1
About Diamond Finance
19
33
53
102
2011 2012 2013 2014F
Clients:
Founded in 2011, Diamond Finance is a Non-Banking Financi...
Loan Type Avg. Interest Rate (%) Avg. Amount (US$)
Consumer Loan 42% 4,235
Short Term Loan 48% 46,415
Portfolio Structure ...
Maximum Amount MNT 250,000,000 (US$175,000)
Maturity 1 - 24 months
Annual Initial Interest Rate 37.2% - 44.4%
Loan Analysi...
“for individuals and legal entities that have stable income through operations in manufacturing, trade, services or agricu...
Maximum Amount MNT 100,000,000 (US$70,000)
Maturity 1 – 12 months
Annual Initial Interest Rate 45.6% - 54%
Loan Analysis
-...
Name S. Sumiyadorj
Business Grocery shopping center
Loan amount MNT10,000,000 (US$5,700)
Monthly interest rate 4.0%
Collat...
Name G. Javkhlantugs
Business Construction Manufacturing
Loan amount MNT120,000,000 (US$70,000)
Monthly interest rate 4.0%...
Key Figures 12nd June 2014
Total Assets US$4.8 million
Gross Loan Portfolio US$4.2 million
Owners Equity US$1.4 million
Re...
Collateral by Type: Collateral by Cover:
Apartment
Car
Wages & other
1.0x-1.5x
1.6x-2.0x
2.1x-2.5x
2.6x- more
0-10 mil MNT...
INVESTMENT CASE
CORPORATEGOVERNANCE
11
Origination Initial Application Credit review- 2 step
process
Loan approval Ongoing Monitoring
 Direct and
indirect
Marke...
Byambajav B.
CEO
Enkh-Amgalan B.
Loan Officer
Oyuntuul B
Accountant
Enkhtogoo G.
CCO
Nominchimeg R.
CFO
Oyunbileg B.
Telle...
 Mr. Byambajav is the CEO of the company overseeing daily operations, the credit committee and managing
public relations
...
 Mr.Enkhtogoo joined Diamond Finance in 2011 as its Chief Credit Officer and is in charge of marketing
strategy, daily cr...
Group Structure
 Diamond Finance LLC (“DF LLC”) is the operating company for
Diamond Finance NBFI
 DF LLC is a wholly ow...
Do’s
 Focus on credit/repayment
 Pay attention to market fundamentals
 Separate loan origination and approval
 Emphasi...
INVESTMENT CASE
MACROECONOMICFUNDAMENTALS
18
Source: World Bank 2013
0%
5%
10%
15%
20%
25%
2010 2011 2012 2013 2014 2015 2016
Mongolia
Global
Observed and Forecast Cha...
0%
2%
4%
6%
8%
10%
12%
14%
16%
18%
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec
2013
2014
While government policy has a...
0
50
100
150
200
250
300
350
400
450
2010 2011 2012 2013
NBFI Asset (bil. MNT)
0
50
100
150
200
250
300
2010 2011 2012 201...
INVESTMENT CASE
BUSINESSPLAN
22
24%
42%
48%
Average Loan Interest Rate
Banks NBFIs Diamond Finance
Comparative Performance
POTENTIAL to GROW due to:
 Str...
43%
22%
36%
5%
Portfolio Yield Net Income
Portfolio Yield and Net Profit as a
Percentage of Total Gross Loan Portfolio
Dia...
0
1,000
2,000
3,000
4,000
5,000
6,000
2014F 2015F 2016F
Net Profit
Gross Loan Portfolio
Growth Forecast (Thousand USD)
25
INVESTMENT CASE
HISTORICALFINANCIALPERFORMANCE
26
Description
Audited 2011
(USD)
Audited 2012
(USD)
Audited 2013
(USD)
Asset 324,249 971,673 2,341,352
Liabilities 2,256 478...
Indicators 2011 2012 2013
Portfolio Yield 51.0% 63.7% 64.5%
- Provision expense ratio 0.9% 1.2% 6.3%
- Funding expense rat...
Indicators 2011 2012 2013
GLP Growth - 214% 165%
Liquidity ratio 12.1% 11.6% 19.0%
Debt/Equity ratio 0.0 0.9 1.5
Capital A...
Items 2011 2012 2013
Operational Expense Ratio 25.5% 14.4% 7.2%
Cost/Income ratio 50.2% 41.3% 33.2%
Operational Self Suffi...
