MIRA
INFORM REPORT
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Report Date : |
30.07.2008 |
IDENTIFICATION
DETAILS
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Name : |
ICICI PRUDENTIAL ASSET MANAGEMENT COMPANY LIMITED |
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Formerly Known As : |
PRODENTIAL ICICI ASSSET MANAGEMENT COMPANY LIMITED |
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Registered Office : |
12th Floor, Narin Manzil, 23, Barakhamba Road, New
Delhi-110001 |
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Country : |
India |
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Financials (as on) : |
31.03.2008 |
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Date of Incorporation : |
22.06.1993 |
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Com. Reg. No.: |
54135 |
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CIN No.: [Company
Identification No.] |
U99999DL1993PLC054135 |
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TAN No.: [Tax
Deduction & Collection Account No.] |
MUMI02043G |
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PAN No.: [Permanent
Account No.] |
AAACI1000K |
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Legal Form : |
A Closely Held Public Limited Liability Company |
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Line of Business : |
Providing Asset Management Services |
RATING &
COMMENTS
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MIRA’s Rating : |
Aa |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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71-85 |
Aa |
Possesses adequate working capital. No caution needed for credit
transaction. It has above average (strong) capability for payment of interest
and principal sums |
Large |
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Maximum Credit Limit : |
USD 4300000 |
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Status : |
Good |
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Payment Behavithe : |
Regular |
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Litigation : |
Clear |
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Comments : |
Subject is a Joint Venture of ICICI Bank and Prudential of U.K. Available information indicates high financial responsibility of the
company. Trade relations are fair. Subject can be considered good for normal business dealings. |
LOCATIONS
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Registered Office : |
12th Floor, Narin Manzil, 23, Barakhamba Road, New
Delhi-110001, India |
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E-Mail : |
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Corporate Office : |
8th Floor, Peninsula Corporate Park, G K Marg, Lower Parel
(West), Mumbai-400013, Maharashtra, India |
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Tel. No.: |
91-22-24997000 |
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Fax No.: |
91-22-24997029 |
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Customer Service: |
91-22-24999777 |
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E-Mail : |
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Branch Office : |
Located at :- Agra Shop No. 2 and 9, Block No. 54/4, Prateek Tower, Ground Floor, Sanjay
Place, Agra-282002 |
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Tel. No (Customer Services).: |
1800222999 |
DIRECTORS
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Name : |
Mr. K.V. Kamath |
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Designation : |
Chairman and Director |
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Name : |
Mrs. Kalpana Morparia |
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Designation : |
Director |
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Name : |
Mr. Ajay Srinivasan |
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Designation : |
Director |
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Name : |
Mr. Barry Stowe |
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Designation : |
Director |
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Name : |
Mrs. Shikha Sharma |
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Designation : |
Director |
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Name : |
Mr. B. R. Gupta |
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Designation : |
Director |
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Name : |
Mr. Karan Singh Mehta |
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Designation : |
Director |
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Name : |
Mr. Dadi Engineer |
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Designation : |
Director |
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Name : |
Ms. Swati A Piramal |
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Designation : |
Director |
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Name : |
Mr. Vikram Trivedi |
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Designation : |
Director |
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Name : |
Mr. Vijay Thacker |
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Designation : |
Director |
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Name : |
Mr. Pankaj Razdan |
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Designation : |
Managing Director |
