IFCILimitedBSE500106 CIQReportLandscape

IFCI Limited (BSE:500106)
IFCI Limited, together with its subsidiaries, provides various financial services for industrial
sector in India. It offers debt products, such as short, medium, and long term loans, as well as
Company Status
loans against future lease rentals and shares; invests in IPO, right issue, qualified institutional
placement, warrants, etc.; invests in listed and unlisted companies; and trades in the secondary
Operating
market, including equity derivatives. The company also provides corporate advisory services,
including project consulting, mergers and acquisitions, disinvestment/bid process management,
joint venture/PPP advisory, corporate restructuring, and bidding advisory; and infrastructure
Website advisory services for roads, ports, and power and urban infrastructure, as well as monitors
public issues for carrying out of post-issue due diligence, ascertaining the utilization of issue
www.ifciltd.com funds, and preparation and submission of reports to SEBI. In addition, it operates as a nodal
agency for monitoring of sugar development fund loans; and debenture trustee for debenture
issues, as well as provides credit enhancement guarantee scheme for scheduled castes.
Further, the company provides factoring services; and stock and commodities broking, currency
Primary Industry
trading, portfolio management, depository participant, merchant banking, insurance corporate
agency, mutual fund products distribution, and IPO distribution services. Additionally, it provides
Specialized Finance
financial assistance for projects; support and consultancy services to industry and
entrepreneurs; and post trading and custodial services to institutional investors, mutual funds,
banks, insurance companies, etc., as well as develops properties. The company was formerly
Number of Employees known as Industrial Finance Corporation of India and changed its name to IFCI Limited in
October 1999. IFCI Limited was founded in 1948 and is headquartered in New Delhi, India.
270
Year Founded
Investment Arms
1948
IFCI Ltd., Investment Arm
Current Subsidiaries / Prior Subsidiaries /
Primary Office Location Professionals: 0 Acquisitions: 0 Acquisitions: 0
Website: www.ifciltd.com
IFCI Tower
61 Nehru Place IFCI Ltd., Investment Arm is a principal investment firm specializing in investments in
New Delhi, Delhi 110019 infrastructure, energy, and air freight and logistics. It seeks to invest in companies based in India.
India The firm is based in New Delhi, India.
Main Phone: 91 11 4179 2800 IFCI Venture Capital Funds Ltd.
Main Fax: 91 11 2648 8471
Current Subsidiaries / Prior Subsidiaries /
Professionals: 9 Acquisitions: 40 Acquisitions: 4
Website: www.ifciventure.com
Business Description / Color Notes IFCI Venture Capital Funds Ltd. is a venture capital arm of IFCI Ltd. The firm seeks to invest in
seed/ startup and late venture firms. The unqualified segments for investment are promoters
categorized as 'willful defaulters' list by RBI, industries producing or consuming Ozone depleting
Date Created: May-14-2017 Copyright 2017 S&P Global Market Intelligence,
a division of S&P Global Inc. All Rights reserved.
Page 1 of 27
substances, companies engaged in the business of tobacco, Cigarette, gutkha, wine, lottery, the firms divestment mode is decided on the anticipated cash flows of the company, and the
gambling, casino etc. The firm prefers to invest in materials, transportation, energy, waste water investee is given the opportunity to buy the shares at a decided rate after the initial investment. It
management, electric power by wind energy, and electric power by solar energy, fuel cells, expects a target return of 30% in a period of five to seven years. Canbank Venture Capital Ltd.
batteries, lighting equipment, machinery and automobiles and components sectors. It seeks to was formed in 1995 and is based in Bangalore, India.
fund or facilitate funding to ventures involving innovative product, process, or technology in India.
The firm invests in the form of equity, personal loans, and company loans through conditional and Funds Invested: -
conventional loans. It seeks to invest in energy efficiency, areas spanning equipments, industrial Private Investment
process, lighting, building materials, energy storage, waste management, pollution control, GVFL Ltd Firm Ahmedabad India
transportation as well as forestation and reforestation activities, and renewable/non-conventional
energy sectors. The firm provides Short-Term Lending to entrepreneurs and corporates, to Website: www.gvfl.com/
facilitate business growth. The firm makes investments in companies rated four or above in
Description: GVFL Ltd., formerly known as Gujarat Venture Finance Ltd., is the venture capital
accordance to the Small & Medium Enterprises Rating Agency (SMERA) Rating Scale or in
arm of Government of Gujarat specializing in seed and start-up financing, early stage, and growth
accordance with the internal criteria. The firm provides loan amount between INR20 million ($0.33
capital to small to medium sized unlisted companies. It seeks to invest within the information
million) and INR100 million ($1.66 million) and its tenure is up to 36 months and Rate of Interest
technology, software development, media, telecommunication, m-commerce, education, Retail,
ranges between 13 percent and 15 percent p.a. The firm prefers to invest between $0.1 million
Health Care, Tourism, Entertainment, Logistics, Consumer, Renewable Energy, manufacturing,
and $6.73 million in its portfolio company. IFCI Venture Capital Funds Ltd. was founded in 1988
biopharmaceuticals, agriculture biotechnology, marine biotechnology, environment biotechnology,
and is based in New Delhi, India.
bioinformatics, contract research, industrial biotechnology, and other potential areas in
biotechnology, clean and green technology, infrastructure projects in industrial zones like SEZ,
DMIC, SIR, GIFT, alternate energy like wind energy, solar, hydro and biomass sectors, and urban
and industrial infrastructure with focus on industrial parks, water, solid waste management etc.;
logistics, warehousing & supply chain services; clean & green technology with focus on energy
efficiency, energy storage, advanced fuels, etc. It typically invests in companies based in India
Investments as an LP
focusing on Gujarat. The firm invests between $0.1 million and $2 million, with average
Headquarters - Headquarters - investments in the range of $0.9 million and $1 million, and generally takes a minority stake up to
Company Name Company Type Region Country 40 percent in each portfolio company. GVFL Ltd was founded in 1990 and is based in Ahmedabad,
Canbank Venture Financial Service India.
Capital Ltd. Investment Arm Bangalore India
Funds Invested: Golden Gujarat Growth Fund Series-1
Website: www.canbankventure.com
IFCI Ltd., Investment Financial Service
Description: Canbank Venture Capital Ltd. is the private equity and venture capital arm of Canara Arm Investment Arm New Delhi India
Bank Limited specializing in growth and expansion financing in start-up, early venture, and later Website: www.ifciltd.com
stage companies. The firm makes investment in equity/equity related instruments/debt instruments
in unlisted mid and late stage companies. The firm generally invests a minimum of $0.2 million to a Description: IFCI Ltd., Investment Arm is a principal investment firm specializing in investments in
maximum of $2.3 million in small to medium sized companies with high growth potential, infrastructure, energy, and air freight and logistics. It seeks to invest in companies based in India.
specifically information technology, telecommunications, Internet start-up or early venture, and The firm is based in New Delhi, India.
manufacturing companies developing new industrial and technological processes. The firm also
invests in specialty chemicals, containers and packaging, construction and engineering, Funds Invested: IFCI Sycamore Infrastructure Fund
infrastructure, automobiles, hospitality, healthcare, education services, biotechnology and IFCI Venture Capital Financial Service
pharmaceuticals sectors. The firm focuses its investments in the Southern and Western regions of Funds Ltd. Investment Arm New Delhi India
India. It takes minority equity stakes up to 49%, requires a seat on the Board, and seeks an active
role in the investee's strategic decisions. The firm prefers to invest in between $0.1 million and Website: www.ifciventure.com
$10.76 million in its portfolio companies. The firm requires that its potential investments the
Description: IFCI Venture Capital Funds Ltd. is a venture capital arm of IFCI Ltd. The firm seeks
financing required not exceeding $2.3 million. It does not follow a particular exit strategy, however
to invest in seed/ startup and late venture firms. The unqualified segments for investment are
Page 2 of 27
promoters categorized as 'willful defaulters' list by RBI, industries producing or consuming Ozone months months months months months months
depleting substances, companies engaged in the business of tobacco, Cigarette, gutkha, wine, Mar-31- Mar-31- Mar-31- Mar-31- Mar-31- Mar-31-
lottery, gambling, casino etc. The firm prefers to invest in materials, transportation, energy, waste For the Fiscal Period Ending 2011 2012 2013 2014 2015 2016
water management, electric power by wind energy, and electric power by solar energy, fuel cells, Currency INR INR INR INR INR INR
batteries, lighting equipment, machinery and automobiles and components sectors. It seeks to
fund or facilitate funding to ventures involving innovative product, process, or technology in India. Total Revenue 13,871.9 12,257.4 10,504.4 12,240.3 11,380.8 8,823.9
The firm invests in the form of equity, personal loans, and company loans through conditional and Growth Over Prior Year 6.8% (11.6%) (14.3%) 16.5% (7.0%) (22.5%)
conventional loans. It seeks to invest in energy efficiency, areas spanning equipments, industrial
EBT Excl. Unusual Items 11,903.2 10,039.9 7,371.9 7,615.7 7,617.0 4,131.8
process, lighting, building materials, energy storage, waste management, pollution control,
transportation as well as forestation and reforestation activities, and renewable/non-conventional Margin % 85.8% 81.9% 70.2% 62.2% 66.9% 46.8%
energy sectors. The firm provides Short-Term Lending to entrepreneurs and corporates, to Earnings from Cont. Ops. 7,455.3 6,877.3 4,973.6 5,661.0 5,745.6 3,942.8
facilitate business growth. The firm makes investments in companies rated four or above in
accordance to the Small & Medium Enterprises Rating Agency (SMERA) Rating Scale or in Margin % 53.7% 56.1% 47.3% 46.2% 50.5% 44.7%
accordance with the internal criteria. The firm provides loan amount between INR20 million ($0.33 Net Income 7,455.3 6,877.3 4,973.6 5,661.0 5,372.1 3,628.3
million) and INR100 million ($1.66 million) and its tenure is up to 36 months and Rate of Interest Margin % 53.7% 56.1% 47.3% 46.2% 47.2% 41.1%
ranges between 13 percent and 15 percent p.a. The firm prefers to invest between $0.1 million
and $6.73 million in its portfolio company. IFCI Venture Capital Funds Ltd. was founded in 1988 Diluted EPS Excl. Extra
and is based in New Delhi, India. Items 8.74 7.48 4.56 3.40 3.23 2.18
Growth Over Prior Year 49.3% (14.5%) (39.0%) (25.4%) (5.0%) (32.5%)
Funds Invested: -
264,878. 298,603. 276,085. 310,128. 369,699. 391,457.
Private Investment Total Assets 4 4 9 5 0 6
Sycamore Ventures Firm New Jersey United States
Growth Over Prior Year 35.6% 12.7% (7.5%) 12.3% 19.2% 5.9%
Website: www.sycamoreventures.com
Description: Sycamore Ventures is a private equity and venture capital firm specializing in PIPEs,
buyouts, and expansion and growth investments in mid-size companies in the later stages. The
firm seeks to invest in information technology, consumer, bio-pharmaceutical, manufacturing, and Current Capitalization
media. It seeks to make investments in companies located in Asia with a focus on Greater China
and India and the United States. The firm prefers to invest between $5 million and $20 million in Currency INR
companies and may invest upto $100 million in case of extraordinary opportunities. Sycamore Share Price 31.45
Ventures was founded in August 1995 and is based in Princeton, New Jersey, with additional Shares Out. 1,662.0
offices in Cupertino, California; New York, New York; Shanghai, China; Singapore; Central, Hong
Kong; and Taipei, Taiwan. Market Capitalization 52,271.1
Book Value of Common Equity 73,010.5
Funds Invested: IFCI Sycamore Infrastructure Fund
+ Book Value of Pref. Equity 2,638.4
__________
= Total Equity 78,852.1
*Includes number of shares outstanding + shares held by non-controlling interest holders
Key Financials without accounting for dilutive securities
In Millions of the trading currency, except per share items.
12 12 12 12 12 12 Valuation Multiples based on Current Capitalization

Page 3 of 27
12 12 12 12 12
months months months months months Public Ownership Summary
Mar-31- Mar-31- Mar-31- Mar-31- Mar-31-
For the Fiscal Period Ending 2012 2013 2014 2015 2016 % of Total
Common Stock Shares Market Value
Market Cap / Total Revenue 5.0x 4.3x 4.6x 5.9x Type Equivalent Held Outstanding (INR in mm)
Market Cap / EBT Excl. Unusual Institutions 233,787,707 14.07 7,352.7
Items 7.1x 6.9x 6.9x 12.7x
Individuals/Insiders 23,373 0.00 0.7
P/Diluted EPS Before Extra 6.9x 9.3x 9.7x 14.4x
State Owned Shares 923,000,000 55.53 29,028.4
P/BV 0.8x 0.7x 0.7x 0.7x
Public and Other 505,226,155 30.40 15,889.4
Price/Tang BV 0.8x 0.8x 0.8x 0.8x
Total 1,662,037,235 100.00 52,271.2
Top 25 Holders
Common
Stock
Equivalent Market Value
Holder Held % of CSO (INR in mm)
Government of India 923,000,000 55.534 29,028.4
Life Insurance Corporation of India, Asset
Management Arm 61,944,644 3.727 1,948.2
GIC Asset Management Company Ltd. 26,748,138 1.609 841.2
Norges Bank Investment Management 25,437,454 1.531 800.0
The Vanguard Group, Inc. 18,030,812 1.085 567.1
Canara Robeco Asset Management Company
Ltd 14,756,946 0.888 464.1
Central Bank of India, Asset Management Arm 11,149,326 0.671 350.6
Punjab National Bank, Asset Management Arm 9,152,100 0.551 287.8
WisdomTree Asset Management, Inc. 9,115,570 0.548 286.7
Grantham, Mayo, Van Otterloo & Co. LLC 8,796,588 0.529 276.7
Dimensional Fund Advisors LP 8,684,990 0.523 273.1
Van Eck Associates Corporation 7,824,510 0.471 246.1
Kotak Mahindra Asset Management Company
Limited 5,940,000 0.357 186.8