Loan size
(US$)
Client
number
Total loan size
(US$)
Percentage
based on
total value
Product
type
# of
loans
Amount by type...
Aging Amount due (US$) Delinquent Loans Collateral Cover Amount (US$)
1-90 23,354 1% 158,820
91-180 84,320 5% 204,668
181-...
Process
1. We actively monitor our portfolio to identify problem situations before loans become delinquent
2. Once a loan ...
INVESTMENT CASE
INVESTMENTOPPORTUNITY
34
Competitive Advantage
 Superior Returns and High-Quality Assets
 Favorable Macroeconomic Conditions
 35+ Years Manageme...
Borrower
Diamond Finance Limited, a company incorporated in Hong Kong and a wholly owned
subsidiary of Asia Pacific Invest...
Asia Pacific Investment Partners (“APIP”) is a Mongolia focused operating group that owns a number of subsidiaries related...
Other
Real Estate
Development
Construction
Services
Real Estate Agency Cement Production SME Lending Various
- Owns the la...
FOR MORE INFORMATION
stuart@apipcorp.com
Upcoming SlideShare
Loading in …5
×

Diamond Finance

576 views

Published on

Published in: Business, Economy & Finance
0 Comments
0 Likes
Statistics
Notes
  • Be the first to comment

  • Be the first to like this

No Downloads
Views
Total views
576
On SlideShare
0
From Embeds
0
Number of Embeds
77
Actions
Shares
0
Downloads
6
Comments
0
Likes
0
Embeds 0
No embeds

No notes for slide

Diamond Finance

  1. 1. 1
  2. 2. About Diamond Finance 19 33 53 102 2011 2012 2013 2014F Clients: Founded in 2011, Diamond Finance is a Non-Banking Financial Institution (NBFI) which provides loans and currency exchange services to support SMEs and individuals’ financial needs. NBFIs in Mongolia are regulated by the Financial Regulatory Commission and offer loan products to SMEs and individuals at competitive rates, and serve as an alternative to other financial institutions such as Banks. 2
  3. 3. Loan Type Avg. Interest Rate (%) Avg. Amount (US$) Consumer Loan 42% 4,235 Short Term Loan 48% 46,415 Portfolio Structure by Collateral: Apartment Collateralized Car Collateralized Other CollateralTypical Loan Collateralization: 200% Lending Activity 3
  4. 4. Maximum Amount MNT 250,000,000 (US$175,000) Maturity 1 - 24 months Annual Initial Interest Rate 37.2% - 44.4% Loan Analysis - Analysis of business - Analysis of proposed project Repayment Monthly interest payments Flexible principle payments possible Collateral Immovable Property or other assets Collateral Amount 150% of Loan Amount Disbursement Cash or bank transfer Typical loan types:  SME loan  Micro loan Products: Business Loan “typically for Micro and SME business owners and enterprises that operate in manufacturing, trade, services or agricultural sectors.” 4
  5. 5. “for individuals and legal entities that have stable income through operations in manufacturing, trade, services or agricultural sectors.” Maximum Amount MNT 20,000,000 (US$14,000) Maturity 1 - 18 months Annual Initial Interest Rate 18% - 48% Loan Analysis - Credit analysis - Income and employment verification - Total loan < 60% net salary Repayment Monthly interest payments Flexible principal payments possible Collateral Immovable Property, salary Collateral Amount 165% Cover Disbursement Cash or bank transfer Typical loan types:  Standard consumer loan  Employee consumer loan Products: Consumer Loan 5
  6. 6. Maximum Amount MNT 100,000,000 (US$70,000) Maturity 1 – 12 months Annual Initial Interest Rate 45.6% - 54% Loan Analysis - Analysis of available collateral - Analysis of stable income Repayment Monthly interest payments Flexible principal payments possible Collateral Immovable Property, Automobile, Yard, Other Collateral Amount 120-150% of Loan Amount Disbursement Cash or bank transfer “high-yield loans for individuals with short term cash flow needs” Typical loan types:  Apartment collateralized  Car title loan  Car collateralized  Old car leasing  Yard collateralized Products: Short Term Loan 6
  7. 7. Name S. Sumiyadorj Business Grocery shopping center Loan amount MNT10,000,000 (US$5,700) Monthly interest rate 4.0% Collateral Vehicle Name D. Myagmarsuren Business Physical Therapy Loan amount MNT50,000,000 (US$28,500) Monthly interest rate 4.5% Collateral Service Center Our Clients 7