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Name : |
Mr. Nimesh Shah |
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Designation : |
Managing Director and Chief Executive Officer |
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Name : |
Mr. Nilesh Shah |
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Designation : |
Deputy Managing Director |
KEY EXECUTIVES
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Name : |
Mr. Ranganath Athreya |
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Designation : |
Secretary |
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Name : |
Mr. Ranganath Athreya |
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Designation : |
Executive Vice President- Compliance Legal and CS |
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Name : |
Mr. Vikram Kaushal |
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Designation : |
Senior Vice President Retail Sales and Distribution |
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Date of Appointment : |
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Name : |
Mr. Manoj Agarwal |
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Designation : |
Chief Operating Officer |
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Name : |
Mr. Vasant Sanzgiri |
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Designation : |
Executive Vice President and Head- Human Resources |
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Name : |
Mr. Shazad Madon |
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Designation : |
Executive Director |
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Name : |
Ms. Ronita Mitra |
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Designation : |
Head- Marketing |
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Name : |
Mr. B Ramkrishanan |
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Designation : |
Chief Finance Officer |
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Name : |
Mr. Kalyan Prasath |
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Designation : |
Vice President Information Technology |
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Name : |
Mr. Raghav Lyengar |
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Designation : |
Head- Institutional Sales |
BUSINESS DETAILS
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Line of Business : |
Providing Asset Management Services |
GENERAL
INFORMATION
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Bankers : |
ICICI Bank |
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Banking
Relations : |
Good |
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Auditors : |
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Name : |
BSR and Associates Chartered Accountants |
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Subsidiaries : |
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Associates : |
Way2wealth Securities Private Limited |
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Holding Company : |
ICICI Bank Limited |
CAPITAL STRUCTURE
As on 31.03.2008
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
25000000 |
Equity Shares |
Rs. 10/- each |
Rs. 250.000 Millions |
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
17652090 |
Equity Shares |
Rs. 10/-
each |
Rs. 176.521
Millions |
Note :
Of the above 9002573
equity shares of Rs. 10 each are held by ICICI Bank Limited, the Holding
Company
FINANCIAL DATA
[all figures are in Rupees Millions]
ABRIDGED BALANCE
SHEET
|
STHECES OF FUNDS |
31.03.2008 |
31.03.2007 |
31.03.2006 |
|
|
SHAREHOLDERS FUNDS |
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1] Share Capital |
176.521 |
176.521 |
180.200 |
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2] Share Application Money |
0.000 |
0.000 |
0.000 |
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3] Reserves & Surplus |
692.034 |
304.680 |
391.400 |
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4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
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NETWORTH |
868.555 |
481.201 |
571.600 |
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LOAN FUNDS |
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1] Secured Loans |
0.000 |
0.000 |
0.000 |
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2] Unsecured Loans |
0.000 |
0.000 |
0.000 |
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TOTAL BORROWING |
0.000 |
0.000 |
0.000 |
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DEFERRED TAX LIABILITIES |
0.000 |
0.000 |
0.000 |
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TOTAL |
868.555 |
481.201 |
571.600 |
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APPLICATION OF FUNDS |
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FIXED ASSETS [Net Block] |
294.565 |
96.192 |
74.900 |
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Capital work-in-progress |
40.209 |
16.443 |
8.300 |
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INVESTMENT |
753.693 |
404.898 |
512.700 |
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DEFERREX TAX ASSETS |
80.732 |
82.032 |
0.000 |
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CURRENT ASSETS, LOANS & ADVANCES |
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Inventories |
0.000
|
0.000 |
0.000 |
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Sundry Debtors |
