|
Report Date : |
18.01.2014 |
|
|
|
|
Tel. No.: |
91 22 26531414 |
IDENTIFICATION DETAILS
|
Name : |
ICICI SECURITIES LIMITED (w.e.f. 26.03. 2007) |
|
|
|
|
Formerly Known
As : |
ICICI BROKERAGE SERVICES LIMITED |
|
|
|
|
Registered
Office : |
ICICI Centre, H.T. Parekh Marg, Churchgate, Mumbai – 400 005, |
|
|
|
|
Country : |
India |
|
|
|
|
Financials (as
on) : |
31.03.2013 |
|
|
|
|
Date of
Incorporation : |
09.03.1995 |
|
|
|
|
Com. Reg. No.: |
11-086241 |
|
|
|
|
Capital
Investment / Paid-up Capital : |
Rs.2110.707 Millions |
|
|
|
|
CIN No.: [Company Identification
No.] |
U67120MH1995PLC086241 |
|
|
|
|
PAN No.: [Permanent Account No.] |
AAACI0996E |
|
|
|
|
Legal Form : |
A Closely Held Public Limited Liability Company |
|
|
|
|
Line of Business
: |
Subject is
engaged in the business of broking (institutional and retail), merchant
banking and advisory services. |
|
|
|
|
No. of Employees
: |
Information denied by the management |
RATING & COMMENTS
|
MIRA’s Rating : |
Aa (72) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
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 |
|
Maximum Credit Limit : |
USD 13073000 |
|
|
|
|
Status : |
Good |
|
|
|
|
Payment Behaviour : |
Regular |
|
|
|
|
Litigation : |
Clear |
|
|
|
|
Comments : |
Subject is a wholly owned subsidiary of ICICI BANK. It is a well-established
company having fine track record. The rating reflect the company’s strong market position in retail
broking segment and robust risk management systems marked strong financial
risk profile. Directors are reported to be experienced and respectable businessmen. Trade relations are reported as fair. Business is active. Payments are
reported to be regular and as per commitments. The company can be considered good for normal business dealings at
usual trade term and conditions. |
NOTES :
Any query related to this report can be made
on e-mail : infodept@mirainform.com
while quoting report number, name and date.
INDIAN ECONOMIC OVERVIEW
India’s current
account deficit narrowed in the quarter ended September as government measures
to curb imports, especially gold, kicked in. The current account deficit,
the excess of a country’s imports of goods and services over exports, narrowed
to $ 5.2 billion from $ 21 billion in the year ago period, according to
provisional Reserve Bank of India data. Finance Minister P. Chidambaram said
the CAD for the year will be less than $ 60 billion or 3 per cent of GDP and
the latest data suggests the government may achieve the target.
India was ranked 94th
among the world’s most corrupt nations list. Denmark and New Zealand topped as
the cleanest while Somalia emerged as the most corrupt.
India’s services
sector activity witnessed a moderate improvement in November over the previous
month, even while indicating the fifth successive monthly contraction,
according the HSBC survey.
$53 million
estimated losses suffered by India due to phishing attacks during the third
quarter, according to a study by RSA. India ranks fourth in the list of nations
hit by phishing attacks. The US remained at the top of the charts. Phishing is
the process of acquiring information such as user names, passwords and credit
card details by sending e-mails disguised as official mails.
Rs.4080 million
worth of mobile-phone-based transactions by July 2013 compared to Rs.260
million in September, 2012, according to Deloitte report. The number of
transactions has shot up from 94000 to 701000.
India aims to earn
Rs.400000 million from the bandwidth auction set for January. The merger and
acquisition guidelines, cleared by a group of ministers, will be out before the
auction begins so that players can make informed decisions on the auctions.
EXTERNAL AGENCY RATING
|
Rating Agency Name |
CRISIL |
|
Rating |
Bond issue AAA |
|
Rating Explanation |
Highest degree of safety and carry lowest
credit risk. |
|
Date |
November 08, 2012 |
|
Rating Agency Name |
CRISIL |
|
Rating |
Short term debt programme A1 |
|
Rating Explanation |
Very strong degree of safety and lowest
credit risk. |
|
Date |
November 08, 2012 |
RBI DEFAULTERS’ LIST STATUS
Subject’s name is not enlisted as a defaulter
in the publicly available RBI Defaulters’ list.