  8. 8. Name G. Javkhlantugs Business Construction Manufacturing Loan amount MNT120,000,000 (US$70,000) Monthly interest rate 4.0% Collateral Apartments Name D. Nyamsuren Business Lump sugar manufacturing Loan amount MNT35,000,000 (US$20,000) Monthly interest rate 4.0% Collateral Apartments Our Clients 8
  9. 9. Key Figures 12nd June 2014 Total Assets US$4.8 million Gross Loan Portfolio US$4.2 million Owners Equity US$1.4 million Return on Equity 41% Number of Borrowers 70 Average Maturity 6 months Portfolio at Risk > 180 Days 11% Ownership Structure: Asia Pacific Investment Partners LLC – 100% Current Position 9
  10. 10. Collateral by Type: Collateral by Cover: Apartment Car Wages & other 1.0x-1.5x 1.6x-2.0x 2.1x-2.5x 2.6x- more 0-10 mil MNT 10-50 mil MNT 50-100 mil MNT 100-150 mil MNT 150-200 mil MNT 200-250 mil MNT Loan Size: Total collateral value: MNT6,980m (US$4m) Total loan portfolio: MNT2,906m (US$1.65m) 100% of Our Portfolio is Secured 10
  11. 11. INVESTMENT CASE CORPORATEGOVERNANCE 11
  12. 12. Origination Initial Application Credit review- 2 step process Loan approval Ongoing Monitoring  Direct and indirect Marketing & Advertisement  Loan reconstruction  Client referral Loan officer interview with Customer about:  Business operation &  Collateral  Diamond loan conditions  Required materials  Physical check of the collateral  Physical check of business operation  Loan application analysis  Prepare proposal  Introduce the proposal to the Credit Committee (CEO, CCO, CFO, 2 other loan officers )  Credit committee checks if everything is in accordance with Mongolian laws, regulations & Diamond Finance internal loan policies  2nd review of client’s repayment ability  Final approval of each loan by APIP senior Management  Finance department checks for the contract completeness before issuing the cash  Regular review of NPLs  Physical check of business and asset every 3 or 6 months depending on the loan product  Monthly interview with the client regarding their business operation and loan performance  Reporting to APIP senior Management on any problem loans  Collateral Enquiry  Review of borrower credit history  Financial Statements /Projections Our Loan Approval Process 12
  13. 13. Byambajav B. CEO Enkh-Amgalan B. Loan Officer Oyuntuul B Accountant Enkhtogoo G. CCO Nominchimeg R. CFO Oyunbileg B. Teller Ganzorig P. Loan Officer Tsolmonchimeg L. Accountant Nanzaddulam B Loan Officer Total Employees: 9 with total 35+ years experiences in Micro Finance industry Organizational Structure APIP Management & Board of Directors 13
  14. 14.  Mr. Byambajav is the CEO of the company overseeing daily operations, the credit committee and managing public relations  He started his career at Khan Bank in 2003 as an Auditor where he oversaw 65 branches and detected 800 million MNT in misstatements due to bank officers’ errors or fraud. He became Senior Auditor later that year.  In 2004, he joined Credit Mongol as a Senior Auditor and in 2006, he was promoted to CFO where he was in charge of daily financial operations, monitoring and preparing the accounting policies manual and implemented the accounting information and bonus systems. He also supervised a 1.5 million Euro Microcredit Line mutual project between KFW, the Mongolian government and Credit Mongol, as well as successfully leading a project team for international funding organizations such as Planet Finance, Oiko Credit, BlueOrchard, Kiva, Developing World Market and Symbiotics.  He attended high level Microfinance conferences as a company representative in 2008 and 2010.  Mr. Byambajav is a MBA from University of Humanities and pursued his Bachelors degree in Statistics and Economics from National University of Mongolia. Byambajav Bandi, CEO Management Biographies 14