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BlackRock, Inc. (NYSE:BLK) 4,966,248 0.299 156.2 Punjab National Bank, Asset Management Arm 9,152,100 0.551 287.8
Birla Sun Life Asset Management Company WisdomTree Asset Management, Inc. 9,115,570 0.548 286.7
Limited 3,784,000 0.228 119.0 Grantham, Mayo, Van Otterloo & Co. LLC 8,796,588 0.529 276.7
ICICI Prudential Asset Management Company Dimensional Fund Advisors LP 8,684,990 0.523 273.1
Limited 2,882,000 0.173 90.6
Van Eck Associates Corporation 7,824,510 0.471 246.1
Teachers Insurance and Annuity Association of
America - College Retirement Equities Fund 1,759,612 0.106 55.3 Kotak Mahindra Asset Management Company
Limited 5,940,000 0.357 186.8
L&T Investment Management Limited 1,342,000 0.081 42.2
BlackRock, Inc. (NYSE:BLK) 4,966,248 0.299 156.2
Parametric Portfolio Associates LLC 1,334,864 0.080 42.0
Birla Sun Life Asset Management Company
Reliance Nippon Life Asset Management Limited 3,784,000 0.228 119.0
Limited 1,309,261 0.079 41.2
ICICI Prudential Asset Management Company
Westwood Global Investments, LLC 1,305,823 0.079 41.1 Limited 2,882,000 0.173 90.6
Invesco Ltd. (NYSE:IVZ) 1,254,000 0.075 39.4 Teachers Insurance and Annuity Association of
Edelweiss Asset Management Limited 1,166,000 0.070 36.7 America - College Retirement Equities Fund 1,759,612 0.106 55.3
SEI Investments Co. (NasdaqGS:SEIC) 1,060,164 0.064 33.3 L&T Investment Management Limited 1,342,000 0.081 42.2
JM Financial Asset Management Limited 990,000 0.060 31.1 Parametric Portfolio Associates LLC 1,334,864 0.080 42.0
Reliance Nippon Life Asset Management
All Others 3,076,030 0.185 96.7 Limited 1,309,261 0.079 41.2
Total 1,156,811,080 69.602 36,381.8 Westwood Global Investments, LLC 1,305,823 0.079 41.1
Invesco Ltd. (NYSE:IVZ) 1,254,000 0.075 39.4
Edelweiss Asset Management Limited 1,166,000 0.070 36.7
SEI Investments Co. (NasdaqGS:SEIC) 1,060,164 0.064 33.3
Top 25 Holders (Institutions) JM Financial Asset Management Limited 990,000 0.060 31.1
Common State Street Global Advisors, Inc. 820,416 0.049 25.8
Stock
Equivalent Market Value
Holder Held % of CSO (INR in mm) All Others 2,232,241 0.134 70.2
Life Insurance Corporation of India, Asset Total 233,787,707 14.066 7,352.6
Management Arm 61,944,644 3.727 1,948.2
GIC Asset Management Company Ltd. 26,748,138 1.609 841.2
Norges Bank Investment Management 25,437,454 1.531 800.0
The Vanguard Group, Inc. 18,030,812 1.085 567.1 Top 25 Holders (Individuals/Insiders)
Canara Robeco Asset Management Company Common Market
Ltd 14,756,946 0.888 464.1 Stock Value
Equivale (INR in
Central Bank of India, Asset Management Arm 11,149,326 0.671 350.6 Holder Position nt Held % of CSO mm)

Page 5 of 27
Nayak, Biranchi Chief Financial Officer and Enhanced Arbitrage Fund
Narayan Executive Director 14,716 0.001 0.5 ICICI Prudential Mutual Fund - ICICI Prudential
General Manager, Compliance Equity - Arbitrage Fund 2,882,000 0.173 90.6
Sarkar CS, Rupa Deb Officer and Company Secretary 8,657 0.001 0.3 College Retirement Equities Fund - CREF Stock
Account 1,759,612 0.106 55.3
Total 23,373 0.001 0.7 Vanguard International Equity Index Funds -
Vanguard FTSE All-World ex-US Small-Cap
ETF (ARCA:VSS) 1,350,489 0.081 42.5
L&T Mutual Fund - L&T Dynamic Equity Fund 1,342,000 0.081 42.2
Top 25 Holders (By Funds) Northern Funds - Active M Emerging Markets
Equity Fund (MutualFund:NMME.X) 1,305,823 0.079 41.1
Common
Stock Reliance Mutual Fund - Reliance Arbitrage
Equivalent Market Value Advantage Fund 1,298,000 0.078 40.8
Holder Held % of CSO (INR in mm) Invesco Mutual Fund - Invesco India Arbitrage
Government Pension Fund Global 14,988,520 0.902 471.4 Fund 1,254,000 0.075 39.4
Dimensional Emerging Markets Value Fund 10,328,679 0.621 324.8 Edelweiss Mutual Fund - Edelweiss Arbitrage
Fund 1,166,000 0.070 36.7
DFA Investment Dimensions Group Inc. -
Emerging Markets Core Equity Portfolio Eaton Vance Mutual Funds Trust - Parametric
(MutualFund:DFCE.X) 9,941,563 0.598 312.7 Emerging Markets Fund (MutualFund:EIEM.X) 1,152,200 0.069 36.2
Vanguard STAR Funds - Vanguard Total JM Financial Mutual Fund - JM Arbitrage
International Stock ETF (NasdaqGM:VXUS) 8,983,149 0.540 282.5 Advantage Fund 990,000 0.060 31.1
VanEck Vectors ETF Trust - VanEck Vectors SPDR Index Shares Funds - SPDR S&P
India Small-Cap Index ETF (ARCA:SCIF) 7,824,510 0.471 246.1 Emerging Markets Small Cap ETF
(ARCA:EWX) 820,416 0.049 25.8
Vanguard International Equity Index Funds -
Vanguard FTSE Emerging Markets ETF FlexShares Trust - FlexShares Morningstar
(ARCA:VWO) 7,449,552 0.448 234.3 Emerging Markets Factor Tilt Index Fund
(ARCA:TLTE) 796,325 0.048 25.0
WisdomTree Trust - WisdomTree India Earnings
Fund (ARCA:EPI) 5,974,940 0.359 187.9 iShares Trust - iShares MSCI India Small-Cap
ETF (BATS:SMIN) 694,427 0.042 21.8
Kotak Mahindra Mutual Fund - Kotak Equity
Arbitrage Fund 5,566,000 0.335 175.1
DFA Investment Trust Company - Emerging All Others 6,772,945 0.408 213.0
Markets Small Cap Series 5,221,683 0.314 164.2 Total 112,278,824 6.755 3,531.2
GMO Trust - GMO Emerging Markets Fund
(MutualFund:GMOEX) 4,754,629 0.286 149.5
iShares, Inc. - iShares Core MSCI Emerging
Markets ETF (ARCA:IEMG) 3,877,362 0.233 121.9 Top Buyers
Birla Sun Life Mutual Fund - Birla Sun Life 3,784,000 0.228 119.0 Buyer Common Stock Change

Page 6 of 27
Equivalent Held Markets Espana S.A.,
ICICI Prudential Asset Management Company S.V. Company
Limited 2,882,000 2,882,000 Deutsche Securities Private
Kotak Mahindra Asset Management Company Inc. Current - Company - - -
Limited 5,940,000 2,376,000 Life Insurance Private
Birla Sun Life Asset Management Company Corporation of India Current - Company - - -
Limited 3,784,000 2,068,000 General Insurance Private
L&T Investment Management Limited 1,342,000 1,342,000 Corporation of India Current - Company - - -
Van Eck Associates Corporation 7,824,510 994,122 The Oriental Insurance Private
Company Limited Current - Company - - -
Goldman Sachs Private
Investment (Mauritius) Investmen
Ltd. Prior - t Firm - - -
Top Sellers Governm
Common Stock ent
Seller Equivalent Held Change Government of India Current - Institution - - -
JM Financial Asset Management Limited 990,000 (6,050,000) Morgan Stanley & Co. Private
SEI Investments Co. 1,060,164 (2,029,961) International Plc, Asset Investmen
Management Arm Current - t Firm - - -
Reliance Nippon Life Asset Management
Limited 1,309,261 (1,144,254) Citigroup Global
Markets Mauritius Private
Columbia Management Investment Advisers, Private Limited Current - Company - - -
LLC 0 (521,050)
Westwood Global Investments, LLC 1,305,823 (409,954)
Key Executives
Name Title
Private Ownership
Ahluwalia, Rajeev General Manager
Most Most
Recent Recent Babu, Venugopal Anish General Manager
Transacti Amount Banerjee, Biswajit Chief General Manager
Transacti Investme on Size Invested Chhabra, Barkha Deputy General Manager
Relations on Company nt (INR in (INR in
Investor hip Type Date(s) Type Coverage mm) mm) Dasgupta, Samik General Manager
Public Garg, Sudhir Executive Director
IDBI Bank Limited Prior - Company - - - Gupta, Rajesh Kumar General Manager
Public Gupta, Vijay Kumar General Manager
State Bank of India Current - Company - - -
Jain, Dileep Kumar Chief General Manager
Merrill Lynch Capital Current - Private - - -
Page 7 of 27
Jain, Ravish Assistant General Manager
Jain, Sanjeev Kumar General Manager
Board Members
Kaul Jan, Rita General Manager
Name Title
Kaushik, Sanjeev Deputy Managing Director and Director
Balakrishnan, N. (Board) Non Executive Director
Khanna, Rakesh CVO and General Manager
Dubey, R. N. (Board) Nominee Director
Kumar, Pawan General Manager
Kaushik, Sanjeev Deputy Managing Director and Director
Kumar, Prasoon Chief General Manager
Mahajan, Savita (Board) Non Executive - Independent Director
Mahajan, Pooja S. General Manager of Human Resources
Sahay, Arvind (Board) Independent Director
Mantri, Jhummi General Manager
Sahdev, Kiran (Board) Non Executive Independent Director
Meour, Gautam General Manager
Sharma, Anshuman Deputy Secretary and Director
Mishra, Deepak General Manager
Mishra, Gopal Krishna General Manager
Mishra, Sachikanta Chief General Manager
Mukherjee, Malay Chief Executive Officer Summary M&A
Najmi, Sara Assistant General Manager of Legal
Nayak, Biranchi Narayan Chief Financial Officer and Executive Director
Pal, Vijay General Manager
Announced Date
Rao, V. Satyavenkata Chief General Manager
Roy, Bikash Kanti General Manager Sep-16-2016
Sabharwal, Alok General Manager
Santhi, C. General Manager
Target
Sarkar, Rupa Deb General Manager, Compliance Officer and Company Secretary
Saxena, Atul General Manager Assets Care & Reconstruction Enterprise Ltd.
Sethi, M. P. General Manager
Sharma, Anshuman Deputy Secretary and Director
Status
Shukla, Suneet General Manager
Singh, Harjeet General Manager Closed
Subramanian, Venkata General Manager
Tiku, Pooja Deputy General Manager of Legal
Size (INR mm)
Tomar, Shivendra General Manager
227.18

Page 8 of 27
Participants: AXIS Bank Limited (BSE:532215) (Investor / Buyer); IFCI Limited (BSE:500106)
(Seller / Distributing Company) Closed
Synopsis: AXIS Bank Limited (BSE:532215) signed a definitive agreement to acquire 13.7%
stake in Assets Care & Reconstruction Enterprise Ltd. from IFCI Limited (BSE:500106) for
Size (INR mm)
approximately INR 230 million on September 16, 2016. AXIS will acquire 7.3 million shares of
Assets Care & Reconstruction Enterprise. Assets Care & Reconstruction Enterprise reported
888.75
turnover of INR 359 million and total assets of INR 3.3 billion in the year ended March 31, 2016.
The acquisition is subject to regulatory approval including Reserve Bank of India. The requisite
regulatory approval for the transaction has been obtained. The acquisition is expected to close
Participants: IFCI Limited (BSE:500106) (Seller / Distributing Company)
the transaction in January, 2017.
Synopsis: IFCI Limited (BSE:500106) sold 0.5% stake in National Stock Exchange of India
Ltd. for approximately INR 890 million on June 30, 2016. IFCI Limited sold 0.225 million shares
Pre-Deal Situation: The Board of Directors of IFCI Limited (BSE:500106) gave approval for
of National Stock Exchange of India Ltd. at a price per share of INR 3950 per share.
partial divestment of shareholding in Stock Holding Corporation of India Limited and entire
shareholding in Assets Care & Reconstruction Enterprise Ltd. The approval is expected to pave
the way to tap the public markets with an initial public offering for Stock Holding Corporation,
Pre-Deal Situation: IFCI Limited (BSE:500106) is looking to sell 2.5% stake in National Stock
informed sources said.IFCI Limited (BSE:500106) is looking to sell its stake in Assets Care &
Exchange of India Ltd. (NSE). On IFCI's plan to sell its stake in the NSE, Malay Mukherjee,
Reconstruction Enterprise Ltd. (ACRE) by March 31, 2016. "In ACRE, we have a 19% stake.
Chief Executive Officer and Managing Director of IFCI, said last year the offers were not
That (paring the stake) we are trying to get done before March 31, 2016."
favorable.
Deal Resolution: AXIS Bank Limited (BSE:532215) completed the acquisition of 13.7% stake
IFCI Limited (BSE:500106) is seeking sale of stakes in National Stock Exchange, Inc. IFCI
in Assets Care & Reconstruction Enterprise Ltd. from IFCI Limited (BSE:500106) on December
Limited is confident of completing its planned partial stake sale in the National Stock Exchange
8, 2016.
during this fiscal, Malay Mukherjee, Managing Director and Chief Executive Officer of IFCI
Limited, said. "We have not given up on the plan. The offers we received last year were not
favourable. It (partial stake sale) will definitely happens this fiscal," Malay Mukherjee told
reporters when asked if the stake sale plan in National Stock Exchange was shelved or was still
on IFCI Limiteds radar. IFCI Limited is looking to shed 2.5% stake out of its total holding of
5.44% in National Stock Exchange.
Announced Date
IFCI Limited (BSE:500106) sold 1.5% stake in National Stock Exchange of India Ltd. for INR
Jul-04-2016 2.6 billion. "We will sell another 1% in a month. Negotiations are on," said Malay Mukherjee,
Chief Executive Officer & Managing Director of IFCI. "This sale has created lot of appetite from
investors and we are now receiving offer for our balance stake in the exchange," he added.
Target
Actis LLP is reportedly planning to offload its entire holding in National Stock Exchange of India
Ltd. Actis spokesman however said, "We do not comment on market speculation." IDBI Bank
National Stock Exchange of India Ltd.
Limited (BSE:500116), Financial Technologies (India) Limited (BSE:526881), IFCI Limited
(BSE:500106) are among others who have are looking for dilution of their stake as well.
Status
Deal Resolution: IFCI Limited (BSE:500106) completed the sale of 0.5% stake in National
Stock Exchange of India Ltd. on June 30, 2016.

