 years with Union Bank of India, he has held several leadership positions. • He possesses vast exposure and experience in various fields of banking administration across segments ranging from MSME, Retail, Agriculture, Import / Export & Financial Inclusion.

ANNEXURES

PHASE 1: INITIALLY AN E-GOVERNANCE PLAYER

PHASE 1: CSC & E-MITRA MODEL

Services Offered :

• E-Governance

OUTLETS WERE PRIMARILY TERMED AS "COMMON SERVICE CENTRE - CSC" OR "E-MITRA KENDRA" :-

• NON-EXCLUSIVE STORE MODEL
• SINGLE LINE OF SERVICE PRIMARILY E-GOVERNENCE SERVICES
• NO STANDARDIZED DESIGN LAYOUT & BRANDING
• KIRANA STORE MODEL

PHASE 1: INITIALLY AN E-GOVERNANCE PLAYER

PHASE 2: E-GOVERNANCE PLAYER TO A BANKING BC POINT MODEL

PHASE 2 : BANKING BC POINT MODEL

Services Offered :

• E-Governance
• Banking

COMPANY RECEIVED THE BUSINESS CORRESPONDENCE BANKING MANDATE AND STARTED THE BC POINT SERVICES THROUGH THE KENDRA –

• NON-EXCLUSIVE
• DUAL LINE OF SERVICE - E-GOVERNENCE & BANKING SERVICES
• NO STANDARDIZED DESIGN
• INITIATED STANDARD BRANDING IN TERMS OF BASIC SIGNAGE & HOARDINGS

PHASE 2: E-GOVERNANCE PLAYER TO A BANKING BC POINT MODEL

PHASE 3: E-GOVERNANCE PLAYER TO MULTI SPECIALITY STORE MODEL

Services Offered :

• E-Governance
• Banking
• Insurance
• ATM (Optional)

EVOLVED INTO A MULTI SPECIALITY STORE MODEL :–

• PLANNED AS AN EXCLUSIVE STORE MODEL
• MULTI-LINE OF SERVICES – BANKING, E-GOVERNENCE, INSURANCE, E-COMMERCE & OPTIONAL ATM SERVICES
• STANDARDIZED DESIGN
• INITIATED STANDARD BRANDING IN STORE LAYOUT AS WELL AS SIGNAGE
• PARALLEL EFFORTS TO ACTIVATE VARIOUS SERVICES ACROSS ALL OUTLETS AND CONVERSION TO EXCLUSIVE MODEL

• E-Commerce

PHASE 3: E-GOVERNANCE PLAYER TO MULTI SPECIALITY STORE MODEL

PHASE 4: E-GOVERNANCE PLAYER TO AN EXCLUSIVE NEXTGEN ASSISTED DIGITAL CONVENIENCE STORE

PHASE 4 : NEXTGEN KENDRA MODEL – ASSISTED DIGITAL CONVENIENCE STORE

Services Offered :

• E-Governance
• Banking & Financial Services

• E-Commerce

• Insurance

• ATM (Mandatory)
• Logistics

EVOLUTION INTO AN EXCLUSIVE ASSISTED DIGITAL CONVENIENCE STORE MODEL –

• EXCLUSIVE STORE MODEL
• MULTI-LINE OF SERVICES – BANKING & FINANCIAL SERVICES, E-GOVERNENCE, INSURANCE, E-COMMERCE, LOGISTICS & MANDATORY ATM SERVICES
• STANDARDIZED LAYOUT & DESIGN BY L&H (LEWIS & HICKEY)
• STANDARD BRANDING IN STORE LAYOUT AS WELL AS SIGNAGE
• ATM MANDATORY
• DIGITAL SIGNAGE & CCTV MANDATORY
• PINPAD DEVICES TO ENABLE ALL KIND OF PAYMENT MODES ACROSS SERVICES

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