  15. 15.  Mr.Enkhtogoo joined Diamond Finance in 2011 as its Chief Credit Officer and is in charge of marketing strategy, daily credit operations and risk management.  From 2004-2011 he worked at Credit Mongol NBFI LLC as a Loan officer, Internal Auditor, Finance Manager, Branch Director and Risk Manager. During his employment with Credit Mongol, he successfully prepared and implemented loan policies and procedures, and received awards several times for the profit he generated as well as for his work in lowering credit risk and NPLs.  Mr. Enkhtogoo graduated from Mongol Business School with a Bachelors of Tax audit. Enkhtogoo Gombosuren, CCO  Ms. Nominchimeg is the Chief Financial Officer of the company and is responsible for all financial operations.  Before joining Diamond Finance, she worked at Deloitte as an audit and advisory associate and performed audit and commercial due diligence work for clients in various sectors including; security, mining and banking. She was transferred from Tavan Bogd Cosmetics as a foreign relations manager to JV of Tavan Bogd Group and Marubeni corporation, where she implemented internal organizational and labor policies effectively as a HR manager.  Ms. Nominchimeg is a Business Mentor at Youth Business Mongolia, supporting young entrepreneurs in Mongolia.  She graduated from Colorado State University with a Bachelors in Accounting and Business Administration. Nominchimeg Rinchinjugder, CFO Management Biographies 15
  16. 16. Group Structure  Diamond Finance LLC (“DF LLC”) is the operating company for Diamond Finance NBFI  DF LLC is a wholly owned subsidiary of Asia Pacific Finance LLC, with its ultimate holding company being Asia Pacific Investment Partners Limited HK (“APIP Group”)  Diamond Finance Limited (HK) raises third party debt financing and provides the proceeds to DF LLC Board of Directors and Governance  The Board of Directors of APIP oversee the operation of Diamond Finance as part of their broader Group oversight responsibilities  Lee Cashell is the sole director of APF LLC and Byambajav Bandi is the sole director of DF LLC. Mr Cashell is the CEO and a director of APIP Group, and Mr Bandi is CEO of DF LLC  There are no special shareholder agreements within the entities and the company charters can be provided if required Asia Pacific Finance LLC (Mongolia) Diamond Finance LLC (Mongolia) Asia Pacific Investment Partners Limited (HK) 100% 100% Diamond Finance Limited (HK) 100% Intercompany loans Shareholder Overview 16
  17. 17. Do’s  Focus on credit/repayment  Pay attention to market fundamentals  Separate loan origination and approval  Emphasize security and collateral value  Take physical possession of collateral  Actively monitor every loan  Evaluate Loan officer performance over the life of the loan  Monitor portfolio exposure to: o Currency o Underlying industry o Loan size Don’ts  Approve every loan  Focus on fees and higher rates at expense of credit  Ignore underlying collateral value  Ignore cashflow and ability to repay  Believe optimistic borrower projections  Lend long  Compensate staff for loan volume Our Credit Standards 17
  18. 18. INVESTMENT CASE MACROECONOMICFUNDAMENTALS 18
  19. 19. Source: World Bank 2013 0% 5% 10% 15% 20% 25% 2010 2011 2012 2013 2014 2015 2016 Mongolia Global Observed and Forecast Change in GDP Although Mongolian GDP growth has slowed due to the poor performance of the mining sector, it still remains one of the highest growth economies globally 19
  20. 20. 0% 2% 4% 6% 8% 10% 12% 14% 16% 18% Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec 2013 2014 While government policy has attempted to control inflation, it remains high due to exchange rate movements and Mongolia’s reliance on imports. Despite this, Diamond Finance’s monthly rates have remained relatively constant Inflation Source: World Bank 2013 20
  21. 21. 0 50 100 150 200 250 300 350 400 450 2010 2011 2012 2013 NBFI Asset (bil. MNT) 0 50 100 150 200 250 300 2010 2011 2012 2013 Number of NBFIs operating in the market Mongolian NBFI Market Growth Despite the economic down turn over the last couple years, NBFI Assets and the number of NBFIs operating in the market are growing due to strong demand 21
  22. 22. INVESTMENT CASE BUSINESSPLAN 22
  23. 23. 24% 42% 48% Average Loan Interest Rate Banks NBFIs Diamond Finance Comparative Performance POTENTIAL to GROW due to:  Strong brand name  Powerful shareholder base  International investor network  Experienced human resources in the investment banking and micro finance industries  Significant demand from borrowers 23
  24. 24. 43% 22% 36% 5% Portfolio Yield Net Income Portfolio Yield and Net Profit as a Percentage of Total Gross Loan Portfolio Diamond Global Superior Cost Structure and Higher Returns 24 7% 21% 2% 7% 2% 2% Diamond Finance Global Average Provision Expense 2% 2% Funding Expense 2% 7% Operating expense 7% 21% Costs as Percentage of Total Asset Operating expense Funding Expense Provision Expense