Page 9 of 27
2.6 billion. "We will sell another 1% in a month. Negotiations are on," said Malay Mukherjee,
Announced Date
Apr-04-2016
Target Stock Exchange of India Ltd. on April 4, 2016.
Status Announced Date
Closed Dec-30-2015
Size (INR mm) Target
592.50 National Stock Exchange of India Ltd.
Seller Advisors: IDFC Securities Limited (Financial Advisor)

Status
Closed
Synopsis: IFCI Limited (BSE:500106) sold 0.33% stake in National Stock Exchange of India
Ltd. for approximately INR 590 million in cash on April 4, 2016. IFCI Limited sold 0.15 million
shares of National Stock Exchange of India Ltd. at a price per share of INR 3950 per share.
IDFC Securities acted as financial advisor to IFCI in the sale. Size (INR mm)
Pre-Deal Situation: IFCI Limited (BSE:500106) is looking to sell 2.5% stake in National Stock 296.25
Exchange of India Ltd. (NSE). On IFCI's plan to sell its stake in the NSE, Malay Mukherjee,
Chief Executive Officer and Managing Director of IFCI, said last year the offers were not Seller Advisors: IDFC Securities Limited (Financial Advisor)
favorable.
Limited is confident of completing its planned partial stake sale in the National Stock Exchange Synopsis: IFCI Limited (BSE:500106) sold 0.17% stake in National Stock Exchange of India
during this fiscal, Malay Mukherjee, Managing Director and Chief Executive Officer of IFCI Ltd. for approximately INR 300 million in cash on December 30, 2015. IFCI Limited sold 0.075
Limited, said. "We have not given up on the plan. The offers we received last year were not million shares of National Stock Exchange and received INR 3950 per share. IFCI has been
favourable. It (partial stake sale) will definitely happens this fiscal," Malay Mukherjee told trying to sell its stake in National Stock Exchange of India. IDFC Securities Limited acted as
Page 10 of 27
financial advisor for IFCI Limited. Announced Date
Pre-Deal Situation: Malay Mukherjee, Chief Executive Officer and Managing Director of IFCI Dec-28-2016
Limited (BSE:500106), said on stake sale in National Stock Exchange of India Ltd., talks are in
an advanced stage with a private equity investor. IFCI is looking to sell 2.5% stake out of its 5%
holding in National Stock Exchange. "You can expect an announcement in the next 15 days,"
Issuer
Mukherjee told BusinessLine.
Malay Mukherjee, Chief Executive Officer and Managing Director of IFCI Limited (BSE:500106)
said the company is in an advanced stage with a private equity investor to sell part of its stake
in National Stock Exchange of India Ltd. PricewaterhouseCoopers LLP is helping IFCI with the
sale. Status
IFCI Limited (BSE:500106) is looking to sell 2.5% stake in National Stock Exchange of India Announced
Ltd. (NSE). On IFCI's plan to sell its stake in the NSE, Malay Mukherjee, Chief Executive
Officer and Managing Director of IFCI, said last year the offers were not favorable.
Size (INR mm)
Limited is confident of completing its planned partial stake sale in the National Stock Exchange
during this fiscal, Malay Mukherjee, Managing Director and Chief Executive Officer of IFCI
Limited, said. "We have not given up on the plan. The offers we received last year were not
favourable. It (partial stake sale) will definitely happens this fiscal," Malay Mukherjee told
2.6 billion. "We will sell another 1% in a month. Negotiations are on," said Malay Mukherjee,
Stock Exchange of India Ltd. on December 30, 2015.
Summary Public Offerings/Shelf Registrations

Page 11 of 27
Exchange Of India Limited may allocate up to 60% of the qualified institutional buyers portion
- i.e. 55,705,984 shares to anchor investors and one-third of the anchor investors portion shall
be available for allocation to domestic mutual funds.
Issuer Advisors: Citigroup Global Markets India Private Limited (Co-Lead Underwriter); Cyril
Amarchand Mangaldas (Legal Advisor); HDFC Bank Limited (NSEI:HDFCBANK) (Co-Lead Pre-Deal Situation: NSE will list only after allegations of unfair access are resolved. Ashok
Underwriter); ICICI Securities Limited (Co-Lead Underwriter); IDFC Bank Limited (BSE:539437) Chawla Chairman of National Stock Exchange of India Ltd. said that the bourses share sale is
(Co-Lead Underwriter); IIFL Holdings Limited (NSEI:IIFL) (Co-Lead Underwriter); JM Financial likely to happen in the beginning of the April-June quarter after it hires a new Managing Director
Institutional Securities Limited (Co-Lead Underwriter); Khandelwal Jain & Co (Accountant);
Kotak Mahindra Capital Company Limited (Co-Lead Underwriter); Latham & Watkins LLP
(Legal Advisor); Link Intime India Pvt. Ltd. (Transfer Agent/Registrar); Morgan Stanley India
Deal Resolution: -
Company Private Limited (Co-Lead Underwriter); Price Waterhouse & Co Chartered
Accountants Llp (Accountant); Shardul Amarchand Mangaldas & Co (Legal Counsel to
Underwriters); Sidley Austin LLP (Legal Counsel to Underwriters)
Key Developments
Participants: Aranda Investments (Mauritius) Pte. Ltd. (Seller / Distributing Company); Baer
Capital Partners Ltd. (Seller / Distributing Company); Bajaj Holdings & Investment Limited
(BSE:500490) (Seller / Distributing Company); Bank of Baroda (BSE:532134) (Seller /
Distributing Company); Beacon India Private Equity Fund L.P. (Seller / Distributing Company);
Citigroup Strategic Holdings Mauritius Ltd. (Seller / Distributing Company); Gagil FDI Limited
(Seller / Distributing Company); GS Strategic Investments Limited (Seller / Distributing Key Developments
Company); GTI Capital Epsilon Pvt Ltd. (Seller / Distributing Company); Hdfc Standard Life IFCI Ceases S V Ranganath as Independent Director
Insurance Company Limited, Asset Management Arm (Seller / Distributing Company); Housing
Development Finance Corporation Limited (BSE:500010) (Seller / Distributing Company); IDBI Executive/Board Change -
Bank Limited (BSE:500116) (Seller / Distributing Company); IFCI Limited (BSE:500106) IFCI Limited (BSE:500106) Apr-18-2017 06:30 AM Other
(Seller / Distributing Company); J. Caird BMD MB (Seller / Distributing Company); J. Caird Situation: S V Ranganath has ceased to be independent director of IFCI with effect from April 1.
MB (Seller / Distributing Company); MS Strategic (Mauritius) Limited (Seller / Distributing Source: Other
Company); Norwest Venture Partners (Seller / Distributing Company); PI Opportunities Fund I
IFCI Ceases K S Sreenivasan, Independent Director
(Seller / Distributing Company); PremjiInvest (Seller / Distributing Company); Quantum (M) Ltd
(Seller / Distributing Company); Quissett BMD MB (Seller / Distributing Company); Quissett MB Executive/Board Change -
(Seller / Distributing Company); SAIF II Mauritius Co. Ltd. (Seller / Distributing Company); SBI IFCI Limited (BSE:500106) Apr-18-2017 06:30 AM Other
Capital Markets Limited (Seller / Distributing Company); State Bank of India (NSEI:SBIN) Situation: IFCI announced that K S Sreenivasan has ceased to be independent director, effective
(Seller / Distributing Company); Tiger Global Five Indian Holdings (Seller / Distributing April 1, 2017.
Company); Wolf Creek BMD MB (Seller / Distributing Company); Wolf Creek MB (Seller / Source: Other
Distributing Company); Wolfensohn Capital Partners LP (Seller / Distributing Company);
Wolfensohn Fund Management, L.P. (Seller / Distributing Company) IFCI Limited Announces Cessation of Savita Mahajan as Independent Director
Executive/Board Change -
Synopsis: The offer is being made through the book building process wherein at least 50% of IFCI Limited (BSE:500106) Apr-16-2017 08:00 PM Other
the net issue i.e. 55,705,984 shares shall be allotted on a proportionate basis to qualified Situation: IFCI Limited announced that Smt. Savita Mahajan has ceased to be independent
institutional buyers, not less than 15% of the net issue i.e. 16,711,796 shares shall be available director of the company with effect from April 1, 2017 upon completion of his tenure of 3 years
for allocation on a proportionate basis to non-institutional bidders and not less than 35% of the effective from April 1, 2017.
net issue i.e. 38,994,190 shares shall be available for allocation to retail individual bidders.A Source: BSE India
total of 5% of the qualified institutional buyers portion i.e. 1,114,120 shares shall be available
for allocation on a proportionate basis to mutual funds only, and the remaining 21,168,274 IFCI Limited Appoints Sanjeev Kaushik as Deputy Managing Director
shares of the qualified institutional buyers portion shall be available for allocation on a IFCI Limited (BSE:500106) Mar-21-2017 08:43 AM Executive/Board Change -
proportionate basis to all qualified institutional buyers, including mutual funds.National Stock
Page 12 of 27
Other exceptional items of INR 173.5 million, loss from ordinary activities before tax of INR 989.5 million,
Situation: IFCI Limited announced that the appointments Committee of the Cabinet has approved net loss of INR 451.7 million or INR 0.27 per basic and diluted share, compared to the net
the appointment of Shri Sanjeev Kaushik, DMD, India Infrastructure Finance Company Limited as sales/income from operations of INR 8,911.7 million, profit from operations before other income
Deputy Managing Director, IFCI Ltd, in additional charge, for a period of six months with effect and finance costs and exceptional items of INR 2,227.0 million, profit from ordinary activities
from December 12, 2016. before tax of INR 2,242.0 million, net profit of INR 1,543.3 million or INR 0.93 per basic and diluted
Source: NSE India share, for the same quarter a year ago.For the year to date, the company reported net
sales/income from operations of INR 21,996.6 million, profit from operations before other income
IFCI Seeks To Sell Stakes In Four Associate Firms and finance costs and exceptional items of INR 3,007.6 million, loss from ordinary activities before
IFCI Limited (BSE:500106) Feb-27-2017 12:00 AM Seeking to Sell/Divest tax of INR 2,760.9 million, net loss of INR 1,405.9 million or INR 0.85 per basic and diluted share,
compared to the net sales/income from operations of INR 28,221.0 million, profit from operations
Situation: IFCI Limited (BSE:500106) is seeking to sell stakes in four associate firms as part of its
before other income and finance costs and exceptional items of INR 8,790.1 million, profit from
strategy to focus on its core business of term lending. The four associates in which IFCI intends to
ordinary activities before tax of INR 6,107.8 million, net profit of INR 4,384.8 million or INR 2.64
sell stakes include Tourism Finance Corporation of India Limited (BSE:526650), Himachal
per basic and diluted share, for the same period a year ago.
Consultancy Organization Ltd. and North India Technical Consultancy Organisation Ltd.
Source: BSE India
Source: Other
IFCI Limited to Report Q3, 2017 Results on Feb 11, 2017
IFCI Limited Announces Discontinue Operations of Certain Regional Offices; Announces
Transfer and Merger of Regional Offices IFCI Limited (BSE:500106) Feb-10-2017 07:00 PM Earnings Release Date
Discontinued Situation: IFCI Limited announced that they will report Q3, 2017 results on Feb 11, 2017
Operations/Downsizing; Source: BSE India
IFCI Limited (BSE:500106) Feb-22-2017 06:30 AM Business Reorganization IFCI Limited, Board Meeting, Feb 11, 2017
Situation: IFCI Limited has decided to discontinue operations of regional offices at Bhubaneswar, IFCI Limited (BSE:500106) Feb-10-2017 07:00 PM Board Meeting
Kochi, Lucknow, Raipur and Vijayawada by May 17, 2017. The board of directors at its meeting
has approved for the same.Further, the company announced the all businesses of regional offices Situation: IFCI Limited, Board Meeting, Feb 11, 2017. Agenda: To consider and approve the
at Bhubaneswar, Kochi, Lucknow, Raipur and Vijayawada will be transferred and merged with earnings results for the third quarter ended December 31, 2016; aand to consider the nomination
Kolkata, Chennai, Delhi, Mumbai and Hyderabad regional offices, respectively for business and Remuneration Committee of Directors and the Board of Directors, approved the c losure of
development and monitoring of existing cases with effect from May 18, 2017 onwards. ESOP Scheme -2011, consequent to the expiry of the vesting period withresultant automatic
Source: Accord Fintech cancellation of the unexercised options and also for closure of the ESOP Trust, constituted for this
purpose, after liquidation of its assets and distribution as per SEBI Guidelines.
IFCI Limited Announces the Appointment of Sachikanta Mishra as Nominee Director Source: Other; BSE India
Executive/Board Change -
IFCI Limited (BSE:500106) Feb-15-2017 05:05 AM Other
Situation: Alok Industries Ltd. announced that Mr. Sachikanta Mishra, Chief General Manager of
IFCI Limited presently residing at Flat No. 214, Venus Apartments, Near Taj Vivanta, Cuffe Parade,
has been appointed as a Nominee Director of IFCI Limited on the company's Board effective from
Auditors
February 09, 2017.
Source: BSE India Period Audited Auditor Opinion Auditor Parent
IFCI Limited Reports Standalone Unaudited Earnings Results for Third Quarter and Nine Unqualified with
Months Ended Dec. 31, 2016 FY 2015 Andros & Co. Additional Language Andros & Co.
IFCI Limited (BSE:500106) Feb-11-2017 05:25 AM Announcement of Earnings
Situation: IFCI Limited reported standalone unaudited earnings results for third quarter and nine
months ended Dec. 31, 2016. For the quarter, the company reported net sales/income from
operations of INR 5,694.4 million, loss from operations before other income and finance costs and

Page 13 of 27
Services Limited
Transaction Dates: Dec-23-2014 (IFCI Limited), Dec-23-2014 (IFCI Limited), Dec-23-2014 (IFCI
Transaction Advisors Limited), Dec-23-2014 (IFCI Limited), Oct-13-2014 (IFCI Limited), Oct-13-2014 (IFCI Limited), Oct-
Accounting Advisors 13-2014 (IFCI Limited), Sep-29-2014 (IFCI Limited)
Total Value Disclosed Most Recent SBI Capital Markets
Advisor No. of Transactions (USD mm) Transaction Date Limited 8 507.80 Dec-23-2014
ASA & Associates 9 568.03 Dec-23-2014 Transaction Dates: Dec-23-2014 (IFCI Limited), Dec-23-2014 (IFCI Limited), Dec-23-2014 (IFCI
Limited), Dec-23-2014 (IFCI Limited), Oct-13-2014 (IFCI Limited), Oct-13-2014 (IFCI Limited), Oct-
13-2014 (IFCI Limited), Sep-29-2014 (IFCI Limited)
13-2014 (IFCI Limited), Oct-13-2014 (IFCI Limited), Sep-29-2014 (IFCI Limited) Legal Advisors
Karvy Total Value Disclosed Most Recent
Computershare Advisor No. of Transactions (USD mm) Transaction Date
Private Limited 8 507.80 Dec-23-2014 Axis Trustee
Transaction Dates: Dec-23-2014 (IFCI Limited), Dec-23-2014 (IFCI Limited), Dec-23-2014 (IFCI Services Limited 8 507.80 Dec-23-2014
Limited), Dec-23-2014 (IFCI Limited), Oct-13-2014 (IFCI Limited), Oct-13-2014 (IFCI Limited), Oct- Transaction Dates: Dec-23-2014 (IFCI Limited), Dec-23-2014 (IFCI Limited), Dec-23-2014 (IFCI
13-2014 (IFCI Limited), Sep-29-2014 (IFCI Limited) Limited), Dec-23-2014 (IFCI Limited), Oct-13-2014 (IFCI Limited), Oct-13-2014 (IFCI Limited), Oct-
Andros & Co. 8 507.80 Dec-23-2014 13-2014 (IFCI Limited), Sep-29-2014 (IFCI Limited)
Transaction Dates: Dec-23-2014 (IFCI Limited), Dec-23-2014 (IFCI Limited), Dec-23-2014 (IFCI Dhir & Dhir
Limited), Dec-23-2014 (IFCI Limited), Oct-13-2014 (IFCI Limited), Oct-13-2014 (IFCI Limited), Oct- Associates 5 447.57 Dec-23-2014
13-2014 (IFCI Limited), Sep-29-2014 (IFCI Limited) Transaction Dates: Dec-23-2014 (IFCI Limited), Dec-23-2014 (IFCI Limited), Dec-23-2014 (IFCI
Financial Advisors Limited), Dec-23-2014 (IFCI Limited), Sep-29-2014 (IFCI Limited)
Total Value Disclosed Most Recent
Advisor No. of Transactions (USD mm) Transaction Date
IDFC Securities
Limited 2 13.42 Apr-04-2016
Transaction Dates: Apr-04-2016 (National Stock Exchange of India Ltd.), Dec-30-2015 (National News
Stock Exchange of India Ltd.)
Edelweiss Financial
Services Limited 8 507.80 Dec-23-2014
Russian Rosneft's $12.9 billion Essar Oil deal held up over debt issues [Economic Times, The
(India)]
RR Financial
Consultants Limited 8 507.80 Dec-23-2014
A. K. Capital 8 507.80 Dec-23-2014

