India Infoline Finance Limited proposes to Issue Un-Secured Redeemable Non-Convertible Debentures (NCDs) upto Rs. 5,000 million

India Infoline Finance Limited ("Issuer" or "the Company"), an NBFC, proposes a Public Issue of Un-Secured Redeemable Non-Convertible Debentures of face value of Rs. 1,000 each ("NCDs") aggregating up to Rs. 2,500 million ("Base Issue Size"), with an option to retain oversubscription up to Rs. 2,500 million, aggregating to a total of Rs. 5,000 million (the "Over all Issue Size").

Mumbai, Maharashtra, August 21, 2012 /India PRwire/ -- India Infoline Finance Limited ("Issuer" or "the Company"), an NBFC, proposes a Public Issue of Un-Secured Redeemable Non-Convertible Debentures of face value of Rs. 1,000 each ("NCDs") aggregating up to Rs. 2,500 million ("Base Issue Size"), with an option to retain oversubscription up to Rs. 2,500 million, aggregating to a total of Rs. 5,000 million (the "Over all Issue Size"). The NCDs will be in the nature of subordinated debt and will be eligible for Tier-II capital.

The NCDs proposed to be issued have been rated '[ICRA] AA - (stable)' by ICRA for an amount of upto Rs. 5,000 million and 'CRISIL AA - Stable' by CRISIL for an amount of up to Rs. 5,000 million. The rating of the NCDs by ICRA indicates a high degree of safety regarding timely servicing of financial obligations. Such instruments carry very low credit risks. The rating of NCDs by CRISIL indicates that instruments with this rating are considered to have a high degree of safety regarding timely servicing of financial obligations carrying very low credit risk.

The NCDs are proposed to be listed on National Stock Exchange of India Limited (NSE) and BSE Limited (BSE).

The lead managers to the proposed public issue of NCDs are Axis Bank Limited, SBI Capital Markets Limited, Edelweiss Financial Services Limited, Trust Investment Advisors Private Limited and India Infoline Limited (only for marketing of the Issue), while the Co-lead managers to the Issue are RR Investors Capital Services (P) Limited and Karvy Investor Services Limited.

The consolidated income from operations and profit after tax (PAT) of the Company for the financial year ending March 31, 2012 stood at Rs. 9,084.58 million and Rs. 1,053.81 million respectively. The company's consolidated income from operations and PAT has grown at a CAGR growth of 54.33% and 44.85% respectively over the last four years. The loan book of the company has grown at a CAGR of 63.82 % over the last four years.

As on March 31, 2012, the Company had a total of 1,323 branches, catering to capital market finance, mortgage loans, healthcare finance distribution and gold loans. The consolidated net worth of the Company as on March 31, 2012 was Rs 14,281.79 million compared to Rs. 13,412.03 million in the previous fiscal. The capital adequacy ratio on standalone basis was 17.86% as on March 31, 2012, while the net NPA on consolidated basis was 0.40 % during the period. The Company had adopted a five-pronged business strategy for its future operations that include focus on retail and secured lending, enhancing the product bouquet, widening the distribution network, building a robust IT infrastructure and IT systems, and strengthening operating process and risk management system.

Notes to Editor

About the IIFL Group

IIFL Group refers to India Infoline Limited and its subsidiaries. India Infoline Finance Limited is one of the subsidiaries of India Infoline Limited. IIFL Group is one of the leading players in the Indian financial services space.IIFL Group offers advice and execution platform for a wide range of financial services covering products ranging from Equities and derivatives, Commodities, Wealth management, Asset management, Insurance, Fixed deposits, Loans, Investment Banking, GoI bonds and other small savings instruments.

A network of over 4,000 business locations spread across 959 cities and towns across India facilitates the smooth acquisition and servicing of a large customer base. All the offices are connected with the corporate office in Mumbai with cutting edge networking technology.

Disclaimer:

India Infoline Finance Limited ("Issuer" or "the Company") , has proposed to offer public issue of Un-Secured Redeemable Non-Convertible Debentures through Draft Prospectus filed with NSE, BSE and Securities and Exchange Board of India (for record purposes). The Draft Prospectus is available on the website of the stock exchanges at www.nseindia.com and www.bseindia.com and the respective websites of the Lead Managers and Co Lead Managers at www.axisbank.com, www.sbicaps.com, www.edelweissfin.com, www.trustgroup.co.in, www.iiflcap.com, www.rrfinance.com/rrfcl.com and www.karvy.com will be available on the website of Securities and Exchange Board of India at www.sebi.gov.in. Investors proposing to participate in the Issue should invest only on the basis of information contained in the Draft Prospectus and the risk factors contained therein.

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