EPF (Employee Provident Fund) DEFAULTERS’ LIST STATUS
Subject’s name is not enlisted as a defaulter
in the publicly available EPF (Employee Provident Fund) Defaulters’ list as of
31-03-2012.
INFORMATION DENIED
MANAGEMENT NON CO-OPERATIVE (91-22-22882460)
LOCATIONS
|
Registered Office/ Institutional Services/ Corporate Office 1 : |
ICICI Centre, H.T. Parekh Marg, Churchgate, Mumbai – 400 005, |
|
Tel. No.: |
91-22-22882460/ 70/ 40701112/ 3/ 4 |
|
Fax No.: |
91-22-22826455/ 22845572 |
|
E-Mail : |
|
|
Website: |
|
|
Location : |
Owned |
|
|
|
|
Head Office 1 : |
7th Floor, Akruti Centre Point, Marol Naka, |
|
Tel. No.: |
91-22-67705394 |
|
|
|
|
Head Office 2 : |
|
|
|
|
|
Corporate Office 2 : |
ICICI Bank Towers, 3rd Floor, NBCC Place, North Tower
Pragati Vihar, Bisham Pitamah Marg, Lodi Road, New Delhi – 110 003, India |
|
Tel. No.: |
91-11-24390000 |
|
|
|
|
Overseas Office : |
Located at: v
v
v
|
DIRECTORS
As on 31.07.2013
|
Name : |
Ms. Chanda Deepak Kochhar |
|
Designation : |
Chairperson |
|
Address : |
CCI Chambers, Flat No.45, Dinshaw Vachha Road, Churchgate, Mumbai –
400 028, Maharashtra, India |
|
Date of Birth/Age : |
17.11.1961 |
|
Qualification : |
"MMS, ICWA, B.A. (Eco)" |
|
Date of Appointment : |
15.10.2008 |
|
DIN No.: |
00043617 |
|
|
|
|
Name : |
Mr. Anup Animesh Bagchi |
|
Designation : |
Managing Director and Chief Executive Officer |
|
Address : |
A-801, 8th Floor, El-dorado Heights, Prabhadevi, Mumbai –
400 025, Maharashtra, India |
|
Date of Birth/Age : |
26.07.1970 |
|
Qualification : |
B.Tech, PGDM |
|
Date of Appointment : |
08.01.2008 |
|
DIN No.: |
00105962 |
|
|
|
|
Name : |
Mr. Uday Madhav Chitale |
|
Designation : |
Director |
|
Address : |
167-C, Poonawadi, Dr. Ambedkar Road, Dadar (East), Mumbai – 400 014,
Maharashtra, India |
|
Date of Birth/Age : |
20.10.1949 |
|
Qualification : |
B.Com , F.C.A. |
|
Date of Appointment : |
27.06.2006 |
|
DIN No.: |
00043268 |
|
|
|
|
Name : |
Mr. Ketan Jagdishbhai Patel |
|
Designation : |
Director |
|
Address : |
Bishops Bridge, 123, The Ridgeway, Golders Green, London, NW119RX |
|
Date of Birth/Age : |
15.02.1962 |
|
Qualification : |
MBA, Member CIMA, B.Sc. (Eco) |
|
Date of Appointment : |
15.10.2008 |
|
DIN No.: |
00935884 |
|
|
|
|
Name : |
Mr. Narendra Madhusudan Murkumbi |
|
Designation : |
Director |
|
Address : |
7th Floor, Devchand House, Shiv Sagar Estate, Dr. Annie
Besant Road, Worli, Mumbai – 400 018, Maharashtra, India |
|
Date of Birth/Age : |
14.04.1970 |
|
Qualification : |
"B. E. (E & C) MBA (IIM-Ahmedabad)" |
|
Date of Appointment : |
15.10.2008 |
|
DIN No.: |
00009164 |
|
|
|
|
Name : |
Mr. Mukeshkumar Jain |
|
Designation : |
Director |
|
Address : |
805, 806, Akruti Nova – A, Opposite Teli Gali, N. S. Phadke Marg, Sai
Wadi, Andheri (East), Mumbai – 400069, Maharashtra, India |
|
Date of Birth/Age : |
24.02.1960 |
|
Date of Appointment : |
28.08.2012 |
|
DIN No.: |
05351732 |
|
|
|
|
Name : |
Ms. Zarin Bomi Daruwala |
|
Designation : |
Director |
|
Address : |
54/A, 5th Floor, Vikas Finlay Towers, Parel Tank Road,
Mumbai – 400 012, Maharashtra, India |
|
Date of Birth/Age : |
05.02.1965 |
|
Qualification : |
ACA, ACS |
|
Date of Appointment : |
25.05.2011 |
|
DIN No.: |
00034655 |
|
|
|
|
Name : |
Mr. Ajay Radhey Shyam Saraf |
|
Designation : |
Whole Time Director |
|
Address : |