Page 14 of 27
Economic Times, The (India) ADP Debt News

May-13-2017 09:37 PM Apr-26-2017 05:52 AM
The state-run banks and financial institutions that are delaying Rosneft's biggest foreign April 24, 2017 Stock Holding Corporation of India Limited Instrument* Rated Amount (Rs.
acquisition hold about $500 million of Essar's debt. crore) Rating Action Intra-Day Bank Limit 2,000 [ICRA]A1+; assigned Overdraft Limit 100
[ICRA]A1+; assigned Bank Guarantee 125 [ICRA]A1+; assigned *Instrument details are
provided in Annexure-1 Rating action ICRA has assigned a short-term rating of [ICRA]A1+
(pronounced ICRA A one plus) to the Rs. 2,000 crore intra-day bank, Rs. 100 crore overdraft
and Rs. 125 crore bank guarantee limits of Stock Holding Corporation of India Limited (SHCIL).
Detailed rationale The rating factors in the long track record and established market position of
SHCIL in the custodian and depository services and other capital market related businesses.
Rosnefts $12.9 bn Essar Oil deal delayed over debt troubles [VCCircle]
The rating takes into account its experienced senior management team and its parentage with
IFCI Limited holding 52.86% of the equity as on March 31, 2017. The rating also takes into
account the company's diverse revenue streams, strong risk management systems and
VCCircle (India)
processes, and its favourable financial profile as reflected by healthy profitability and
May-11-2017 12:16 PM
comfortable capitalisation with negligible gearing. While assigning the rating, ICRA has taken
note of the company's dependence on the domestic capital markets, particularly for the
Russian state oil firm Rosneft is struggling to close its $12.9 billion acquisition of India s Essar
depository and professional clearing service segments as well as the high competitive intensity
Oil Ltd because six of Essar s Indian creditors have...
in the industry with a few large brokerage houses becoming self-clearing members and
increasing their presence in the custodial and capital market operations. In ICRA's view, the
rating of SHCIL will remain sensitive to its ability to maintain profitability and market share in the
capital market activities. Key rating drivers Credit Strengths Strong parentage, with 52.86%
of equity with IFCI Limited Diversified revenue streams including professional clearing,
depository, document management services, custodian, broking, e-Stamping, distribution
Exclusive: Russian Rosneft's $12.9 billion Essar Oil deal held up over debt issues [Reuters] businesses and interest income Robust risk management and IT systems Focus on
transaction services entails more operational risks than credit risks Healthy profitability
indicators with return on net worth (RONW) of ~18% during 9M FY2017 Strong capitalisation
Reuters with net worth of Rs. 746 crore and negligible gearing as on December 31, 2016 Credit
May-11-2017 10:10 AM Weaknesses Indirect dependence on the state of capital markets (broking income contributes
9% of the operating income); revenues from depository (30% of the operating income) and
NEW DELHI/MOSCOW/LONDON Russian state oil firm Rosneft is struggling to close its $12.9 professional clearing (1% of the operating income) especially dependent on churn in investor
billion acquisition of India's Essar Oil Ltd because six of Essar's Indian creditors have yet to portfolios High competitive intensity with a few large brokerage houses becoming self-
approve the deal, sources close to the talks said. clearing members, and increasing price competition (broking income contributes 9% of the
operating income) Detailed description of key rating drivers: Incorporated in 1986, SHCIL was
promoted by leading banks and financial institutions as a public limited company. SHCIL is a
subsidiary of IFCI Limited which held a 52.86% stake in the company as on March 31, 2017.
Apart from IFCI Limited, Specified Undertaking of Unit Trust of India (SUUTI) and LIC held
16.96% and 14.97% equity as on March 31, 2017. SHCIL commenced operations by offering
custodial and post trading services, and added depository and other services to its portfolio
ICRA assigns rating of [ICRA]A1+ to the bank facilities of Stock Holding Corporation of India
over a period of time. Currently, the company provides various services such as custodial,
Limited
depository, broking, e-stamping, distribution of financial products, clearing, and record keeping.
These services are offered to both retail and institutional clients. The company has two wholly
owned subsidiaries, namely SHCIL Services Limited (SSL, engaged in broking services) and
Page 15 of 27
StockHolding Document Management Services Limited (SDMSL, providing physical and distribution of financial products, clearing, and record keeping. These services are offered to
electronic record keeping services). The board of directors of SHCIL has representation from both retail and institutional clients. The company has two 100% subsidiaries - SHCIL Services
IFCI Limited and other shareholders of the company. While the company has a diverse array Limited (SSL) engaged in broking services and StockHolding Document Management Services
of offerings, e-stamping, distribution services, depository and broking services have remained Limited (SDMSL) providing physical and electronic record keeping of documents. During
the key revenue drivers over the years. During 9MFY2017, these services contributed to ~62% FY2016, the company reported a net profit of Rs. 66 crore on a total operating income of Rs.
of the company's consolidated operating income. In the past two years, the company has 351 crore as compared with a net profit of Rs. 78 crore on a total operating income of Rs. 338
ramped up the document management business, which has grown to ~17% of the operating crore in FY2015. During 9M FY2017, SHCIL reported a consolidated PAT of Rs. 1322 crore on
income from ~7% in FY2015, supported by an increase in demand for end-to-end document a total operating income of Rs. 311 crore. Status of non-cooperation with previous CRA: Not
management. This business is conducted largely through SDMSL. Other fee based income Applicable Any other information: Not Applicable Rating History for last three years: Table:
streams like physical custodial and derivative clearing services remain limited, contributing to Rating History Sr. No.Name of Instrument Current Rating Chronology of Rating History for the
~1% of the total operating income. SHCIL reported an operating income of Rs. 351 crore in past 3 years Type Rated amount (Rs. crore)April 2017 FY2017 FY2016 FY2015 1 Intra Day
FY2016 reporting a muted growth of ~4% on account of the lacklustre performance of the Limit Short Term 2,000.0 [ICRA]A1+; Assigned - - - 2 Overdraft Limit Short Term 100.0
depositary services segment in a difficult operating environment. The performance, however, [ICRA]A1+; Assigned - - - 3 Bank Guarantee Limit Short Term 125.0 [ICRA]A1+; Assigned - - -
improved in FY2017 with the company achieving a turnover of Rs. 310 crore in 9MFY2017 Complexity level of the rated instrument: ICRA has classified various instruments based on
(annualised growth of 18%) supported by stable growth across segments. SHCIL's operating their complexity as "Simple", "Complex" and "Highly Complex". The classification of instruments
expenses remained under control with cost to income ratio at ~78% (annualised) during according to their complexity levels is available on the website www.icra.in 2
9MFY2017 (~79% during FY2016). Also, during 9MFY2017, the company's profit on sale of includes profit on sale of securities Annexure-1 Details of Instrument3 Name of the Instrument
investments increased substantially to Rs. 102 crore from ~Rs. 2 crore during FY2016 mainly Date of Issuance Coupon Rate Maturity Date Size of the Issue (Rs. crore)Current Rating and
on account of the divestment of the company's stake in NSE Limited and other securities during Outlook Intra Day Limit NA NA NA 2,000.0 [ICRA]A1+ Overdraft Limit NA NA NA 100.0
the period. Supported by this profit, the company's net profit during 9MFY2017 stood at Rs. [ICRA]A1+ Bank Guarantee Limit NA NA NA 125.0 [ICRA]A1+ Source: Company Data
1321 crore (RONW of ~18%) in comparison with Rs. 66 crore in FY2016 (RONW of ~10%). 3 As on March 31, 2017 For further details please contact: Analyst Contacts: Mr. Karthik
SHCIL has deployed robust technology and infrastructure which are necessary for undertaking Srinivasan (Tel. No. +91 22 6114 3444) karthiks@icraindia.com Mr. Kushal Modi (Tel. No. +91
such high volume transactions. While most of SHCIL's business operations are transaction 22 6114 3428) kushal.modi@icraindia.com Mr. Saumya Aggarwal (Tel. No. +91 22 6114 3425)
based with limited credit risk associated with them, the professional clearing business remains saumya.aggarwal@icraindia.com Ms. Samriddhi Chowdhary (Tel. No. +91 22 6169 3331)
exposed to credit risk. The company, however, sets and monitors trading limits on a dynamic samriddhi.chowdhary@icraindia.com Relationship Contact: Mr. L. Shivakumar (Tel. No. +91 22
basis which alleviates the risk to some extent. The utilisation of SHCIL's margins placed with 6114 3406) shivakumar@icraindia.comAbout ICRA Limited:ICRA Limited was set up in 1991 by
the exchanges has been moderate, in the range of 60-70%. ICRA takes comfort from SHCIL's leading financial/investment institutions, commercial banks and financial services companies as
strong risk management systems and processes. SHCIL's liquidity profile remains comfortable an independent and professional investment Information and Credit Rating Agency. Today,
with adequate net worth of Rs. 746 crore and negligible gearing as on December 31, 2016, ICRA and its subsidiaries together form the ICRA Group of Companies (Group ICRA). ICRA is a
supported by healthy internal accruals. SHCIL's business operations are not capital intensive Public Limited Company, with its shares listed on the Bombay Stock Exchange and the National
and its funding requirement is largely limited to maintaining the margins at the exchange Stock Exchange. The international Credit Rating Agency Moody's Investors Service is ICRA's
houses. Also, SHCIL's investments are liquid in nature, being largely in bonds, equity shares, largest shareholder. For more information, visit www.icra.in Copyright, 2017, ICRA Limited. All
government securities and liquid mutual funds. ICRA takes comfort from the liquid nature of the Rights ReservedContents may be used freely with due acknowledgement to ICRAICRA ratings
company's investment book, its strong net worth with negligible gearing and adequate cash and should not be treated as recommendation to buy, sell or hold the rated debt instruments. ICRA
bank balances along with sizable unutilized bank limits. 1 includes profit on ratings are subject to a process of surveillance, which may lead to revision in ratings. An ICRA
sale of securities Analytical approach: While assigning the rating, ICRA has taken a rating is a symbolic indicator of ICRA's current opinion on the relative capability of the issuer
consolidated view of Stock Holding Corporation of India Limited along with the operational and concerned to timely service debts and obligations, with reference to the instrument rated.
financial performance of its subsidiaries. ICRA has also considered the parentage of the Please visit our website www.icra.in or contact any ICRA office for the latest information on
company while assigning the rating. Links to applicable criteria ICRA's Credit Rating ICRA ratings outstanding. All information contained herein has been obtained by ICRA from
Methodology for Brokerage Houses About the company Incorporated as a public limited sources believed by it to be accurate and reliable, including the rated issuer. ICRA however has
company in 1986, SHCIL was jointly promoted by leading banks and financial institutions. not conducted any audit of the rated issuer or of the information provided by it. While
SHCIL is a subsidiary of IFCI Limited which held a 52.86% stake in the company as on March reasonable care has been taken to ensure that the information herein is true, such information
31, 2017. SHCIL commenced operations by offering custodial and post trading services, and is provided 'as is' without any warranty of any kind, and ICRA in particular, makes no
added depository and other services to its portfolio over a period of time. Currently, the representation or warranty, express or implied, as to the accuracy, timeliness or completeness
company provides various services such as custodial, depository, broking, e-stamping, of any such information. Also, ICRA or any of its group companies may have provided services
Page 16 of 27
other than rating to the issuer rated. All information contained herein must be construed solely
as statements of opinion, and ICRA shall not be liable for any losses incurred by users from any
use of this publication or its contents.Rating Agency Website: http://www.icra.in****** AII Data SNL News
Processing does not endorse in any way, the views, opinions or recommendations expressed Apr-20-2017 02:34 AM
above. The use of the information is subject to the terms and conditions as published by the
original source, which you have to read and accept in full prior to the execution of any actions S&P Global Market Intelligence presents a weekly rundown of select executive management
taken in reliance on information contained herein. and other personnel moves at Asian financial institutions. The news items are listed by
announcement date in reverse chronological order. April 19<o:p></o:p> * Yuanta Financial
Holdings Co. Ltd. said Yang Te Hau resigned as a director of its unit Yuanta Securities (Hong
Kong) Co. Ltd., effective April 19. * NIB Bank Ltd. said Teo Cheng San, Ronald, resigned as a
director, effective immediately. * People's Insurance Co. (Group) of China Ltd. appointed
Wang Qingjian as nonexecutive director on the company's board. He will replace Yao Zhiqiang,
who resigned as a nonexecutive director due to his age. * IndoStar Capital Finance Ltd.
Moves through April 19, Financials edition
appointed R. Sridhar as CEO and vice chairman, Mint reported. Sridhar replaces Vimal
Bhandari, who stepped down as CEO but will continue to serve on the company's board. April
18<o:p></o:p> * Great Eastern Holdings Ltd. said that Tan Yam Pin stepped down as
nonexecutive and nonindependent director, effective April 18. * Bank of Zhengzhou Co. Ltd.
appointed Song Ke as external supervisor of the bank. * Lou Wenlong stepped down as
executive director and executive vice president at Agricultural Bank of China Ltd., effective April
18. * Chong Hing Bank Ltd. appointed Zong Jianxin as chief executive of the bank to replace
Leung Ko May Yee Margaret, who will step down from the role. April 17<o:p></o:p> * Pacific
Investment Management Co. LLC appointed Michael Thompson, executive vice president, as
head of Asia ex-Japan. Scott Steele, executive vice president and head of Hong Kong and
Singapore global wealth management, will assume Thompson's previous role as head of the
Singapore office. * Yuanta Financial Holdings appointed Pusit Kaewmongkolsri as director of
its unit Yuanta Securities (Thailand) Co. Ltd. * Orapong Thien-Ngern was appointed as head of
Digital Ventures, the fintech venture arm of Siam Commercial Bank PCL, the Bangkok Post
reported. * IFCI Ltd. said S. V. Ranganath, Savita Mahajan and K. S. Sreenivasan ceased to
be independent directors on its board. * Rizal Commercial Banking Corp. said that Chairman
Emeritus Alfonso Yuchengco died April 15. April 13<o:p></o:p> * U.K.-based Brit Ltd. named
David Lim CEO of Brit Global Specialty Singapore, effective May 15. * LIC Housing Finance
Ltd. appointed Vinay Sah as managing director and CEO, effective April 12. * India-based
Infosys Ltd. appointed Ravi Venkatesan, independent director, as co-chairman of its board. *
Allianz Group named Julia Zheng Kuik as head of corporate development for Asia-Pacific. *
Rory Morison was promoted to head of international casualty for Asia-Pacific at XL Catlin,
Insurance Business reported. XL Catlin is the global brand used by XL Group Ltd's 's insurance
and reinsurance companies.
IFCI independent directors leave post

