India is the fourth-largest producer of crude steel in the world and is expected to become the second-largest global producer by FY16 (2015–16) with a targeted production capacity of 120 million tones. During FY09, India was the largest producer of direct reduced iron (DRI) in the world. The Indian steel industry contributes about two percent of the country's Gross Domestic Production. The Ministry of Steel anticipates demand to grow at over 10% annually. The Indian cement industry is the 2nd largest market after China. It had a total capacity of about 260m tonnes (MT) in FY10. The top five players alone control over 60% of the total industry capacity. However, the balance capacity still remains quite fragmented. The resurgence in automotive appliances, capital goods and construction sectors have directly contributed towards companies looking at expanding their steel and cement capacities and there exists a clear case of consolidation within these industries. Eternus Capital's extensive knowledge of these sectors and the issues that are driving operational and strategic changes enables us to assist our clients looking at acquisition opportunities of steel and cement projects where they can unlock significant value.

India is one of the fastest growing economies in the world. An efficient transport system is a pre- requisite for sustained economic development. We believe that the 3 year growth potential for NHAI's road construction projects at 34 % based on the assumption that NHAI would manage to award 7,500 Km of projects in FY11 and 10,000 Km each in FY12 and FY13 which would be in line with the Planning Commission's targets. We are beginning to see an increase in structured transactions as far as raising funds for such projects is concerned .BOT projects in the road segment can look at equity infusion by either a stake sale at the holding company or stake sale at the project SPV level. India plans to award $50 billion of road projects in the fiscal year ending March 2011, and expects private investors to fund as much as 70 percent of the amount. The government allows 100 percent foreign direct investment in this sector. We believe that strong traffic growth in India is likely to improve project viability as a result of which road projects will continue to attract capital. The need for infrastructure investment in road projects is likely to grow and Eternus is well positioned to provide strategic investment advisory in this segment. We believe that investments in this sector offers attractive risk-return fundamentals and there exists clear opportunities where we can add value through our experienced team, internal resources, operational understanding and extensive network.