Acme Tele Power to enter capital mkt, files DRHP with Sebi

v      Green Shelter- a comprehensive solution including, customized fibre glass reinforced plastic ("FRP")/nano-cooled enclosures that house the cell site equipment, including transmitters and receivers, power interface unit ("PIU"), thermal management system and air conditioners, and can be built according to customer specifications;

The following products are included as part of the Green Shelter, and are also provided on a standalone basis:

v      FRP/Nano-Cooled Shelter - shelter with a special coating on the outer skin which increases the reflective index to more than 70% (based on management representations) thereby reducing solar gain into the shelter, and increases the life of the shelter;

v      PIU  - a device which, maximizes the utilization of grid power and integrates all electrical needs on-site into a footprint of 400x600 millimeters, by regulating low quality power supply by correcting voltage and frequency, automatic phase selection, and lightning and surge protection

v      Thermal Management System - A system which controls the temperature inside housing or a shelter, comprising of panels fitted with PCM. The panels are used inside the shelters to maintain the temperature inside the shelter.  It provides a back up during power failures and reduces the need to run diesel generators.

v      Air Conditioning ("AC") with Free Cooling Unit - a telecommunications air conditioning solution that maintains the temperature without running the AC, when the ambient temperature drops below 25 degrees centigrade, thereby lowering the overall running costs associated with using the AC.

In addition, Acme supplies specialized products, such as Line Conditioner Units ("LCU") and fuel cells to complement other passive infrastructure solutions.

In August 2006, Acme's operations were certified as ISO 9001:2000 compliant.  This certification applies to its offices and facilities in Gurgaon, Manesar and Pantnagar and covers the design, manufacture, marketing, servicing and installation of telecommunications equipment.  In March 2007, it was conferred "The Valued Partner Award of the Year 2006" by Bharti Airtel Limited in recognition of its overall performance in the passive infrastructure equipment category.

In October, 2007, Acme acquired 100% shares of Reime Network Implementation Services ("Reime") for US$11.00 million.  Reime is based in Norway and works with telecommunication companies and technology vendors, focusing on emerging markets.  Reime develops and maintains wireless and wireline telecommunication infrastructure across seven countries in Africa.  Reime's specific products and solutions include assisting with the roll-out of wireless networks, providing pre-fabricated materials to use at base sites (for cell towers), building towers and building switch yards.  Reime is an ISO 9001:2000 certified company. Acme intends to leverage Reime's relationships with telecommunication operators in Africa to market its products and solutions.

As of September 30, 2007, Acme had five patents registered in its name and had made applications for three further patents, one of which is pending final notification of grant.  The Company intends to continue to invest in its research and development activities, leverage the R&D initiatives and set-up of its holding company, MKU Holdings Limited, and to seek appropriate protection for intellectual property assets.

The Company's net turnover increased from Rs.345, 887 thousand in fiscal 2004, to Rs. 6,474,538 thousand on consolidated basis, in fiscal 2007, registering a CAGR of 165.5%. The EBIDTA margins for the corresponding periods were 29.4% and 37.6% respectively and net profits were Rs. 93,962 thousand and Rs. 2,283,318 thousand on consolidated basis, for fiscal 2004 and fiscal 2007 respectively, registering a CAGR of 189.6%. The Company's solutions are currently focused in two main areas: manufacture and sale of telecommunications passive infrastructure hardware and provision of installation and annual maintenance services, which accounted for 95.9%and 4.1%respectively, of the total income on stand alone basis for fiscal 2007.