Page 17 of 27
SNL News SNL News

Apr-17-2017 10:32 PM Mar-09-2017 02:22 AM
IFCI Ltd. said S. V. Ranganath, Savita Mahajan and K. S. Sreenivasan ceased to be Editor's note: This tracker covers possible deals reported by media across the Asia-Pacific
independent directors on its board, effective April 1. The former directors left their positions region over a certain period. The information is gathered from various news sources, excludes
upon completion of their three-year term, according to an April 17 release. confirmed deals and is limited to potential acquisitions or sales involving companies or
operations in the region. Click here to read the previous month's article. Australian financial
companies continued to look for ways to sell noncore assets in February, while those in Indian
denied speculation of merger talks amid a tough operating environment. Suncorp Group Ltd.
may sell all or part of its life insurance business after it placed the division under review,
according to Feb. 9 presentation. Below is a snapshot of February reports of possible deals
compiled by S&P Global Market Intelligence. The company said during its earnings
Asia-Pacific financial institutions M&A interest tracker
presentation that it "is exploring strategic alternatives for this business to better meet customer
needs and maximize shareholder value." Suncorp CEO Michael Cameron said options for the
business included partnerships and a sale of all or part of the business, Reuters reported Feb.
9. An analyst told S&P Global Market Intelligence that the possible sale is a good move on
Suncorp's part. The life insurance business "is a capital intensive business and a drag on the
group's ROE," said T.S. Lim, an analyst at Sydney-based Bell Potter Securities. Meanwhile,
Australia & New Zealand Banking Group Ltd. is looking to sell its holdings in banks across Asia
as part of its efforts to scale down its Asia business and focus on areas that offer higher returns.
ANZ CEO Shayne Elliott said the bank should focus on institutional business outside Australia
and New Zealand given the high degree of operational risk in doing business in multiple
countries, The Nikkei reported Feb. 2. In India, media outlets reported on merger talks
between financial companies, particularly banks, that were later denied. Union Bank of India
Chairman Arun Tiwari had to deny media reports that the bank was in merger talks with Dena
Bank, the Press Trust of India reported Feb. 13. Tiwari's statement came after Ashwani Kumar,
Dena Bank chairman and managing director, said earlier in the day that he had discussed with
a counterpart at Union Bank the possibility of a merger. Axis Bank Ltd. was also forced to deny
a media report about a possible merger between the bank and Kotak Mahindra Bank Ltd. Axis
Bank said Feb. 9 that the report was baseless speculation. The denial came after The Times of
India quoted unnamed sources as saying that there were strong reasons for a merger between
the two lenders. A merger could help the Indian government achieve its divestment target and
help Kotak Mahindra Bank's shareholders satisfy the central bank's requirement of cutting their
stake in the bank to 15% by 2020 from 33.6%. Bharat Financial Inclusion Ltd. denied in a Feb.
27 release that it was in merger talks with RBL Bank Ltd. following a report on CNBC TV 18
that the two were in discussions for a merger. Bharat Financial said the report was market
speculation, adding that it explores options from time to time. Bharat Financial Inclusion was
also reportedly considering a merger with IndusInd Bank Ltd. The two Indian companies denied
on Feb. 2 that they were in talks for a potential merger following a same-day report in The
Economic Times stating that IndusInd Bank is likely to merge with Bharat Financial through a
share swap agreement. Bharat Financial said the news item was merely market speculation,
while IndusInd Bank said it did not comment on speculative news. IFCI Ltd. denied it was
considering a merger with India Infrastructure Finance Co. Ltd., according to a Jan. 31
Page 18 of 27
statement. IFCI said no such negotiations were taking place after a news report on BTVi about
the merger. Speculation about consolidation in the Indian banking space is unsurprising given
the government push to clean up the financial sector, particularly state-owned banks which ADP Debt News
have struggled with bad loans that ate into their income and capitalization. State Bank of India Mar-01-2017 04:03 AM
is leading the charge with the merger of five of its subsidiaries. The move is also expected to
cut operational costs and improve the overall efficiency of the bank. Meanwhile, Japanese February 27, 2017 IFCI Limited Instrument* Rated Amount (in crore) Rating Action Long-term
financial institutions are also reportedly eyeing consolidation amid narrowing interest margins in bank borrowings 10,000.00 Downgraded from [ICRA]A+ (Stable) to [ICRA]A (Negative) Long-
the country. Mie Bank Ltd. and Daisan Bank Ltd. are said to be planning to merge in April 2018, term bonds (including Subordinated debt) 8000.00** Downgraded from [ICRA]A+ (Stable) to
The Nikkei reported Feb. 23. The two Japanese regional banks will sign a preliminary [ICRA]A (Negative) Bonds/NCD programme 2000.00 Downgraded from [ICRA]A+ (Stable) to
agreement with plans to set up a holding company under which the two banks would operate, [ICRA]A (Negative) Commercial paper programme 500.00 Reaffirmed at [ICRA]A1+
the report said. This is not the first time the two banks have been speculated to be considering *Instrument details are provided in Annexure-1 **outstanding amount is Rs. 4,488.45 crore
consolidation. The Yomiuri Shimbun reported in January that they were aiming to sign a merger Rating Action ICRA has downgraded the long-term rating assigned earlier to the Rs. Rs.
agreement by the end of March. Sumitomo Mitsui Financial Group Inc. and Resona Holdings 10,000.00 crore long-term bank borrowings, the Rs. 8,000.00 crore (outstanding Rs. 4,488.45
Inc. had to clarify in separate Feb. 20 statements that they had made no decision regarding a crore) long-term bond programme and the Rs. 2000.00 crore NCD programme of IFCI Limited
merger between Sumitomo Mitsui units Kansai Urban Banking Corp. and Minato Bank Ltd. and (IFCI) from [ICRA]A+ (pronounced ICRA A plus)1 to [ICRA]A (pronounced ICRA A) . ICRA has
Resona unit Kinki Osaka Bank Ltd. following media reports that the three regional banks were reaffirmed the short-term rating assigned earlier to the Rs. 500.00crore2 commercial paper
in talks to merge. A Feb. 20 report from The Nikkei said that Sumitomo Mitsui Financial and programme of IFCI at [ICRA]A1+ (pronounced ICRA A one plus). The outlook on the long-term
Resona were in talks to merge their regional units based around Osaka, Japan. The two ratings has been revised to 'Negative' from 'Stable'. Rationale The rating downgrade is driven
banking groups will set up a holding company under which the three banks would operate. by the sharp deterioration in IFCI's asset quality (gross NPAs at 25.8% and net NPAs at 21.4%
Resona will own the majority of the holding company, according to the report. Sumitomo Mitsui as on December 31, 2016), and the continued stress on the entity's loan book with very high
Financial said it was considering various strategic options for its subsidiaries, while Resona proportion of loan book being in the 120-150 days past due and under the stand-still clause and
said it was considering multiple options for its unit. To read articles about other deal hence not recognised as NPAs so far. In line with RBI's asset classification norms, the entity's
possibilities, click on the following headlines: Report: Royal Bank of Canada launches review NPA recognition criterion will change from March 31, 2017 to 120+ dpd from the current 150+
of Asia wealth management biz Report: KB Financial seeks buyer for Hyundai Asset dpd. Given the limited resolution of NPAs and the high proportion of 120+ dpd advances
Management JD.com sets sights on insurance, banking licenses KB Financial looking to boost currently in IFCI's loan book, ICRA expects the entity's reported asset quality and profitability to
holding in units KB Insurance, KB Capital Report: HSBC on hunt for asset management weaken further in the near term, unless there the pace of resolution is improved significantly.
acquisitions SK Securities' largest shareholder considering stake sale South Korea's KB Given the high likelihood of further slippages, the low provision coverage currently and the
Kookmin Bank to sell stake in Kazakhstan bank StanChart considering 3 options for Indonesia limited resolution of existing NPAs, ICRA expects IFCI's credit costs to remain high in the near
ops Report: AIA, Manulife submit bids for Siam Commercial Bank's life insurance biz 3 Indian to medium term, resulting in its internal capital generation remaining under pressure. While
state-owned general insurers may merge to unlock higher IPO value MetLife's plans to exit IFCI's reported capitalisation as on December 31, 2016 appears comfortable with Tier I capital
India JV hit a speed bump Srei Infrastructure Finance to off-load noncore biz Canara Bank to at 12.17% and capital to risk weighted assets ratio (CRAR) at 17.65% (as against Tier I of
dilute stake in Can Fin Homes State Bank of India looking to boost stake in credit card JVs 11.52% and CRAR of 16.9% as on March 31, 2016), the metrics are supported by the decline in
Reports: China's Dalian Wanda eyes European banks Portugal selects Lone Star for advances and hence risk weighted assets during 9MFY2017. ICRA also notes that the entity's
'concluding' Novo Banco sale talks Report: Potential bidders make indicative offers for HSH minimum Tier I capital requirements will also increase to 10.0% by March 31, 2017 from the
Nordbank F&G relaunches auction as Anbang approvals stall 8.25% applicable now. With reduced internal capital generation expected in FY2017 and
FY2018, ICRA expects the entity's capitalisation to weaken from current levels. IFCI may need
to raise additional capital or divest some strategic investments to absorb any further asset
quality related shocks. IFCI's ratings continue to be supported by its sovereign ownership, with
55.5% of equity being held by the Government of India (GOI) as on December 31, 2016. ICRA
has taken note of the expected capital support to IFCI from GOI in thenear term and given the
stress in the loan book, the size and timing of the capital infusion would be critical determinant
Long-term rating of various debt instruments of IFCI Limited downgraded to [ICRA]A; outlook
of IFCI's credit profile in near term. Overall, the company's ability to raise capital, control further
revised to Negative; short-term rating reaffirmed
slippages, improve recoveries against existing NPAs and improve its solvency profile in the
near term will continue to be key rating sensitivities. 1 For complete rating
scale and definitions, please refer to ICRA's website (www.icra.in) or other ICRA rating
Page 19 of 27
publications. 2 100 lakh = 1 crore = 10 million The entity's liquidity profile remained comfortable competitive positioning of IFCI in comparison with banks and other NBFCs. IFCI's business
given the long-term nature of liabilities and de-growth in its advances during 9M-FY2017, assets declined by 13% sequentially during 9MFY2017 to Rs. 29,671 crore as on December
primarily on account of weak corporate credit demand and its own high level of NPAs. ICRA 31, 2016. The entity's key exposures are towards real estate (16%), power generation (14%),
expects credit growth to remain constrained in the near term given the capital concerns, diversified infrastructure (12%), and construction (5%). IFCI's lending portfolio remains
especially given the increasing capital requirements and weak internal capital generation concentrated with its top 50 exposures accounting for 62% of the credit book and top 20
estimates. Key rating drivers Credit Strengths Majority GoI ownership; GoI holds 55.5% of exposures accounting for 38% of the credit book as on September 30, 2016. While a majority of
the equity as on December 31, 2016 Financial flexibility to raise capital by divesting strategic fresh disbursements during FY2016 and 9MFY2017 were to companies rated investment grade
equity investments Low cost of funds as compared to other NBFCs supported by a diversified by external rating companies, the entity's overall portfolio vulnerability remains on account of
borrowing profile and majority GoI ownership Comfortable liquidity position without any the exposures taken in earlier years. ICRA expects IFCI to maintain adequate lending spreads
significant cumulative mismatches in any bucket Credit Weaknesses Weak asset quality given its incremental yields of 10-13% and cost of funds of around 9%. While the company's
which is expected to deteriorate further in the near term, on account of limited resolution of cost of funds is competitive within the NBFC space, it is higher than that of banks and financial
existing NPAs, high vulnerability of loan book and change in NPA recognition norms Credits institutions, thereby limiting its ability to attract high credit quality borrowers. Accordingly, IFCI's
costs to remain elevated and profitability under pressure in the near to medium term, on portfolio is largely characterised by borrowers with moderate credit quality who are more
account of low provision coverage currently and expectation of further deterioration in asset vulnerable to economic cycles. With the slowdown in economic conditions and its high level of
quality Increasing capital requirements to reduce the capital buffer in case of further asset credit concentrated, the entity's asset quality has deteriorated over the last two years. IFCI's
quality shocks and also limit the headroom for credit growth Intense competition from banks ability to recover from stressed exposures and control fresh NPA generation will be critical
and other financial institutions that offer loans at competitive rates High credit concentration going forward, and will remain a key rating sensitivity. The company's solvency profile has also
risk given the large ticket corporate loans Description of key rating drivers highlighted above: deteriorated from 40% in March 2016 to 73% in September 2016. With sizeable investments in
The entity's weak asset quality profile is reflected in its gross NPAs of 25.8% as on December group entities and subsidiaries and exposure to illiquid equity and equity like instruments, IFCI's
31, 2016 and standard restructured advances of 11.3% as on September 30, 2016, and the ability to liquidate these in a timely and profitable manner would have bearing on its economic
high share (~20.4%) of 120+dpd in the standard advances in December 2016. In line with RBI's capitalisation profile. IFCI's liquidity profile is adequate on account of its favourable asset
asset classification norms, the NPA recognition criterion will change from March 31, 2017 to liability matching; availability of undrawn limits even as ~17% of its assets are relatively illiquid
