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STERLITE INDUSTRIES

Presented by
Thanseef
Thushara
Veena
Company overview
Sterlite Industries India Limited (SIIL) is the principal
subsidiary of Vedanta Resources plc, a diversified and
integrated FTSE 100 metals and mining company, with
principal operations located in India and Australia.
Sterlite is India's largest non-ferrous metals and
mining company and is one of the fastest growing
private sector companies. Sterlite is listed on BSE, NSE
and NYSE. It was the first Indian Metals & Mining
Company to list on the New York Stock Exchange.
Our primary businesses; Aluminum, Copper, Zinc &
Lead and Commercial Energy.
Vision
VISION 2015
 
To be the world’s leading copper producer delivering
sustainable value to all stakeholders by leveraging
technology and best practices.
Mission
MISSION

To build a knowledge and process driven organization through TPM


To create sustainable value through safe, clean and green processes
To sustain leadership position in domestic and global market
through market development and customer delight.
To be the best and most respectable corporate citizen
To leverage technology to its full potential across the business cycle
To harness the profitable and growing CCR/value added product
from 240KMT to 600 KMT per annum.
To achieve Zero cost and beyond
To secure raw material through long term contracts and captive
mines
Strategy
Strategy
 
 Our goal is to generate strong financial returns and create a
world-class metals and mining company. To achieve this goal,
we intend to take full advantage of our competitive strengths.

 Key elements of our strategy include:


 Increasing our capacities through Greenfield and Brownfield
projects.
 Leveraging our project execution and operating skills and
experience in building and operating captive power plants to
develop a commercial power generation business
Continuing to focus on asset optimization and
reducing the cost of production
Seeking further growth and acquisition
opportunities that leverage our transactional,
project execution and operational skills
Consolidating our corporate structure and
increasing our direct ownership of our underlying
businesses to derive additional synergies as an
integrated group
Management
 Mr. Anil Agarwal – Chairman
 Mr. Navin Agarwal - Executive Vice-Chairman
 Mr. Berjis Minoo Desai - Non - Executive Director
 Mr. Gautam Bhailal Doshi - Non Executive Director
 Mr. Sandeep H. Junnarkar - Non Executive Director
 Mr. DD Jalan – Whole Time Director
 Chief Executives:
 Mr. Ramesh Nair -Chief Operating Officer
 Mr. Vinod Bhandawat -Chief Financial Officer
Strength
Strength
 High quality assets and resources that make us a low-cost
producer of copper and zinc.
 Substantial market shares across the copper, zinc and
Aluminum metals markets in India
 Numerous new projects in the pipeline that will enable us
to expand our production.
 Experienced and focused management with strong project
execution and acquisition skills.
 Ability and capacity to finance world-class projects.
 Diversified business model with presence in commodities
like Zinc, Aluminium & Copper
 through its subsidiary Hindustan Zinc Ltd (HZL) and
Bharat Aluminium Company Ltd (BALCO).
 • One of the lowest cost producers for all its businesses. The
cost of production of its businesses
 is as follows:
 Copper – 1.8cents/lb
 Aluminium - $1720 per tonne
 Zinc - $640-650 per tonne (excluding royalty)
Weakness
Weakness
• Higher dependence on Zinc business, which
contributed 68.4% of its operating profit for
FY08 followed by aluminium and copper each
contributing 16.8% and 14.8% respectively.
• Absence of backward integration for its copper
and aluminium business (new Korba facility)
curbs the company from achieving optimum
benefits of higher prices on the LME.
Opportunity
 Foray into commercial power generation of
2400MW would further diversify the
businessmodel of the company, allowing the
management to leverage their experience of
operatingthermal coal based captive power plants.
• Call option to acquire the government’s stake of
29.5% in Hindustan Zinc Ltd and 49% in
BALCO along with the acquisition of ASARCO
which is pending due to legal complications.
Threats
• A sharp drop in the global commodity demand due to rising
interest rates, inflation and aslow down in global economies,
could adversely impact Sterlite’s consolidated performanceas
it might drag LME prices lower. 
Inability to consolidate its other businesses where the
government holds a substantial stakecould adversely impact
the long term plans of utilizing the strong cash flows
generated by itssubsidiaries for other projects.
• Inability to complete the commercial power generation
project on time and as per agreement,
could lead to substantial losses and penalties.
Thank u…………….

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