  25. 25. 0 1,000 2,000 3,000 4,000 5,000 6,000 2014F 2015F 2016F Net Profit Gross Loan Portfolio Growth Forecast (Thousand USD) 25
  26. 26. INVESTMENT CASE HISTORICALFINANCIALPERFORMANCE 26
  27. 27. Description Audited 2011 (USD) Audited 2012 (USD) Audited 2013 (USD) Asset 324,249 971,673 2,341,352 Liabilities 2,256 478,068 1,421,970* Owners Equity 321,993 493,606 919,326 Revenue 69,700 338,613 817,948 Expense 39,707 167,001 414,880 Net Profit 29,993 171,613 403,068 MNT/USD 0.00073 0.00073 0.00062 * Includes a 600 million MNT shareholder loan that we are in the process of converting into equity Financial Growth History 27
  28. 28. Indicators 2011 2012 2013 Portfolio Yield 51.0% 63.7% 64.5% - Provision expense ratio 0.9% 1.2% 6.3% - Funding expense ratio 0.1% 6.6% 8.1% - Operating expense ratio* 25.5% 14.4% 7.2% = Net margin 24.4% 41.5% 42.8% ROE (net operating income + tax)) 18.6% 41.9% 62.6% ROA (net operating income + tax)) 18.5% 26.3% 25.0% * Because APIP is the parent company of Diamond Finance NBFI, our operating expense is lower Profitability 28
  29. 29. Indicators 2011 2012 2013 GLP Growth - 214% 165% Liquidity ratio 12.1% 11.6% 19.0% Debt/Equity ratio 0.0 0.9 1.5 Capital Adequacy Ratio 112.9% 57.5% 48.5% Total lending activity (%portfolio in assets) 83% 83% 77% Open Currency Position* - 19.1% 37.3% % of portfolio lent in USD - 41% 22.8% Loan loss reserve ratio 0.5% 0.9% 4.8% * In 2011, Diamond Finance did not have any assets or liabilities in any foreign currencies however, starting from 2012, DF started borrowing USD funds. This ratio illustrates the foreign exchange risk of these liabilities. Financial Management 29
  30. 30. Items 2011 2012 2013 Operational Expense Ratio 25.5% 14.4% 7.2% Cost/Income ratio 50.2% 41.3% 33.2% Operational Self Sufficiency 192% 232% 232% Financial Self Sufficiency 105% 178% 161% Loan officer productivity (clients) 6 11 20 Loan officer productivity (USD) 88k 263k 586k Staff productivity (clients) 3 6 8 Staff productivity (USD) 44k 132k 220k Number of Staff 4 6 9 Number of loans* 19 33 53 Average loan size (MNT) * 19,387k 33,334k 54,883k * at year end Efficiency 30
  31. 31. Loan size (US$) Client number Total loan size (US$) Percentage based on total value Product type # of loans Amount by type (MNT) Secured vs. Non-Secure Government tender related loans* 0-5.7k 20 38,934 2.36% Employee 10 22,549 Secured 5% Short-Term 3 6,200 Consumer 7 10,185 5.7k-28.5k 11 181,925 11.03% Short-Term 10 174,154 Secured 9% Consumer 1 7,771 28.5k-57k 14 653,509 39.64% Short-Term 13 614,104 Secured 0% Consumer 1 39,406 57k-85.5k 2 160,141 9.71% Short-Term 2 160,141 Secured 100% 85.5k-114k 5 472,388 28.65% Short-Term 5 472,388 Secured 20% 114k- 142.5k 1 141,804 8.6% Short-Term 1 141,804 Secured 100% Total: 53 1,648,701 53 1,648,701 * The government tender related loan percentages are calculated based on the number of clients Loan Portfolio Breakdown YE 2013 31
  32. 32. Aging Amount due (US$) Delinquent Loans Collateral Cover Amount (US$) 1-90 23,354 1% 158,820 91-180 84,320 5% 204,668 181-360 900 0% 2,365 361- Up 56,721 3% 166,761 Total 165,293 9% 532,615 Notes  Due to political risks, and currency depreciation, our delinquent loan ratio increased from 5% to 9% in 2013. The biggest driver of this increase is due to the fact that the government is low in reserves and has delayed tender job accounts payables. Approximately two thirds of the total NPL amount is related to government budget issues.  We expect the government will pay all its payables and we will recover all of our related loan proceeds with no loss sustained.  Diamond Finance values its client relationships and tries its best to understand the clients’ situations, negotiate with them and allow a grace period before taking any actions through court. NPLs as of YE 2013 32
  33. 33. Process 1. We actively monitor our portfolio to identify problem situations before loans become delinquent 2. Once a loan becomes past due, we call the borrower and send him/her a past due notice within a week 3. If we have not received a response after 10 days, the CCO and his team call the borrower on a weekly basis, visiting their home and work to negotiate a resolution 4. Depending on the borrower’s situation, after six months or so, if we have not resolved the situation, the CEO will initiate a court proceeding Resolving Our NPLs Performance  Throughout history we have only needed to take one borrower through the court system. This case is still proceeding. The remainder of our loans have been repaid in full.  We have over MNT294 million market price collateral cover for the MNT100 million loan in the court system and expect full recovery of our principal. 33