120+ days from the 150+ days currently, and given the entity's current delinquency mix, its investments. Overall, IFCI's ability to resolve stressed assets, contain further slippages, and
reported asset quality is likely to deteriorate further in near to medium term. The share of raise fresh capital or liquidate investments would have a bearing on its credit profile.Analytical
restructured advances stood at 11.3% as on September 30, 2016, lower than the 18.2% as on approach: For arriving at the ratings, apart from assessing IFCI's standalone credit profile,
March 31, 2016 with some of the accounts slipping into the NPA category. High level of NPAs ICRA has taken into account its sovereign ownership. Links to applicable Criteria NBFC Credit
and limited resolution are expected to lead to elevated credit cost (credit provisions/ ATA3 of Rating -A Note on Methodology About the Company: The Government of India established The
3.2% as on September 30, 2016, up from 2.5% as on March 31, 2016), translating into a further Industrial Finance Corporation of India (IFCI) on July 1, 1948, as a Development Financial
pressure on its profitability (PAT/ATA of -0.5% in H1FY2017 and ~1% in FY2016). Profitability Institution to cater to the long-term financial needs of the industrial sector. IFCI was provided
declined further to -0.6% in 9MFY2017 with company reporting further losses in Q3FY2017. access to low-cost funds through the central bank's Statutory Liquidity Ratio or SLR, which in
With weak internal capital generation and expected deterioration in asset quality, the cushion turn enabled it to provide loans and advances to corporate borrowers at concessional rates.
from regulatory minimum Tier I requirement is also likely to reduce as the Tier I capital The constitution of IFCI was changed in 1993 from a statutory corporation to a company under
requirements increase to 10% as on March 31, 2017 from 8.25% currently. Despite the losses the Indian Companies Act, 1956. Subsequently, the name of the company was also changed to
and deterioration in asset quality 3 Average total assets during 9MFY2017, "IFCI Limited" with effect from October 1999. In the early 2000s, IFCI witnessed a
IFCI reported an improvement in CRAR from 16.9% to 17.65% and Tier I from 11.52% to deterioration in asset quality, resulting in high credit losses, which wiped off its entire net worth.
12.17% respectively from March 31, 2016 to December 31, 2016largely on account of a In FY2003, the GoI, in consultation with the other stakeholders, worked out a financial rescue
reduction in credit book resulting in lower quantum of risk weighted assets. The long-term package for IFCI that included restructuring of its liabilities. IFCI's net worth turned positive in
nature of liabilities and degrowth in the loan book has also aided the entity's liquidity, which is FY2007 and it resumed its lending operations in January 2008. IFCI was categorised as a
also supported by positive mismatches in near term buckets. IFCI's ability to improve the Systemically Important Non-Deposit taking Non-Banking Financial Company (NBFC-ND-SI) by
cushion from regulatory capital levels in the backdrop of asset quality shocks through the Reserve Bank of India in FY2008. During FY2013, GoI converted the company's Rs. 923
divestment of strategic investments or by raising fresh capital will be critical in near term. The crore Optionally Convertible Debentures into equity. GoI owns 55.5% equity stake in IFCI as on
ratings continue to be supported by the entity's sovereign ownership, its adequate liquidity December 31, 2016. During FY2016, IFCI reported a profit after tax (PAT) of Rs. 337 crore on
profile, diversified borrowing profile and financial flexibility in the form of strategic investments. an asset base of Rs.36,088 crore as against a PAT of Rs. 225 crore on an asset base of
The ratings are also supported by the management's initiative to reduce the benchmark lending Rs.34,082 crore in FY2015. During 9MFY2017, IFCI reported a net loss of Rs. 140.59 crore.
rate and introduce short term loan products at lower rates, which are expected to improve the IFCI's gross and net NPAs stood at 25.8.6% and 21.4% respectively as on December 31, 2016.
Page 20 of 27
IFCI's Tier I capital and CRAR stood at 12.17% and 17.65% respectively as on December 31, ON12 31-Dec-2011 10.60% Dec-21 1.75 [ICRA]A (Negative) INE039A09OP2 ON12 31-Jan-
2016. Status of non-cooperation with previous CRA: Not Applicable Any other information: Not 2012 10.40% Jan-19 2.96 [ICRA]A (Negative) INE039A09OQ0 ON12 28-Feb-2012 10.20%
Applicable Rating History for last three years: Table: Rating History S.NoName of Instrument Feb-17 2.11 [ICRA]A (Negative) INE039A09OR8 ON12 28-Feb-2012 10.25% Feb-22 0.40
Current Rating Chronology of Rating History for the past 3 years Type Rated amount (Rs. [ICRA]A (Negative) INE039A09OS6 ON12 31-Mar-2012 10.20% Mar-17 4.87 [ICRA]A
crore) Monthyear & Rating Month- year & Rating in FY2016 Month- year & Rating in FY2015 (Negative) INE039A09OT4 ON12 31-Mar-2012 10.25% Mar-22 0.89 [ICRA]A (Negative)
Month- year & Rating in FY2014February 2017March 2016March 2015December 2014 1 Fund INE039A09OY4 ON12 30-Apr-2012 10.20% Apr-17 6.05 [ICRA]A (Negative) INE039A09CF8
Based Bank Limits Long Term 10000.00 [ICRA]A (Negative) [ICRA]A+ (Stable) [ICRA]A+ OT00 31-Jan-2000 6.00% Jan-17 10.00 [ICRA]A (Negative) INE039A09DN0 OT02 25-Jan-
(Stable) [ICRA]A (Stable) 2 Long Term Bonds (including subordinated Debt) Long Term 2002 6.00% Jan-22 200.00 [ICRA]A (Negative) OT02 28-Feb-2002 9.00% Feb-19 1.00
8000.00* [ICRA]A (Negative) [ICRA]A+ (Stable) [ICRA]A+ (Stable) [ICRA]A (Stable) 3 [ICRA]A (Negative) OT03 31-Jul-2002 9.00% Jul-17 0.10 [ICRA]A (Negative) INE039A09NP4
Bonds/NCD Programme Long Term 2000.00 [ICRA]A (Negative) [ICRA]A+ (Stable) [ICRA]A+ S2 25-Aug-2011 10.55% Aug-21 200.00 [ICRA]A (Negative) INE039A09PT1 TFB 31-Mar-2014
(Stable) [ICRA]A (Stable) 4 Commercial Paper Programme Short Term 500.00 [ICRA]A1+ 8.39% Mar-24 165.00 [ICRA]A (Negative)ISINName of the instrument Date of issuance ROI
[ICRA]A1+ [ICRA]A1+ [ICRA]A1 *outstanding amount is Rs. 8000.00 crore as on December 31, Maturity Date O/s amount as on December 31, 2016 (in Rs. crore) Current Rating Long Term
2016 Complexity level of the rated instrument: ICRA has classified various instruments based Bonds (including subordinated Debt) INE039A09PU9 TFB 31-Mar-2014 8.39% Mar-29
on their complexity as "Simple", "Complex" and "Highly Complex". The classification of 145.00 [ICRA]A (Negative) BE 22-Oct-2002 6.00% Dec-22 50.00 [ICRA]A (Negative) BE 27-
instruments according to their complexity levels is available on the website www.icra.in Sep-2002 6.00% Nov-22 45.00 [ICRA]A (Negative) BE 18-Nov-2002 6.00% Oct-22 25.00
Annexure-1 Details of Instrument ISINName of the instrument Date of issuance ROI Maturity [ICRA]A (Negative) BE 24-Feb-2000 6.00% Feb-20 5.00 [ICRA]A (Negative) BE 10-Dec-2002
Date O/s amount as on December 31, 2016 (in Rs. crore) Current Rating Long Term Bonds 6.00% Sep-22 50.00 [ICRA]A (Negative) BE 28-Feb-2000 6.00% Feb-20 5.00 [ICRA]A
(including subordinated Debt) INE039A09294 20 25-Jan-1998 6.00% Jan-18 1.60 [ICRA]A (Negative) INE039A09OA4 I3 12-Dec-2011 8.75% Dec-26 3.20 [ICRA]A (Negative)
(Negative) INE039A09542 28 7-Jun-1999 6.00% Jun-19 0.50 [ICRA]A (Negative) INE039A09NX8 I3 12-Dec-2011 8.50% Dec-21 55.73 [ICRA]A (Negative) INE039A09NY6 I3
INE039A09914 33 20-Mar-2000 6.00% Mar-17 10.00 [ICRA]A (Negative) INE039A09GG7 35 12-Dec-2011 8.50% Dec-21 21.53 [ICRA]A (Negative) INE039A09NZ3 I3 12-Dec-2011 8.75%
18-May-2000 6.00% May-20 5.00 [ICRA]A (Negative) INE039A09AL0 37 20-Sep-2000 6.00% Dec-26 9.68 [ICRA]A (Negative) INE039A09OG1 I4 15-Feb-2012 9.16% Feb-27 36.74 [ICRA]A
Sep-20 12.50 [ICRA]A (Negative) INE039A09GP8 40 15-Feb-2001 6.00% Feb-21 25.00 (Negative) INE039A09OE6 I4 15-Feb-2012 9.09% Feb-22 232.38 [ICRA]A (Negative)
[ICRA]A (Negative) INE039A09BL8 41 20-May-2001 6.00% May-18 3.00 [ICRA]A (Negative) INE039A09OF3 I4 15-Feb-2012 9.09% Feb-22 56.93 [ICRA]A (Negative) INE039A09OH9 I4
INE039A09GY0 43 20-Apr-2002 6.00% Apr-17 21.50 [ICRA]A (Negative) INE039A09GY0 43 15-Feb-2012 9.16% Feb-27 10.29 [ICRA]A (Negative) INE039A09OU2 I5 31-Mar-2012 8.50%
20-Apr-2002 9.00% Apr-17 1.77 [ICRA]A (Negative) INE039A09088 50R 14-Jun-1988 8.41% Mar-24 77.73 [ICRA]A (Negative) INE039A09OW8 I5 31-Mar-2012 8.72% Mar-27 19.40
Jun-18 133.85 [ICRA]A (Negative) INE039A09096 51R 13-Dec-1988 6.07% Dec-18 146.20 [ICRA]A (Negative) INE039A09OX6 I5 31-Mar-2012 8.72% Mar-27 6.36 [ICRA]A (Negative)
[ICRA]A (Negative) INE039A09104 52R 28-Feb-1989 6.02% Feb-19 26.12 [ICRA]A (Negative) INE039A09OV0 I5 31-Mar-2012 8.50% Mar-24 22.04 [ICRA]A (Negative) INE039A09NL3 S1 1-
INE039A09112 53R 30-May-1989 6.10% May-19 153.40 [ICRA]A (Negative) INE039A09120 Aug-2011 10.75% Aug-26 403.59 [ICRA]A (Negative) INE039A09NM1 S1 1-Aug-2011 10.75%
54R 19-Sep-1989 7.07% Sep-19 99.42 [ICRA]A (Negative) INE039A09138 55R 26-Dec-1989 Aug-26 64.96 [ICRA]A (Negative) INE039A09NJ7 S1 1-Aug-2011 10.50% Aug-21 169.63
7.69% Dec-19 58.39 [ICRA]A (Negative) INE039A09146 56R 26-Jun-1990 7.65% Jun-20 [ICRA]A (Negative) INE039A09NK5 S1 1-Aug-2011 10.50% Aug-21 21.69 [ICRA]A (Negative)
163.82 [ICRA]A (Negative) INE039A09153 57R 24-Sep-1990 7.87% Sep-20 110.70 [ICRA]A ISINName of the instrument Date of issuance ROI Maturity Date O/s amount as on December
(Negative) INE039A09161 58R 26-Dec-1990 7.90% Dec-20 56.85 [ICRA]A (Negative) 31, 2016 (in Rs. crore) Current Rating Long Term Bonds (including subordinated Debt)
INE039A09179 59R 19-Aug-1991 8.26% Aug-21 147.37 [ICRA]A (Negative) INE039A09187 INE039A09NP4 S2 25-Aug-2011 10.55% Aug-21 200.00 [ICRA]A (Negative) INE039A09NT6
60R 13-Jan-1992 8.19% Jan-22 138.25 [ICRA]A (Negative) INE039A09195 61R 3-Mar-1992 S3 31-Oct-2011 10.50% Oct-21 3.89 [ICRA]A (Negative) INE039A09NW0 S3 31-Oct-2011
8.22% Mar-22 46.22 [ICRA]A (Negative) ISINName of the instrument Date of issuance ROI 10.75% Oct-26 102.49 [ICRA]A (Negative) INE039A09NU4 S3 31-Oct-2011 10.60% Oct-21
Maturity Date O/s amount as on December 31, 2016 (in Rs. crore) Current Rating Long Term 4.23 [ICRA]A (Negative) INE039A09NV2 S3 31-Oct-2011 10.60% Oct-21 74.51 [ICRA]A
Bonds (including subordinated Debt) INE039A09203 62R 14-Sep-1992 7.89% Sep-17 176.86 (Negative) INE039A09OL1 S4 28-Feb-2012 10.50% Feb-22 64.70 [ICRA]A (Negative)
[ICRA]A (Negative) INE039A09211 63R 8-Oct-1992 7.96% Oct-17 176.43 [ICRA]A (Negative) INE039A09OM9 S4 28-Feb-2012 10.70% Feb-27 123.63 [ICRA]A (Negative) Total 4488.45
INE039A09229 64R 28-Jan-1993 7.50% Jan-18 9.40 [ICRA]A (Negative) INE039A09ND0 Bonds/NCD Programme O/s amount as on December 31, 2016 in Rs. crore Current Rating
ON12 30-Apr-2011 10.00% Apr-21 26.20 [ICRA]A (Negative) INE039A09NF5 ON12 31-May- INE039A07785 Public IssueTranche I 1-Dec-2014 9.90% Dec-21 176.79 [ICRA]A (Negative)
2011 10.20% May-21 0.30 [ICRA]A (Negative) INE039A09NG3 ON12 31-May-2011 10.40% INE039A07777 Public IssueTranche I 1-Dec-2014 9.40% Dec-19 57.19 [ICRA]A (Negative)
May-18 20.06 [ICRA]A (Negative) INE039A09NO7 ON12 31-Jul-2011 10.40% Jul-18 4.00 INE039A07793 Public IssueTranche I 1-Dec-2014 9.90% Dec-24 11.22 [ICRA]A (Negative)
[ICRA]A (Negative) INE039A09NR0 ON12 31-Aug-2011 10.40% Aug-18 1.64 [ICRA]A INE039A07801 Public IssueTranche I 1-Dec-2014 9.90% Dec-21 606.17 [ICRA]A (Negative)
(Negative) INE039A09NS8 ON12 31-Aug-2011 10.50% Aug-21 6.38 [ICRA]A (Negative) INE039A07751 Public IssueTranche I 1-Dec-2014 9.80% Dec-19 296.54 [ICRA]A (Negative)
INE039A09OD8 ON12 30-Nov-2011 10.60% Nov-21 0.30 [ICRA]A (Negative) INE039A09OK3 INE039A07769 Public IssueTranche I 1-Dec-2014 9.80% Dec-19 19.46 [ICRA]A (Negative)
Page 21 of 27
INE039A07819 Public IssueTranche I 1-Dec-2014 9.90% Dec-24 41.82 [ICRA]A (Negative)
INE039A07827 Public IssueTranche II 13-Feb-2015 9.35% Feb-20 401.13 [ICRA]A (Negative)
Long-term rating of various debt instruments of IFCI Limited downgraded to [ICRA]A; outlook
revised to Negative; short-term rating reaffirmed
Total 1972.3* *Out of the total rated amount of Rs 2000 crore only Rs. 1972.3 crore was
issued. Source: IFCI Limited Name of the Instrument Size of the issue (Rs. Cr) Coupon
Maturity Current Rating Fund Based Bank Limits 10000.00* - Up to FY2022 [ICRA]A (Negative)
Commercial Paper 500.00 - - [ICRA]A1+ *outstanding amount as on December 31, 2016 is Rs.
5390.6 crore Name and Contact Details of the Rating Analyst(s): Rohit Inamdar +91 124
4545807 rohit.inamdar@icraindia.com Manushree Saggar +91 124 4545316
manushrees@icraindia.com Anil Gupta +91 124 4545314 anilg@icraindia.com Deepak Gupta
+91 124 4545442 deepak.gupta@icraindia.com Name and Contact Details of
Relationship Contacts: L. Shivakumar +91-22-30470005 shivakumar@icraindia.com About
ICRA Limited:ICRA Limited was set up in 1991 by leading financial/investment institutions,
commercial banks and financial services companies as an independent and professional
investment Information and Credit Rating Agency. Today, ICRA and its subsidiaries together
form the ICRA Group of Companies (Group ICRA). ICRA is a Public Limited Company, with its
shares listed on the Bombay Stock Exchange and the National Stock Exchange. The
international Credit Rating Agency Moody's Investors Service is ICRA's largest shareholder. For
more information, visit www.icra.in Copyright, 2017, ICRA Limited. All Rights
ReservedContents may be used freely with due acknowledgement to ICRAICRA ratings should
not be treated as recommendation to buy, sell or hold the rated debt instruments. ICRA ratings
are subject to a process of surveillance, which may lead to revision in ratings. An ICRA rating is
a symbolic indicator of ICRA's current opinion on the relative capability of the issuer concerned
to timely service debts and obligations, with reference to the instrument rated. Please visit our
website www.icra.in or contact any ICRA office for the latest information on ICRA ratings
outstanding. All information contained herein has been obtained by ICRA from sources believed
by it to be accurate and reliable, including the rated issuer. ICRA however has not conducted
any audit of the rated issuer or of the information provided by it. While reasonable care has
been taken to ensure that the information herein is true, such information is provided 'as is'
without any warranty of any kind, and ICRA in particular, makes no representation or warranty,
express or implied, as to the accuracy, timeliness or completeness of any such information.
Also, ICRA or any of its group companies may have provided services other than rating to the
issuer rated. All information contained herein must be construed solely as statements of
opinion, and ICRA shall not be liable for any losses incurred by users from any use of this
publication or its contents.Rating Agency Website: http://www.icra.in****** AII Data Processing
does not endorse in any way, the views, opinions or recommendations expressed above. The
use of the information is subject to the terms and conditions as published by the original
source, which you have to read and accept in full prior to the execution of any actions taken in
reliance on information contained herein.