392.929
|
247.645 |
0.000 |
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Cash & Bank Balances |
28.357
|
77.456 |
0.000 |
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Other Current Assets |
0.000
|
0.000 |
365.200 |
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Loans & Advances |
580.836
|
362.008 |
224.600 |
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Total
Current Assets |
1002.122
|
687.109 |
589.800 |
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Less : CURRENT
LIABILITIES & PROVISIONS |
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|
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Current Liabilities |
864.915
|
516.763 |
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Provisions |
437.851
|
288.710 |
614.100 |
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Total
Current Liabilities |
1302.766
|
805.473 |
614.100 |
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Net Current Assets |
[300.644]
|
[118.364] |
[24.300] |
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MISCELLANEOUS EXPENSES |
0.000 |
0.000 |
0.000 |
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TOTAL |
868.555 |
481.201 |
571.600 |
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PROFIT & LOSS
ACCOUNT
|
PARTICULARS |
31.03.2008 |
31.03.2007 |
31.03.2006 |
|
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Management Fees |
4336.600 |
2352.354 |
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Dividend |
18.754 |
14.580 |
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Profit on Sale of investments (net) |
37.201 |
21.737 |
1414.700 |
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Miscellaneous Income |
0.556 |
0.317 |
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|
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Other Income |
0.000 |
0.000 |
0.200 |
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Total Income |
4393.111 |
2388.988 |
1414.900 |
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Profit/(Loss) Before Tax |
1242.686 |
735.571 |
474.300 |
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Provision for Taxation |
421.640 |
251.783 |
163.000 |
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Profit/(Loss) After Tax |
821.046 |
483.788 |
311.300 |
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FOB Value |
199.570 |
NA |
NA |
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Expenditures : |
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|
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Employee costs |
796.053 |
456.697 |
0.000 |
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Administrative Expenses |
2281.067 |
1125.927 |
889.100 |
|
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Diminution in value of current investments |
7.505 |
0.000 |
0.000 |
|
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Depreciation & Amortization |
65.800 |
70.793 |
51.500 |
|
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Other Expenditure |
|
|
940.600 |
|
Total Expenditure |
3150.425 |
1653.417 |
940.600 |
|
KEY RATIOS
|
PARTICULARS |
|
31.03.2008 |
31.03.2007 |
31.03.2006 |
|
PAT / Total Income |
(%) |
18.69
|
20.25 |
22.00 |
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|
Net Profit Margin (PBT/Sales) |
(%) |
28.29
|
30.79 |
33.52 |
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Return on Total Assets (PBT/Total Assets} |
(%) |
95.84
|
93.91 |
11.36 |
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Return on Investment (ROI) (PBT/Networth) |
|
1.43
|
1.53 |
0.83 |
|
|
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|
Debt Equity Ratio (Total Liability/Networth) |
|
1.50
|
1.67 |
1.07 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
0.77
|
0.85 |
0.96 |
LOCAL AGENCY
FURTHER INFORMATION
Operations During
the Year
Mutual Fund
Business
- Assets Under Management: During the
year, the assets under management of ICICI Prudential Mutual Fund Crossed
Rs. 543.551.000 Millions as on
March 31, 2008 as compared to Rs. 379062.395 Millions as on March 31,
2007.
- Awards bagged by ICICI Prudential Mutual Fund
(the fund/ the Mutual Fund) :
The directors are pleased to notify that
during the period under review, the following awards were won by the Mutual
Fund:
ICRA
Awards
·
ICICI Prudential Flexible Income Plan has been ranked as a five star
Fund in the category of ‘Open Ended Liquid Plus’ schemes for its 1-year
performance till December 31, 2007
·
ICICI Prudential Emerging . S.T.A,R (Stock Targeted at Return) Fund has
been ranked as a Five Star Fund in the Category of ‘Open Ended Duiversified
Equity-Defensive’ schemes for its 3 year performance till December 31, 2007
·
ICICI Prudential Mutual Fund has been judged Star Fund House of the Year
by ICRA Mutual Funds Awards 2008 in the Debt Category
·
ICICI Prudential FMCG Fund has been ranked as a Seven Star Fund and
awarded the ICRA 7-Star Gold Award in the category of ‘Open Ended Sectoral’
schemes for its 3 year performance till Decemeber 31, 20007
·
ICICI Prudential Liquid Plan has been ranked as a Seven Star Fund and
awarded the ICRA7-Star Gold Award in the category of ‘Open Ended Liquid’
schemes for its 1 year performance till December 31, 2007
·
ICICI Prudential Sweep Plan has been ranked as a Five Star Fund in the
Category of ‘Open Ended Liquid’ schemes for its 1 year performance till
December 31, 2007.