Flat 1902, Tower B, Beaumonde, Appasaheb Marathe Marg, Old Mills Compound,
Prabhadevi, Mumbai – 400 025, Maharashtra, India |
|
Date of Birth/Age : |
16.12.1969 |
|
Qualification : |
CA, ICWA |
|
Date of Appointment : |
25.05.2011 |
|
DIN No.: |
00074885 |
KEY EXECUTIVES
|
Name : |
Mr. Raju Nanikram Nanwani |
|
Designation : |
Secretary |
|
Address : |
B-503, Aakanksha, Vasari Hill, Goregoan (West), Mumbai – 400 062, |
|
Date of Birth/Age : |
05.01.1973 |
|
Date of Appointment : |
17.07.2007 |
|
PAN No.: |
AABPN6479R |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
As on 31.07.2013
|
Names of Shareholders |
No. of Shares |
|
Vaijayanti Naik |
500 |
|
Ajay Radhey Shyam Saraf |
500 |
|
ICICI Bank Limited, India
|
805350000 |
|
Anup Animesh Bagchi |
500 |
|
Vineet Arora |
500 |
|
Subir Saha |
500 |
|
Piyush Garg |
500 |
|
ICICI Securities Primary Dealership Limited, India |
500 |
|
|
|
|
Total |
805353500 |
|
Names of Shareholders (Preference Shares) |
No. of Shares |
|
ICICI Home Finance Company Limited, India |
5000000 |
|
|
|
|
Total |
5000000 |
As on 31.07.2013
Equity Share Break up (Percentage of Total Equity)
|
Category |
Percentage of Holding |
|
Nationalised or other banks |
100.00 |
|
Total |
100.00 |
BUSINESS DETAILS
|
Line of Business : |
Subject is
engaged in the business of broking (institutional and retail), merchant
banking and advisory services. |
|
|
|
|
Services : |
v Brokerage commission form primary market operations v Brokerage commission from secondary market operations v Income from Advisory Services |
GENERAL INFORMATION
|
No. of Employees : |
Information denied by the management |
|||||||||||||||
|
|
|
|||||||||||||||
|
Bankers : |
ICICI Bank Limited, Capital Market Division, 30, Mumbai Samachar Marg,
Fort, Mumbai – 400 001, |
|||||||||||||||
|
|
|
|||||||||||||||
|
Facilities : |
|
|
Banking
Relations : |
-- |
|
|
|
|
Auditors : |
|
|
Name : |
S.R. Batliboi and Company Chartered Accountants |
|
Address : |
6th Floor, |
|
PAN
No. : |
AALFS0506L |
|
|
|
|
Holding Company
: |
ICICI Bank Limited, CIN No.: L65190GJ1994PLC021012 |
|
|
|
|
Subsidiary
Companies : |
v
ICICI Securities Holding Inc., v
ICICI Securities Inc., |
|
|
|
|
Fellow
Subsidiaries : |
v ICICI Securities
Primary Dealership Limited, v ICICI Prudential
Life Insurance Company Limited, v ICICI Lombard
General Insurance Company Limited, v ICICI Prudential
Asset Management Company Limited, v ICICI Home
Finance Company Limited, v ICICI Venture
Funds Management Company Limited, v
ICICI Investment Management Company Limited, v
ICICI Bank v
ICICI Lombard General Insurance Company Limited |
CAPITAL STRUCTURE
As on 31.03.2013
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
1000000000 |
Equity Shares |
Rs.2/- each |
Rs.2000.000 Millions |
|
5000000 |
13.75% Cumulative Non-Convertible Redeemable Preference Shares |
Rs.100/- each |
Rs.500.000 Millions |
|
|
Total |
|
Rs.2500.000
Millions |
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
805353500 |
Equity Shares |
Rs.2/- each |
Rs.1610.707 Millions |
|
5000000 |
13.75% Cumulative Non-Convertible Redeemable Preference Shares |
Rs.100/- each |
Rs.500.000 Millions |
|
|
Total |
|
Rs.2110.707 Millions |
FINANCIAL DATA
[all figures are
in Rupees Millions]
ABRIDGED BALANCE
SHEET
|
SOURCES OF FUNDS |
31.03.2013 |
31.03.2012 |
31.03.2011 |
|
I.