  34. 34. INVESTMENT CASE INVESTMENTOPPORTUNITY 34
  35. 35. Competitive Advantage  Superior Returns and High-Quality Assets  Favorable Macroeconomic Conditions  35+ Years Management Experience  Active Oversight by Senior Credit Committee  Advanced Lending Technology  Powerful Management Information System (MIS)  Successful operating group as parent company, significantly reducing cost base 35
  36. 36. Borrower Diamond Finance Limited, a company incorporated in Hong Kong and a wholly owned subsidiary of Asia Pacific Investment Partners Limited (APIP) Lenders Individual lenders with a minimum loan size of US$50,000, increasing in multiples of US$10,000 Facility Up to US$3 million to be split into three (3) tranches of US$1 million Term Two (2) years from the end of each tranche close Repayment In full at the term of the Facility Margin 1,300 bps per annum Interest Period 6 months in arrears Security Package Guaranteed by Asia Pacific Investment Partners HK Governing Law and Jurisdiction Laws of Hong Kong and subject to the exclusive jurisdiction of Hong Kong courts Timetable to Close of Second Tranche 4 to 6 weeks Investment Opportunity 36
  37. 37. Asia Pacific Investment Partners (“APIP”) is a Mongolia focused operating group that owns a number of subsidiaries related to property development, cement and financial services. Apart from our number of developments in both the commercial and residential sectors over the years, APIP has a strong asset base, which includes one of the largest and most highly valued land banks in the country and the only cement producing facility in the capital. Apart from our cement production and property development companies, APIP successfully manages a prudent lending business with significant collateralization and highly attractive rates. In addition, APIP owns a top tier brokerage and underwriting company. The cement factory’s future long term growth is underpinned by a strategically placed limestone deposit and the land bank provides key sites for APIP’s ten year property development pipeline. To date, APIP has successfully designed, constructed, marketed, managed and fully sold five major residential and mixed-use developments in Ulaanbaatar. It is currently building its next two developments. The larger of the two is the the Olympic Residence, which is a mixed-use development with 97 luxury residential units and four floors of retail and leisure facilities. The second is the Village at Nukht; a 9,000 sqm plaza consisting of retail, F&B, office and entertainment venues. APIP has also successfully obtained a securities and underwriting license and a non-banking financial institution license. Asia Pacific Securities is now one of the most active brokerage firms on the country’s burgeoning stock market and Diamond Finance is successfully lending to SMEs at up to 4.0% per month. APIP is forecast to return approximately US$ 33 million in net income for 2014. The Guarantor 37
  38. 38. Other Real Estate Development Construction Services Real Estate Agency Cement Production SME Lending Various - Owns the land bank - Acts as the developer for all APIP projects - Provides construction services to APL and 3rd party clients - Sales and leasing services to APL and 3rd party customers - Property management services - Produces and sells 80,000 tons of cement to MPCC and 3rd party customers - Secured loans to small businesses and individuals - Asia Pacific Securities - Held for rental income real estate - Other businesses An integrated business model reduces operational risk and increases margin capture 2014E revenues (US$m)1: 13.0 4.3 3.0 7.9 2.8 1.6 % of Total: 40% 13% 9% 24% 9% 5% Employees: 8 40 38 23 9 35 1Unconcolidated revenues, before inter-company consolidation eliminations; assumes USD:MNT exchange rate of 1,700 The Guarantor – Company Overview
  39. 39. FOR MORE INFORMATION stuart@apipcorp.com

×