Lipper Awards
- ICICI
Prudential Assets Management Company has been awarded the ‘Best Bond Group
over 3 years’ in the category ‘Bond’ ( 3 Years)
- ICICI
Prudential Assets Management Company has been awarded the ‘Best Mixed Assets
Group over 3 years’ in the category ‘Mixed Assets’ (3 years)
- ICICI
Prudential Asset Management Company has been awarded the ‘Best Overall
Fund Group over 3 years’ in the category ‘Overall Group’ (3 years)
- ICICI
Prudential Gilt Fund Investment Plan – PF Option- Growth has been awarded
the ‘Best Fund over 3 years’ in the category ‘Bond INR Government
Category’ (3 Years)
- ICICI Prudential Dynamic Plan – Growth
has been awarded the ‘Best Fund over 3 years’ in the category ‘Mixed
Assets INR Conservative Category’ (3 years).
- ICICI Prudential Long Term Plan –
Cumulative has been awarded the ‘Best Fund over 5 years’ in the category
‘Bond INR General’ (5 years).
Operations and Consumer Service:
With a view to render timely and efficient customer service, the
Investment Manager of the Fund has been making good progress in networking its
58 branches. The service levels at these branches have been consistently
maintained to cope with the continuously increasing client base.
Backgroud
ICICI Prudential Asset Management Company Limited (‘The company’) was
incorporated on June 22, 1993
The principle shareholders of the company as at March 31, 2008 are ICICI
Bank Limited (51%) and Prudential PLC (49%) (through its wholly owned
subsidiary Prudential Corporation Holding Limited)
The Company’s principle activity is to act as an investment manager to
ICICI Prudential Mututal Fund (‘the Fund’) , to provide Portfolio Management
Services (‘PMS’) of clients under SEBI (Portfolio Managers) Regulations, 1993
and advisory services of clients. The company is registered with Securities and
Exchange Board of India (‘SEBI’) under SEBI (Mutual Funds) Regulations, 1996,
The company manages the investment portfolios of the Fund and provides various
administrative services to the fund and ICICI Prudential Trust Limited as laid
down in the Investment Management Agreement dated December 3, 1993.
Corporate Profile
ICICI Prudential Asset Management Company enjoys
the strong parentage of Prudential plc, one of UK's largest players in the insurance & fund management sectors
and ICICI Bank, a well-known and trusted name in financial services in India. ICICI Prudential Asset Management Company, in a span of just over eight years, has
forged a position of pre-eminence in the Indian Mutual Fund
industry as one of the largest asset management companies in the country with
assets under management of Rs. 542372.200 Millions (as of June 30, 2008). The
Company manages a comprehensive range of schemes to meet the varying investment
needs of its investors spread across 68 cities in the country.
Key Indicators
|
|
At inception-May
1998 |
As on June 30,
2008 |
|
Assets Under Management |
Rs. 1600.000
Millions |
Rs. 542372.200
Millions |
|
Number of Funds Managed |
2 |
40 |
Sponsors
Securities and Exchange Board of India, vide its letter no.
MFD/PM/567/02 dated June 4, 2002, has accorded its approval in recognizing ICICI
Bank Limited. as a co-sponsor consequent to the merger of ICICI Limited. with
ICICI Bank Limited.
ICICI Bank is India's second-largest bank with total assets of Rs. 3,997.95
billion (US$ 100 billion) at March 31, 2008 and profit after tax of Rs. 41.58
billion for the year ended March 31, 2008. ICICI Bank is second amongst all the
companies listed on the Indian stock exchanges in terms of free float market
capitalization Free float holding excludes all promoter holdings, strategic
investments and cross holdings among public sector entities. The Bank has a
network of about 1,308 branches and 3,950 ATMs in India and presence in 18
countries. ICICI Bank offers a wide range of banking products and financial
services to corporate and retail customers through a variety of delivery
channels and through its specialised subsidiaries and affiliates in the areas
of investment banking, life and non-life insurance, venture capital and asset
management. The Bank currently has subsidiaries in the United Kingdom, Russia
and Canada, branches in Unites States, Singapore, Bahrain, Hong Kong, Sri
Lanka, Qatar and Dubai International Finance Centre and representative offices
in United Arab Emirates, China, South Africa, Bangladesh, Thailand, Malaysia
and Indonesia. The UK subsidiary has established branches in Belgium and
Germany. ICICI Bank's equity shares are listed in India on Bombay Stock
Exchange and the National Stock Exchange of India Limited and its American
Depositary Receipts (ADRs) are listed on the New York Stock Exchange (NYSE).