Page 22 of 27
near term will continue to be key rating sensitivities. The entity's liquidity profile remained
comfortable given the long-term nature of liabilities and de-growth in its advances during 9M-
ADP Debt News FY2017, primarily on account of weak corporate credit demand and its own high level of NPAs.
Feb-28-2017 04:26 AM ICRA expects credit growth to remain constrained in the near term given the capital concerns,
especially given the increasing capital requirements and weak internal capital generation
February 27, 2017 IFCI Limited Instrument* Rated Amount (in crore) Rating Action Long-term estimates. Key rating drivers Credit Strengths Majority GoI ownership; GoI holds 55.5% of
bank borrowings 10,000.00 Downgraded from [ICRA]A+ (Stable) to [ICRA]A (Negative) Long- the equity as on December 31, 2016 Financial flexibility to raise capital by divesting strategic
term bonds (including Subordinated debt) 8000.00** Downgraded from [ICRA]A+ (Stable) to equity investments Low cost of funds as compared to other NBFCs supported by a diversified
[ICRA]A (Negative) Bonds/NCD programme 2000.00 Downgraded from [ICRA]A+ (Stable) to borrowing profile and majority GoI ownership Comfortable liquidity position without any
[ICRA]A (Negative) Commercial paper programme 500.00 Reaffirmed at [ICRA]A1+ significant cumulative mismatches in any bucket Credit Weaknesses Weak asset quality
*Instrument details are provided in Annexure-1 **outstanding amount is Rs. 4,488.45 crore which is expected to deteriorate further in the near term, on account of limited resolution of
Rating Action ICRA has downgraded the long-term rating assigned earlier to the Rs. Rs. existing NPAs, high vulnerability of loan book and change in NPA recognition norms Credits
10,000.00 crore long-term bank borrowings, the Rs. 8,000.00 crore (outstanding Rs. 4,488.45 costs to remain elevated and profitability under pressure in the near to medium term, on
crore) long-term bond programme and the Rs. 2000.00 crore NCD programme of IFCI Limited account of low provision coverage currently and expectation of further deterioration in asset
(IFCI) from [ICRA]A+ (pronounced ICRA A plus)1 to [ICRA]A (pronounced ICRA A) . ICRA has quality Increasing capital requirements to reduce the capital buffer in case of further asset
reaffirmed the short-term rating assigned earlier to the Rs. 500.00crore2 commercial paper quality shocks and also limit the headroom for credit growth Intense competition from banks
programme of IFCI at [ICRA]A1+ (pronounced ICRA A one plus). The outlook on the long-term and other financial institutions that offer loans at competitive rates High credit concentration
ratings has been revised to 'Negative' from 'Stable'. Rationale The rating downgrade is driven risk given the large ticket corporate loans Description of key rating drivers highlighted above:
by the sharp deterioration in IFCI's asset quality (gross NPAs at 25.8% and net NPAs at 21.4% The entity's weak asset quality profile is reflected in its gross NPAs of 25.8% as on December
as on December 31, 2016), and the continued stress on the entity's loan book with very high 31, 2016 and standard restructured advances of 11.3% as on September 30, 2016, and the
proportion of loan book being in the 120-150 days past due and under the stand-still clause and high share (~20.4%) of 120+dpd in the standard advances in December 2016. In line with RBI's
hence not recognised as NPAs so far. In line with RBI's asset classification norms, the entity's asset classification norms, the NPA recognition criterion will change from March 31, 2017 to
NPA recognition criterion will change from March 31, 2017 to 120+ dpd from the current 150+ 120+ days from the 150+ days currently, and given the entity's current delinquency mix, its
dpd. Given the limited resolution of NPAs and the high proportion of 120+ dpd advances reported asset quality is likely to deteriorate further in near to medium term. The share of
currently in IFCI's loan book, ICRA expects the entity's reported asset quality and profitability to restructured advances stood at 11.3% as on September 30, 2016, lower than the 18.2% as on
weaken further in the near term, unless there the pace of resolution is improved significantly. March 31, 2016 with some of the accounts slipping into the NPA category. High level of NPAs
Given the high likelihood of further slippages, the low provision coverage currently and the and limited resolution are expected to lead to elevated credit cost (credit provisions/ ATA3 of
limited resolution of existing NPAs, ICRA expects IFCI's credit costs to remain high in the near 3.2% as on September 30, 2016, up from 2.5% as on March 31, 2016), translating into a further
to medium term, resulting in its internal capital generation remaining under pressure. While pressure on its profitability (PAT/ATA of -0.5% in H1FY2017 and ~1% in FY2016). Profitability
IFCI's reported capitalisation as on December 31, 2016 appears comfortable with Tier I capital declined further to -0.6% in 9MFY2017 with company reporting further losses in Q3FY2017.
at 12.17% and capital to risk weighted assets ratio (CRAR) at 17.65% (as against Tier I of With weak internal capital generation and expected deterioration in asset quality, the cushion
11.52% and CRAR of 16.9% as on March 31, 2016), the metrics are supported by the decline in from regulatory minimum Tier I requirement is also likely to reduce as the Tier I capital
advances and hence risk weighted assets during 9MFY2017. ICRA also notes that the entity's requirements increase to 10% as on March 31, 2017 from 8.25% currently. Despite the losses
minimum Tier I capital requirements will also increase to 10.0% by March 31, 2017 from the and deterioration in asset quality 3 Average total assets during 9MFY2017,
8.25% applicable now. With reduced internal capital generation expected in FY2017 and IFCI reported an improvement in CRAR from 16.9% to 17.65% and Tier I from 11.52% to
FY2018, ICRA expects the entity's capitalisation to weaken from current levels. IFCI may need 12.17% respectively from March 31, 2016 to December 31, 2016largely on account of a
to raise additional capital or divest some strategic investments to absorb any further asset reduction in credit book resulting in lower quantum of risk weighted assets. The long-term
quality related shocks. IFCI's ratings continue to be supported by its sovereign ownership, with nature of liabilities and degrowth in the loan book has also aided the entity's liquidity, which is
55.5% of equity being held by the Government of India (GOI) as on December 31, 2016. ICRA also supported by positive mismatches in near term buckets. IFCI's ability to improve the
has taken note of the expected capital support to IFCI from GOI in the 1 For cushion from regulatory capital levels in the backdrop of asset quality shocks through
complete rating scale and definitions, please refer to ICRA's website (www.icra.in) or other divestment of strategic investments or by raising fresh capital will be critical in near term. The
ICRA rating publications. 2 100 lakh = 1 crore = 10 million near term and given the stress in the ratings continue to be supported by the entity's sovereign ownership, its adequate liquidity
loan book, the size and timing of the capital infusion would be critical determinant of IFCI's profile, diversified borrowing profile and financial flexibility in the form of strategic investments.
credit profile in near term. Overall, the company's ability to raise capital, control further The ratings are also supported by the management's initiative to reduce the benchmark lending
slippages, improve recoveries against existing NPAs and improve its solvency profile in the rate and introduce short term loan products at lower rates, which are expected to improve the
Page 23 of 27
competitive positioning of IFCI in comparison with banks and other NBFCs. IFCI's business IFCI's Tier I capital and CRAR stood at 12.17% and 17.65% respectively as on December 31,
assets declined by 13% sequentially during 9MFY2017 to Rs. 29,671 crore as on December 2016. Status of non-cooperation with previous CRA: Not Applicable Any other information: Not
31, 2016. The entity's key exposures are towards real estate (16%), power generation (14%), Applicable Rating History for last three years: Table: Rating History S.NoName of Instrument
diversified infrastructure (12%), and construction (5%). IFCI's lending portfolio remains Current Rating Chronology of Rating History for the past 3 years Type Rated amount (Rs.
concentrated with its top 50 exposures accounting for 62% of the credit book and top 20 crore) Monthyear & Rating Month- year & Rating in FY2016 Month- year & Rating in FY2015
exposures accounting for 38% of the credit book as on September 30, 2016. While a majority of Month- year & Rating in FY2014February 2017March 2016March 2015December 2014 1 Fund
fresh disbursements during FY2016 and 9MFY2017 were to companies rated investment grade Based Bank Limits Long Term 10000.00 [ICRA]A (Negative) [ICRA]A+ (Stable) [ICRA]A+
by external rating companies, the entity's overall portfolio vulnerability remains on account of (Stable) [ICRA]A (Stable) 2 Long Term Bonds (including subordinated Debt) Long Term
the exposures taken in earlier years. ICRA expects IFCI to maintain adequate lending spreads 8000.00* [ICRA]A (Negative) [ICRA]A+ (Stable) [ICRA]A+ (Stable) [ICRA]A (Stable) 3
given its incremental yields of 10-13% and cost of funds of around 9%. While the company's Bonds/NCD Programme Long Term 2000.00 [ICRA]A (Negative) [ICRA]A+ (Stable) [ICRA]A+
cost of funds is competitive within the NBFC space, it is higher than that of banks and financial (Stable) [ICRA]A (Stable) 4 Commercial Paper Programme Short Term 500.00 [ICRA]A1+
institutions, thereby limiting its ability to attract high credit quality borrowers. Accordingly, IFCI's [ICRA]A1+ [ICRA]A1+ [ICRA]A1 *outstanding amount is Rs. 8000.00 crore as on December 31,
portfolio is largely characterised by borrowers with moderate credit quality who are more 2016 Complexity level of the rated instrument: ICRA has classified various instruments based
vulnerable to economic cycles. With the slowdown in economic conditions and its high level of on their complexity as "Simple", "Complex" and "Highly Complex". The classification of
credit concentrated, the entity's asset quality has deteriorated over the last two years. IFCI's instruments according to their complexity levels is available on the website www.icra.in
ability to recover from stressed exposures and control fresh NPA generation will be critical Annexure-1 Details of Instrument ISINName of the instrument Date of issuance ROI Maturity
going forward, and will remain a key rating sensitivity. The company's solvency profile has also Date O/s amount as on December 31, 2016 (in Rs. crore) Current Rating Long Term Bonds
deteriorated from 40% in March 2016 to 73% in September 2016. With sizeable investments in (including subordinated Debt) INE039A09294 20 25-Jan-1998 6.00% Jan-18 1.60 [ICRA]A
group entities and subsidiaries and exposure to illiquid equity and equity like instruments, IFCI's (Negative) INE039A09542 28 7-Jun-1999 6.00% Jun-19 0.50 [ICRA]A (Negative)
ability to liquidate these in a timely and profitable manner would have bearing on its economic INE039A09914 33 20-Mar-2000 6.00% Mar-17 10.00 [ICRA]A (Negative) INE039A09GG7 35
capitalisation profile. IFCI's liquidity profile is adequate on account of its favourable asset 18-May-2000 6.00% May-20 5.00 [ICRA]A (Negative) INE039A09AL0 37 20-Sep-2000 6.00%
liability matching; availability of undrawn limits even as ~17% of its assets are relatively illiquid Sep-20 12.50 [ICRA]A (Negative) INE039A09GP8 40 15-Feb-2001 6.00% Feb-21 25.00
investments. Overall, IFCI's ability to resolve stressed assets, contain further slippages, and [ICRA]A (Negative) INE039A09BL8 41 20-May-2001 6.00% May-18 3.00 [ICRA]A (Negative)
raise fresh capital or liquidate investments would have a bearing on its credit profile. Analytical INE039A09GY0 43 20-Apr-2002 6.00% Apr-17 21.50 [ICRA]A (Negative) INE039A09GY0 43
approach: For arriving at the ratings, apart from assessing IFCI's standalone credit profile, 20-Apr-2002 9.00% Apr-17 1.77 [ICRA]A (Negative) INE039A09088 50R 14-Jun-1988 8.41%
ICRA has taken into account its sovereign ownership. Links to applicable Criteria NBFC Credit Jun-18 133.85 [ICRA]A (Negative) INE039A09096 51R 13-Dec-1988 6.07% Dec-18 146.20
Rating -A Note on Methodology About the Company: The Government of India established The [ICRA]A (Negative) INE039A09104 52R 28-Feb-1989 6.02% Feb-19 26.12 [ICRA]A (Negative)
Industrial Finance Corporation of India (IFCI) on July 1, 1948, as a Development Financial INE039A09112 53R 30-May-1989 6.10% May-19 153.40 [ICRA]A (Negative) INE039A09120
Institution to cater to the long-term financial needs of the industrial sector. IFCI was provided 54R 19-Sep-1989 7.07% Sep-19 99.42 [ICRA]A (Negative) INE039A09138 55R 26-Dec-1989
access to low-cost funds through the central bank's Statutory Liquidity Ratio or SLR, which in 7.69% Dec-19 58.39 [ICRA]A (Negative) INE039A09146 56R 26-Jun-1990 7.65% Jun-20
turn enabled it to provide loans and advances to corporate borrowers at concessional rates. 163.82 [ICRA]A (Negative) INE039A09153 57R 24-Sep-1990 7.87% Sep-20 110.70 [ICRA]A
The constitution of IFCI was changed in 1993 from a statutory corporation to a company under (Negative) INE039A09161 58R 26-Dec-1990 7.90% Dec-20 56.85 [ICRA]A (Negative)
the Indian Companies Act, 1956. Subsequently, the name of the company was also changed to INE039A09179 59R 19-Aug-1991 8.26% Aug-21 147.37 [ICRA]A (Negative) INE039A09187
"IFCI Limited" with effect from October 1999. In the early 2000s, IFCI witnessed a 60R 13-Jan-1992 8.19% Jan-22 138.25 [ICRA]A (Negative) INE039A09195 61R 3-Mar-1992
deterioration in asset quality, resulting in high credit losses, which wiped off its entire net worth. 8.22% Mar-22 46.22 [ICRA]A (Negative) ISINName of the instrument Date of issuance ROI
In FY2003, the GoI, in consultation with the other stakeholders, worked out a financial rescue Maturity Date O/s amount as on December 31, 2016 (in Rs. crore) Current Rating Long Term
package for IFCI that included restructuring of its liabilities. IFCI's net worth turned positive in Bonds (including subordinated Debt) INE039A09203 62R 14-Sep-1992 7.89% Sep-17 176.86
FY2007 and it resumed its lending operations in January 2008. IFCI was categorised as a [ICRA]A (Negative) INE039A09211 63R 8-Oct-1992 7.96% Oct-17 176.43 [ICRA]A (Negative)
Systemically Important Non-Deposit taking Non-Banking Financial Company (NBFC-ND-SI) by INE039A09229 64R 28-Jan-1993 7.50% Jan-18 9.40 [ICRA]A (Negative) INE039A09ND0
the Reserve Bank of India in FY2008. During FY2013, GoI converted the company's Rs. 923 ON12 30-Apr-2011 10.00% Apr-21 26.20 [ICRA]A (Negative) INE039A09NF5 ON12 31-May-
crore Optionally Convertible Debentures into equity. GoI owns 55.5% equity stake in IFCI as on 2011 10.20% May-21 0.30 [ICRA]A (Negative) INE039A09NG3 ON12 31-May-2011 10.40%
December 31, 2016. During FY2016, IFCI reported a profit after tax (PAT) of Rs. 337 crore on May-18 20.06 [ICRA]A (Negative) INE039A09NO7 ON12 31-Jul-2011 10.40% Jul-18 4.00
an asset base of Rs.36,088 crore as against a PAT of Rs. 225 crore on an asset base of [ICRA]A (Negative) INE039A09NR0 ON12 31-Aug-2011 10.40% Aug-18 1.64 [ICRA]A
Rs.34,082 crore in FY2015. During 9MFY2017, IFCI reported a net loss of Rs. 140.59 crore. (Negative) INE039A09NS8 ON12 31-Aug-2011 10.50% Aug-21 6.38 [ICRA]A (Negative)
IFCI's gross and net NPAs stood at 25.8.6% and 21.4% respectively as on December 31, 2016. INE039A09OD8 ON12 30-Nov-2011 10.60% Nov-21 0.30 [ICRA]A (Negative) INE039A09OK3
Page 24 of 27
ON12 31-Dec-2011 10.60% Dec-21 1.75 [ICRA]A (Negative) INE039A09OP2 ON12 31-Jan- (Negative) INE039A07819 Public IssueTranche I 1-Dec-2014 9.90% Dec-24 41.82 [ICRA]A
2012 10.40% Jan-19 2.96 [ICRA]A (Negative) INE039A09OQ0 ON12 28-Feb-2012 10.20% (Negative) INE039A07827 Public IssueTranche II 13-Feb-2015 9.35% Feb-20 401.13 [ICRA]A
Feb-17 2.11 [ICRA]A (Negative) INE039A09OR8 ON12 28-Feb-2012 10.25% Feb-22 0.40 (Negative) INE039A07843 Public IssueTranche II 13-Feb-2015 9.40% Feb-25 302.81 [ICRA]A
[ICRA]A (Negative) INE039A09OS6 ON12 31-Mar-2012 10.20% Mar-17 4.87 [ICRA]A (Negative) INE039A07835 Public IssueTranche II 13-Feb-2015 9.35% Feb-20 36.58 [ICRA]A
(Negative) INE039A09OT4 ON12 31-Mar-2012 10.25% Mar-22 0.89 [ICRA]A (Negative) (Negative) INE039A07850 Public IssueTranche II 13-Feb-2015 9.40% Feb-25 22.55 [ICRA]A
INE039A09OY4 ON12 30-Apr-2012 10.20% Apr-17 6.05 [ICRA]A (Negative) INE039A09CF8 (Negative) Total 1972.3* *Out of the total rated amount of Rs 2000 crore only Rs. 1972.3 crore
OT00 31-Jan-2000 6.00% Jan-17 10.00 [ICRA]A (Negative) INE039A09DN0 OT02 25-Jan- was issued. Source: IFCI Limited Name of the Instrument Size of the issue (Rs. Cr) Coupon
2002 6.00% Jan-22 200.00 [ICRA]A (Negative) OT02 28-Feb-2002 9.00% Feb-19 1.00 Maturity Current Rating Fund Based Bank Limits 10000.00* - Up to FY2022 [ICRA]A (Negative)
[ICRA]A (Negative) OT03 31-Jul-2002 9.00% Jul-17 0.10 [ICRA]A (Negative) INE039A09NP4 Commercial Paper 500.00 - - [ICRA]A1+ *outstanding amount as on December 31, 2016 is Rs.
S2 25-Aug-2011 10.55% Aug-21 200.00 [ICRA]A (Negative) INE039A09PT1 TFB 31-Mar-2014 5390.6 croreName and Contact Details of the Rating Analyst(s): Rohit Inamdar +91 124
8.39% Mar-24 165.00 [ICRA]A (Negative) ISINName of the instrument Date of issuance ROI 4545807 rohit.inamdar@icraindia.com Manushree Saggar +91 124 4545316
Maturity Date O/s amount as on December 31, 2016 (in Rs. crore) Current Rating Long Term manushrees@icraindia.com Anil Gupta +91 124 4545314 anilg@icraindia.com Deepak Gupta
Bonds (including subordinated Debt) INE039A09PU9 TFB 31-Mar-2014 8.39% Mar-29 +91 124 4545442 deepak.gupta@icraindia.com Name and Contact Details of
145.00 [ICRA]A (Negative) BE 22-Oct-2002 6.00% Dec-22 50.00 [ICRA]A (Negative) BE 27- Relationship Contacts: L. Shivakumar +91-22-30470005 shivakumar@icraindia.comAbout
Sep-2002 6.00% Nov-22 45.00 [ICRA]A (Negative) BE 18-Nov-2002 6.00% Oct-22 25.00 ICRA Limited:ICRA Limited was set up in 1991 by leading financial/investment institutions,
[ICRA]A (Negative) BE 24-Feb-2000 6.00% Feb-20 5.00 [ICRA]A (Negative) BE 10-Dec-2002 commercial banks and financial services companies as an independent and professional
6.00% Sep-22 50.00 [ICRA]A (Negative) BE 28-Feb-2000 6.00% Feb-20 5.00 [ICRA]A investment Information and Credit Rating Agency. Today, ICRA and its subsidiaries together
(Negative) INE039A09OA4 I3 12-Dec-2011 8.75% Dec-26 3.20 [ICRA]A (Negative) form the ICRA Group of Companies (Group ICRA). ICRA is a Public Limited Company, with its
INE039A09NX8 I3 12-Dec-2011 8.50% Dec-21 55.73 [ICRA]A (Negative) INE039A09NY6 I3 shares listed on the Bombay Stock Exchange and the National Stock Exchange. The
12-Dec-2011 8.50% Dec-21 21.53 [ICRA]A (Negative) INE039A09NZ3 I3 12-Dec-2011 8.75% international Credit Rating Agency Moody's Investors Service is ICRA's largest shareholder. For
Dec-26 9.68 [ICRA]A (Negative) INE039A09OG1 I4 15-Feb-2012 9.16% Feb-27 36.74 [ICRA]A more information, visit www.icra.in Copyright, 2017, ICRA Limited. All Rights
(Negative) INE039A09OE6 I4 15-Feb-2012 9.09% Feb-22 232.38 [ICRA]A (Negative) ReservedContents may be used freely with due acknowledgement to ICRAICRA ratings should
INE039A09OF3 I4 15-Feb-2012 9.09% Feb-22 56.93 [ICRA]A (Negative) INE039A09OH9 I4 not be treated as recommendation to buy, sell or hold the rated debt instruments. ICRA ratings
15-Feb-2012 9.16% Feb-27 10.29 [ICRA]A (Negative) INE039A09OU2 I5 31-Mar-2012 8.50% are subject to a process of surveillance, which may lead to revision in ratings. An ICRA rating is
Mar-24 77.73 [ICRA]A (Negative) INE039A09OW8 I5 31-Mar-2012 8.72% Mar-27 19.40 a symbolic indicator of ICRA's current opinion on the relative capability of the issuer concerned
[ICRA]A (Negative) INE039A09OX6 I5 31-Mar-2012 8.72% Mar-27 6.36 [ICRA]A (Negative) to timely service debts and obligations, with reference to the instrument rated. Please visit our
INE039A09OV0 I5 31-Mar-2012 8.50% Mar-24 22.04 [ICRA]A (Negative) INE039A09NL3 S1 1- website www.icra.in or contact any ICRA office for the latest information on ICRA ratings
Aug-2011 10.75% Aug-26 403.59 [ICRA]A (Negative) INE039A09NM1 S1 1-Aug-2011 10.75% outstanding. All information contained herein has been obtained by ICRA from sources believed
Aug-26 64.96 [ICRA]A (Negative) INE039A09NJ7 S1 1-Aug-2011 10.50% Aug-21 169.63 by it to be accurate and reliable, including the rated issuer. ICRA however has not conducted
[ICRA]A (Negative) INE039A09NK5 S1 1-Aug-2011 10.50% Aug-21 21.69 [ICRA]A (Negative) any audit of the rated issuer or of the information provided by it. While reasonable care has
ISINName of the instrument Date of issuance ROI Maturity Date O/s amount as on December been taken to ensure that the information herein is true, such information is provided 'as is'
31, 2016 (in Rs. crore) Current Rating Long Term Bonds (including subordinated Debt) without any warranty of any kind, and ICRA in particular, makes no representation or warranty,
INE039A09NP4 S2 25-Aug-2011 10.55% Aug-21 200.00 [ICRA]A (Negative) INE039A09NT6 express or implied, as to the accuracy, timeliness or completeness of any such information.
S3 31-Oct-2011 10.50% Oct-21 3.89 [ICRA]A (Negative) INE039A09NW0 S3 31-Oct-2011 Also, ICRA or any of its group companies may have provided services other than rating to the
10.75% Oct-26 102.49 [ICRA]A (Negative) INE039A09NU4 S3 31-Oct-2011 10.60% Oct-21 issuer rated. All information contained herein must be construed solely as statements of
4.23 [ICRA]A (Negative) INE039A09NV2 S3 31-Oct-2011 10.60% Oct-21 74.51 [ICRA]A opinion, and ICRA shall not be liable for any losses incurred by users from any use of this
(Negative) INE039A09OL1 S4 28-Feb-2012 10.50% Feb-22 64.70 [ICRA]A (Negative) publication or its contents.Rating Agency Website: http://www.icra.in****** AII Data Processing
INE039A09OM9 S4 28-Feb-2012 10.70% Feb-27 123.63 [ICRA]A (Negative) Total does not endorse in any way, the views, opinions or recommendations expressed above. The
4488.45Bonds/NCD Programme O/s amount as on December 31, 2016 in Rs. crore Current use of the information is subject to the terms and conditions as published by the original
Rating INE039A07785 Public IssueTranche I 1-Dec-2014 9.90% Dec-21 176.79 [ICRA]A source, which you have to read and accept in full prior to the execution of any actions taken in
(Negative) INE039A07777 Public IssueTranche I 1-Dec-2014 9.40% Dec-19 57.19 [ICRA]A reliance on information contained herein.
(Negative) INE039A07793 Public IssueTranche I 1-Dec-2014 9.90% Dec-24 11.22 [ICRA]A
Page 25 of 27
SNL News
Royal Bank of Canada
Feb-22-2017 07:48 PM
By EdwinVladimir Mengullo*
Deutsche Bank AG Toh Hway Khuan HSBC Holdings Plc Ivan
Chng 15 *
Security Bank Corp. Alfonso Salcedo Mitsubishi
UFJ Financial Group Inc. 200
2016 *
The Economic Times MetLife Inc.
PNB MetLife India Insurance Co. Ltd. 26%
30%* Bank of China
Ltd.
Bank of China (Hong Kong) Ltd.
<o:p></o:p>* 2016 1.74%
2 2016 1.65 3.54%*
2016
232.3 15.8% 86.6
43.5 *
*
2016 247%2017
<o:p></o:p>* Juroku Bank Ltd. 2017
2019 10 2016 7%*
Japan Finance Corp. 3 3 257 2015
* Royal Bank of Canada
266 18.7 2008
* Korea Development Bank
15 <o:p></o:p>* Kompas
* Bernama
(Life Insurance Association of Malaysia) 2016
1.30 2015 1.24
5%* Deal Street Asia Temasek Holdings (Pvt) Ltd. Heliconia Capital
Management Pte. Ltd 6
International Partnership Fund*
Security Bank Corp. Alfonso Salcedo
2017 <o:p></o:p>*
Shaktikanta Das 1000
500 * IFCI Ltd.
* Bank of Maharashtra
CNBC-TV18 2018 450 500
<o:p></o:p>* Steadfast Group Ltd.
2017 3% 3790
* Australia & New
Page 26 of 27
Zealand Banking Group Ltd. JPMorgan Chase & Co. Grant
Dempsey * Asteron Life Ltd.
A+Sally Wang,
Jonathan Cheah, Jaekwon Lim Santibhap Ussavasodhi
6 30 
* denotes proprietary relationship information.