EQUITY
AND LIABILITIES |
|
|
|
|
(1)Shareholders'
Funds |
|
|
|
|
(a) Share Capital |
2110.700 |
2110.700 |
2110.700 |
|
(b) Reserves & Surplus |
1157.600 |
897.500 |
802.100 |
|
(c) Money
received against share warrants |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
(2)
Share Application money pending allotment |
0.000 |
0.000 |
0.000 |
|
Total Shareholders’
Funds (1) + (2) |
3268.300 |
3008.200 |
2912.800 |
|
|
|
|
|
|
(3) Non-Current Liabilities |
|
|
|
|
(a) long-term borrowings |
0.000 |
0.000 |
0.000 |
|
(b) Deferred tax liabilities (Net) |
0.000 |
0.000 |
0.000 |
|
(c) Other long term liabilities |
654.900 |
385.800 |
279.100 |
|
(d) long-term provisions |
102.900 |
74.500 |
84.500 |
|
Total Non-current Liabilities (3) |
757.800 |
460.300 |
363.600 |
|
|
|
|
|
|
(4) Current Liabilities |
|
|
|
|
(a) Short term borrowings |
2199.100 |
2098.800 |
3034.500 |
|
(b) Trade payables |
2184.200 |
3156.900 |
3510.000 |
|
(c) Other current
liabilities |
646.300 |
740.000 |
609.700 |
|
(d) Short-term provisions |
28.900 |
16.900 |
5.700 |
|
Total Current Liabilities (4) |
5058.500 |
6012.600 |
7159.900 |
|
|
|
|
|
|
TOTAL |
9084.600 |
9481.100 |
10436.300 |
|
|
|
|
|
|
II.
ASSETS |
|
|
|
|
(1) Non-current assets |
|
|
|
|
(a) Fixed Assets |
|
|
|
|
(i) Tangible assets |
174.500 |
173.900 |
158.000 |
|
(ii) Intangible Assets |
154.700 |
145.900 |
141.800 |
|
(iii) Capital
work-in-progress |
1.800 |
4.400 |
12.500 |
|
(iv)
Intangible assets under development |
23.600 |
25.400 |
24.800 |
|
(b) Non-current Investments |
753.700 |
780.500 |
784.500 |
|
(c) Deferred tax assets (net) |
259.700 |
174.400 |
132.400 |
|
(d) Long-term Loan and Advances |
1256.700 |
1293.000 |
1249.500 |
|
(e) Other Non-current assets |
121.900 |
81.400 |
25.300 |
|
Total Non-Current Assets |
2746.600 |
2678.900 |
2528.800 |
|
|
|
|
|
|
(2) Current assets |
|
|
|
|
(a) Current investments |
0.000 |
0.000 |
0.000 |
|
(b) Inventories |
51.100 |
8.100 |
0.500 |
|
(c) Trade receivables |
970.900 |
1518.100 |
3070.100 |
|
(d) Cash and cash
equivalents |
4675.300 |
4132.400 |
4244.900 |
|
(e) Short-term loans and
advances |
204.500 |
778.200 |
299.700 |
|
(f) Other current assets |
436.200 |
365.400 |
292.300 |
|
Total Current Assets |
6338.000 |
6802.200 |
7907.500 |
|
|
|
|
|
|
TOTAL |
9084.600 |
9481.100 |
10436.300 |
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2013 |
31.03.2012 |
31.03.2011 |
|
|
|
SALES |
|
|
|
|
|
|
|
Income |
7378.400 |
7182.000 |
7056.100 |
|
|
|
Other Income |
0.000 |
0.000 |
0.000 |
|
|
|
TOTAL |
7378.400 |
7182.000 |
7056.100 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Cost of materials consumed |
1148.300 |
1117.100 |
944.900 |
|
|
|
Employee benefit expense |
2886.900 |
2651.400 |
2307.600 |
|
|
|
Other expenses |
1862.000 |
1726.100 |
1674.600 |
|
|
|
TOTAL |
5897.200 |
5494.600 |
4927.100 |
|
|
|
|
|
|
|
|
|
PROFIT/
(LOSS) BEFORE INTEREST, TAX,
DEPRECIATION AND AMORTISATION |
1481.200 |
1687.400 |
2129.000 |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES |
307.900 |
372.600 |
276.900 |
|
|
|
|
|
|
|
|
|
|
PROFIT
/ (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION |
1173.300 |
1314.800 |
1852.100 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION |
137.900 |
140.200 |
152.400 |
|
|
|
|
|
|
|
|