(Sthece: Overview at www.icicibank.com).
Headquartered in London, Prudential
plc and its affiliated companies together constitute one of the
world's leading financial services groups. Prudential provides insurance and
financial services in a number of markets around the world, including in Asia,
the US, the UK, Europe and the Middle East. Founded in 1848, the company has
£267 billion in funds under management (as of 31 December 2007) and more than
21 million customers worldwide.
Prudential has been writing life insurance in the United Kingdom for 160 years
and has had the largest long-term fund in the United Kingdom, for over a
century. In the United Kingdom, Prudential is a leading retirement savings and
income solutions and life assurance provider. M&G is Prudential's fund
management business in the United Kingdom and Europe, with almost £160 billion
in funds under management (as of 31 March 2008). In the United States, Jackson
National Life, which they acquired in 1986, is one of the largest life
insurance companies providing retirement savings and income solutions.
In Asia, Prudential is the leading Europe-based life insurer in terms of market
coverage and number of top three ranking positions. It is also one of the
largest and most successful fund managers in Asia with more top five market
rankings than any other regional player. Today, Prudential has life insurance
and fund management operations spanning 13 diverse markets in Asia.
Prudential plc is incorporated and with its principal place of business in the
United Kingdom. It is not affiliated in any manner with Prudential Financial,
Inc., a company whose principal place of business is in the United States.
PRESS RELEASE
ICICI Prudential to declare dividend under FMP/S-38/1Y/B
ICICI Prudential Mutual Fund announced that the fund house will declare dividend, under the dividend
option of ICICI Prudential Fixed Maturity plan/ series
38/ one year Plan B
The fund house has fixed Jul. 21, 2008 as the record date for the
declaration of dividend. It will declare the entire distributable surplus available on the record
date, as dividend.
Pursuant to payment of dividend, the NAV will fall to the extent of dividend payout and statutory levy, if
applicable. The NAV of the dividend
option of the scheme stood at Rs 10.23 per unit, as on Jul. 09, 2008.
All unit holders registered on or before the record date will be eligible to receive the dividend.
UTI FMP aims at generating regular returns by investing in portfolio of fixed
income securities / debt securities.
CMT REPORT
(Corruption, Money Laundering & Terrorism]
The Public Notice information has been collected from various stheces
including but not limited to: The Cthets, India Prisons Service,
Interpol, etc.
1] INFORMATION ON
DESIGNATED PARTY
No exist designating subject or any of its beneficial owners,
controlling shareholders or senior officers as terrorist or terrorist
organization or whom notice had been received that all financial transactions
involving their assets have been blocked or convicted, found guilty or against
whom a judgement or order had been entered in a proceedings for violating
money-laundering, anti-corruption or bribery or international economic or
anti-terrorism sanction laws or whose assets were seized, blocked, frozen or
ordered forfeited for violation of money laundering or international
anti-terrorism laws.
2] Cthet Declaration :
No records exist to suggest that subject is
or was the subject of any formal or informal allegations, prosecutions or other
official proceeding for making any prohibited payments or other improper
payments to government officials for engaging in prohibited transactions or
with designated parties.
3] Asset Declaration :
No records exist to suggest that the property or assets of the subject
are derived from criminal conduct or a prohibited transaction.