Historical Equity Pricing Data supplied by
Regulatory News Service data provided by

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IFCILimitedBSE500106 CIQReportLandscape

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IFCI Limited (BSE:500106)

12 12 12 12 12 12 Valuation Multiples based on Current Capitalization

Date Created: May-14-2017 Copyright 2017 S&P Global Market Intelligence,

Date Created: May-14-2017 Copyright 2017 S&P Global Market Intelligence,

Date Created: May-14-2017 Copyright 2017 S&P Global Market Intelligence,

Date Created: May-14-2017 Copyright 2017 S&P Global Market Intelligence,

Date Created: May-14-2017 Copyright 2017 S&P Global Market Intelligence,

Date Created: May-14-2017 Copyright 2017 S&P Global Market Intelligence,

National Stock Exchange of India Ltd.

Status Announced Date

Size (INR mm) Target

592.50 National Stock Exchange of India Ltd.

Seller Advisors: IDFC Securities Limited (Financial Advisor)

Summary Public Offerings/Shelf Registrations

Date Created: May-14-2017 Copyright 2017 S&P Global Market Intelligence,

Date Created: May-14-2017 Copyright 2017 S&P Global Market Intelligence,

Date Created: May-14-2017 Copyright 2017 S&P Global Market Intelligence,

Economic Times, The (India) ADP Debt News

IFCI independent directors leave post

Date Created: May-14-2017 Copyright 2017 S&P Global Market Intelligence,

SNL News SNL News

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Date Created: May-14-2017 Copyright 2017 S&P Global Market Intelligence,

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