|
|
PROFIT/
(LOSS) BEFORE TAX |
1035.400 |
1174.600 |
1699.700 |
|
|
|
|
|
|
|
|
|
Less |
TAX |
353.300 |
403.300 |
567.700 |
|
|
|
|
|
|
|
|
|
|
PROFIT/
(LOSS) AFTER TAX |
682.100 |
771.300 |
1132.000 |
|
|
|
|
|
|
|
|
|
|
Earnings /
(Loss) Per Share (Rs.) |
0.75 |
0.86 |
1.45 |
|
KEY RATIOS
|
PARTICULARS |
|
31.03.2013 |
31.03.2012 |
31.03.2011 |
|
PAT / Total
Income |
(%) |
9.24
|
10.74 |
16.04 |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
14.03
|
16.35 |
24.09 |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
12.87
|
13.82 |
17.92 |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.32
|
0.39 |
0.58 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Debt/Networth) |
|
0.67
|
0.70 |
1.04 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
1.25
|
1.13 |
1.10 |
LOCAL AGENCY FURTHER INFORMATION
NOTE: Current
Maturities of Long Term Debts is not available.
|
Sr. No. |
Check List by Info Agents |
Available in
Report (Yes / No) |
|
1] |
Year of Establishment |
Yes |
|
2] |
Locality of the firm |
Yes |
|
3] |
Constitutions of the firm |
Yes |
|
4] |
Premises details |
No |
|
5] |
Type of Business |
Yes |
|
6] |
Line of Business |
Yes |
|
7] |
Promoter's background |
Yes |
|
8] |
No. of employees |
No |
|
9] |
Name of person contacted |
No |
|
10] |
Designation of contact
person |
No |
|
11] |
Turnover of firm for last
three years |
Yes |
|
12] |
Profitability for last
three years |
Yes |
|
13] |
Reasons for variation
<> 20% |
----- |
|
14] |
Estimation for coming
financial year |
No |
|
15] |
Capital in the business |
Yes |
|
16] |
Details of sister
concerns |
Yes |
|
17] |
Major suppliers |
No |
|
18] |
Major customers |
No |
|
19] |
Payments terms |
No |
|
20] |
Export / Import details
(if applicable) |
No |
|
21] |
Market information |
----- |
|
22] |
Litigations that the firm
/ promoter involved in |
----- |
|
23] |
Banking Details |
Yes |
|
24] |
Banking facility details |
Yes |
|
25] |
Conduct of the banking
account |
----- |
|
26] |
Buyer visit details |
----- |
|
27] |
Financials, if provided |
Yes |
|
28] |
Incorporation details, if
applicable |
Yes |
|
29] |
Last accounts filed at
ROC |
Yes |
|
30] |
Major Shareholders, if
available |
Yes |
|
31] |
Date of Birth of Proprietor/Partner/Director,
if available |
Yes |
|
32] |
PAN of
Proprietor/Partner/Director, if available |
No |
|
33] |
Voter ID No of
Proprietor/Partner/Director, if available |
No |
|
34] |
External Agency Rating,
if available |
Yes |
UNSECURED LOANS
|
PARTICULAR |
31.03.2013 (Rs.
In Millions) |
31.03.2012 (Rs.
In Millions) |
|
SHORT TERM
BORROWINGS |
|
|
|
Commercial Paper |
2124.900 |
2098.800 |
|
|
|
|
|
Total |
2124.900 |
2098.800 |
INDEX OF CHARGES
|
S.No. |
Charge ID |
Date of Charge
Creation/Modification |
Charge amount
secured |
Charge Holder |
Address |
Service Request
Number (SRN) |
|
1 |
10272126 |
05/01/2011 |
1,500,000,000.00 |
ICICI BANK LIMITED |
Capital Market Division, 30, Mumbai Samachar Marg, FORT, Mumbai,
Maharashtra - 400001, INDIA |
B04565370 |
INDUSTRY OVERVIEW
EQUITIES
Fiscal 2013 was
another difficult year. Macro indicators for India were challenging growth hit
a low, while current account deficit increased. However, a mix of reforms and
signs of revival in global economic growth provided opportunities for
investors.
