About VERMA INFRA PROJECT

---

The strategic plan 2021-2023 serves VIP’s corporate purpose to provide clients with best-in-industry capabilities, contribute to the global movement toward sustainability, provide employees a safe and rewarding work environment and generate attractive returns for shareholders.

VIP’s strategic plan is aimed at the significant and expanding part of the construction industry being driven by clients’ growing emphasis on sustainability. Clients are increasingly demanding resource conservation, energy efficiency and carbon reduction during the design, construction and operational phases of their projects. Another major market trend is the substantial shortage of housing. These are areas where VIP has strong experience and expertise and is investing to expand its capabilities.

VIP will focus on growing its business in the Spain, France, Japan, United Kingdom and Ukraine. These are the markets where VIP has by far the largest scale. In these countries, VIP starts with top-3 positions in both the Construction and Property (and the Civil engineering business lines and with a strong and growing position in Public Private Partnerships (PPP).

In these markets, VIP will focus its portfolio, strive to business excellence and product leadership, and grow life-cycle solutions, providing clients with innovative and sustainable design, development, construction and facilities management solutions that can be integrated.

VIP will prioritise projects where such innovation is replicable, in order to reduce risk and increase profitability. Examples include:

• Offering energy/climate-neutral residential concepts for new build schemes and      refurbishment programmes for social housing cooperatives;
• Rolling out sustainable lifecycle energy solutions for offices and homes (ESCos);
• Focussing on two-stage tenders, framework agreements and repeat business.

VIP’s activities in U.A.E., Nigeria and Sri Lanka, markets where scale, risks and competitive dynamics have been more challenging will be managed for value through further operational improvement actions and, potentially, divestments. VIP will be selective in its order intake while maintaining optimal services to clients, efficiency of operations and commitment to employee safety and development.

The strategic plan will specifically focus on improving VIP’s risk/reward profile. As such, VIP will move its project portfolio away from large unrewarded risk by limiting the size of single-stage, lump sum tenders in which it will participate in its Construction and Property, and Civil engineering businesses to €150 million.