4] Record on Financial
Crime :
Charges or conviction
registered against subject: None
5] Records on Violation of
Anti-Corruption Laws :
Charges or
investigation registered against subject: None
6] Records on Int’l
Anti-Money Laundering Laws/Standards :
Charges or
investigation registered against subject: None
7] Criminal Records
No
available information exist that suggest that subject or any of its principals
have been formally charged or convicted by a competent governmental authority
for any financial crime or under any formal investigation by a competent
government authority for any violation of anti-corruption laws or international
anti-money laundering laws or standard.
8] Affiliation with
Government :
No record
exists to suggest that any director or indirect owners, controlling
shareholders, director, officer or employee of the company is a government
official or a family member or close business associate of a Government
official.
9] Compensation Package :
The market
survey revealed that the amount of compensation sought by the subject is fair and
reasonable and comparable to compensation paid to others for similar services.
10] Press Report :
No press reports / filings exists on
the subject.
CORPORATE
GOVERNANCE
MIRA INFORM as part of its Due Diligence do provide comments on Corporate
Governance to identify management and governance. These factors often have been
predictive and in some cases have created vulnerabilities to credit
deterioration.
The Governance Assessment focuses principally on the interactions
between a company’s management, its Board of Directors, Shareholders and other
financial stakeholders.
CONTRAVENTION
Subject is not known to have contravened any existing local laws,
regulations or policies that prohibit, restrict or otherwise affect the terms
and conditions that could be included in the agreement with the subject.
FOREIGN EXCHANGE
RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.42.54 |
|
UK Pound |
1 |
Rs.84.86 |
|
Euro |
1 |
Rs.66.95 |
SCORE & RATING
EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
10 |
|
PAID-UP CAPITAL |
1~10 |
9 |
|
OPERATING SCALE |
1~10 |
9 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
9 |
|
--PROFITABILIRY |
1~10 |
9 |
|
--LIQUIDITY |
1~10 |
9 |
|
--LEVERAGE |
1~10 |
9 |
|
--RESERVES |
1~10 |
9 |
|
--CREDIT LINES |
1~10 |
9 |
|
--MARGINS |
-5~5 |
-- |
|
DEMERIT POINTS |
|
|
|
--BANK CHARGES |
YES/NO |
NO |
|
--LITIGATION |
YES/NO |
NO |
|
--OTHER ADVERSE INFORMATION |
YES/NO |
NO |
|
MERIT POINTS |
|
|
|
--SOLE DISTRIBUTORSHIP |
YES/NO |
NO |
|
--EXPORT ACTIVITIES |
YES/NO |
NO |
|
--AFFILIATION |
YES/NO |
NO |
|
--LISTED |
YES/NO |
NO |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
TOTAL |
|
82 |
This score serves as a reference to assess SC’s credit risk and
to set the amount of credit to be extended. It is calculated from a composite
of weighted scores obtained from each of the major sections of this report. The
assessed factors and their relative weights (as indicated through %) are as
follows:
Financial
condition (40%) Ownership
background (20%) Payment
record (10%)
Credit history
(10%) Market trend
(10%) Operational
size (10%)
RATING
EXPLANATIONS
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
>86 |
Aaa |
Possesses an extremely sound financial base with the strongest
capability for timely payment of interest and principal sums |
Unlimited |
|
71-85 |
Aa |
Possesses adequate working capital. No caution needed for credit transaction.
It has above average (strong) capability for payment of interest and
principal sums |
Large |
|
56-70 |
A |
Financial & operational base are regarded healthy. General unfavtheable
factors will not cause fatal effect. Satisfactory capability for payment of
interest and principal sums |
Fairly Large |
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
26-40 |
B |
Unfavtheable & favtheable factors carry similar weight in credit
consideration. Capability to overcome financial difficulties seems
comparatively below average. |
Small |
|
11-25 |
Ca |
Adverse factors are apparent. Repayment of interest and principal sums
in default or expected to be in default upon maturity |
Limited with
full security |
|
<10 |
C |
Absolute credit risk exists. Caution needed to be exercised |
Credit not
recommended |
|
NR |
In view of the lack of information, we have no basis upon which to
recommend credit dealings |
No Rating |
|