Despite the
challenging economic scenario, the equity market gained 7% in fiscal 2013. A
slew of reforms and comfort in valuations attracted investments, especially
from Foreign Institutional Investors (FIIs). The year witnessed the highest
ever FII inflow, a 187% increase to US$25.8 billion.
However, despite
the index movement of 7%, institutional cash turnover in the equity market (NSE
and BSE) was flat compared to fiscal 2012. The capping of brokerage rates of
mutual funds by SEBI and continuing shift of direct trading has led to a fall
in revenues for the stock broking industry. The derivative market, however
showed an improvement in the volumes over the last fiscal.
CORPORATE FINANCE
Though the initial
weak sentiment in the market dampened the fund raising activity, a rebound in
the equity markets in the second half of fiscal 2013 saw favourable environment
for issuers to raise funds from public markets and there were a number of IPOs
and Offer-for-Sale offerings post December 2012. Total funds raised through
IPOs, public issues of debt, rights issues, QIPs and IPPs in fiscal 2013 saw a
steep drop of about 19 % to Rs. 437 billion from Rs. 5412 billion in fiscal
2012. During fiscal 2013, only Rs. 63 billion was raised through nine IPOs,
marginally lower than Rs. 105 billion raised through 35 IPOs last year. Funds
raised through QIPs rose to Rs. 108 billion from 14 issues in fiscal 2013 compared
to Rs. 17 billion from 11 issues in fiscal 2012.
During fiscal
2013,seven companies raised an amount of Rs. 145 billion by way of tax free
bonds (offering tax benefits under Section 10(15) (iv) (h) of the Income Tax
Act,1961) compared to an amount of Rs. 330 billion raised by six companies in
fiscal 2012.
An amount of USD
7.46 billion was raised from 191 private equity deals in fiscal 2013 compared
to USD 7.76 billion raised from 256 private equity deals in fiscal 2012. While
the number of private equity deals for sale of stakes in Indian companies
reduced in fiscal 2013, the average deal size increased from approximately USD
30 million in fiscal 2012 to USD 39 million. Information technology and
information technology enabled services, banking, financial services and
insurance, healthcare and life sciences, manufacturing and energy were the
dominant sectors by deal value in fiscal 2013. (Source: Venture Intelligence)
DISTRIBUTION OF RETAIL FINANCIAL PRODUCTS
Fiscal 2013 saw
several tax free bonds issued by entities like REC, HUDCO, PFC, IIFCL and IRFC
similar to fiscal 2012. Mutual Fund companies have started offering the Rajiv
Gandhi Equity Saving Scheme (RGESS) for the first time to retail investors. Favorable
interest rate cycles resulted in higher inflows in few debt fund categories
like Income, Dynamic Bond and Short Term that helped debt mutual funds as a
category register a nominal 5% growth in fiscal 2013 over the corresponding
period last year.
Gross purchases in
the equity mutual funds stood at about Rs. 494 billion for fiscal 2013, a drop
of little over 11% over the corresponding period in fiscal 2012. Higher
redemptions resulted in net negative sales of about Rs. 144 billion as compared
to net positive additions of about Rs. 3 billion for fiscal 2012. The life
insurance industry witnessed a drop of 7% in New Business Premium in fiscal
2013 over the corresponding period last year. Gross sales of life insurance
policies in fiscal 2013 were about Rs. 390 billion (on Retail Weighted Received
Premium).
PRIVATE WEALTH MANAGEMENT
The Indian equity
markets have continued to be volatile over the last one year. Though the equity
markets have rallied based on the expected reforms announced by the Government,
coupled with the liquidity infusion by the central bankers of both USA and the
Eurozone, the participation of domestic high net worth individuals was missing.
The domestic high networth clients continued their preference to fixed income
securities, gold and real estate.
OPERATIONAL REVIEW
The Company
continued to expand its client base across various business segments, assisting
its customers in meeting their financial goals by providing them with research,
advisory and execution services.
On the retail
front, the Company introduced newer products which were well received. The
counter-cyclical businesses like Wealth Management and Distribution have helped
in reducing the impact of adverse market conditions. The Corporate Finance
business continued to build deal pipeline of diverse products whereas the Institutional
Broking segment enhanced corporate access through various conferences and
events.
Equities
The Institutional
research team increased its coverage from 115 to 132 companies, spread across
16 diversified sectors and mid-cap stocks. The Company’s institutional research
continued to gain traction with clients with more recognition coming in the
form of improved buy side internal votes as well as polls by external agencies.
The Company
continued to add and enhance its business with its domestic and foreign
institutional clients. The fiscal also saw new foreign clients being
empanelled, creating the base for future growth.
The Company
continued to develop its automated execution abilities by customizing its
algorithmic solutions, enhancing electronic connectivity to Buy Sidesviaits FIX
network, consolidate connectivity costs and achieve new business flows. Cross
training initiatives and leveraging of existing skill sets have helped
strengthen resiliency.
In fiscal 2013,
the Company hosted several conferences and delegations to provide its clients
an opportunity for interaction with key policy makers and corporate leaders for
gainful insights.
With intensified
efforts on the corporate access with knowledge sharing being the differentiated
approach, the Company has been able to gain significantly in the client’s
perception. During the year, the Company arranged a first-of-its-kind
conference, wherein a top valuation expert from Columbia University spoke to
over 200 CIOs and CFOs.
The 11th India
Unlimited Conference held in Singapore during fiscal 2013 was a huge success
and the conference saw 25 corporates, six panel speakers and one keynote
address with more than 125 attendees and 60 funds participating. Over 600
investor meetings and insightful panel discussions on the macro and rural track
were highlights of the Singapore conference.
The Company’s
retail research team of 40 analysts covering 203 companies spread across 23
sectors as well as mutual fund, technical and derivatives desks continued to
deliver quality research for over 2.6 million customers of ICICIdirect.com. In
addition to the quarterly earnings report and regular event updates, the team
published various sector reports, thematic reports, IPO recommendation, mutual
fund advice and technical and derivative picks.
The Company
continued to strengthen its customer base and market share across the retail
segment by introducing several new features amid a challenging market scenario
and muted retail participation. The Company acquired about 0.3 million retail
clients during fiscal 2013 registering a growth of 44% in new client
acquisition, in line with its objective of creating the base for future growth.
Recognizing the
need of investors specifically across far-flung areas, the Company offered its
customers the flexibility of T+5 days to bring funds and to take delivery of
their transactions. This was aided with favorable regulatory changes.
The Company also
offered derivatives trading on BSE Limited offering a wide range of choice to
its clients. During the year, the Company introduced the first of its kind Order
Level SPAN Margining facility for its clients. The SPAN based margining provided
its customers with the benefit of reduced margins on the hedged positions taken
in derivatives segment.
The Company also offered Profit order and Valid Till Cancelled order
placement facility in the National Stock Exchange of India Limited (NSE).
Currently, the
Company has the largest customer account base of 2.6 million and one of the
largest pan-India distribution networks of over 200 ICICI direct offices in 66
cities and over 900 sub-brokers across 500 cities in India.
FIXED ASSETS
Tangible Assets
v Computers
v Furniture and Fixtures
v Office Equipment
v Vehicles
v Leasehold Improvements
Intangible Assets
v Software
v CMA Membership Right
CMT REPORT (Corruption, Money Laundering & Terrorism]
The Public Notice information has been collected from various sources
including but not limited to: The Courts,
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] Court 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 :
Our 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.
Our 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.61.35 |
|
|
1 |
Rs.100.21 |
|
Euro |
1 |
Rs.83.52 |
INFORMATION DETAILS
|
Information
Gathered by : |
HTL |
|
|
|
|
Report Prepared
by : |
ANK |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
8 |
|
PAID-UP CAPITAL |
1~10 |
8 |
|
OPERATING SCALE |
1~10 |
8 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
8 |
|
--PROFITABILIRY |
1~10 |
8 |
|
--LIQUIDITY |
1~10 |
8 |
|
--LEVERAGE |
1~10 |
8 |
|
--RESERVES |
1~10 |
8 |
|
--CREDIT LINES |
1~10 |
8 |
|
--MARGINS |
-5~5 |
-- |
|
DEMERIT POINTS |
|
|
|
--BANK CHARGES |
YES/NO |
YES |
|
--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 |
YES |
|
--LISTED |
YES/NO |
NO |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
DEFAULTER |
|
|
|
--RBI |
YES/NO |
NO |
|
--EPF |
YES/NO |
NO |
|
TOTAL |
|
72 |
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 unfavourable
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 |
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 |
|
-- |
NB |
New Business |
-- |
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.