Edelweiss Announces Public Issue of Secured Redeemable Non-Convertible
MUMBAI, January 14, 2014
MUMBAI, January 14, 2014 /PRNewswire/ --
Issue Openson 16th January 2014 andCloseson 27th January 2014
ECL Finance Ltd , the NBFC arm of Edelweiss Financial Services Limited, today
announced the public issue of Secured Redeemable, Non Convertible Debentures
(NCDs) of the face value of 1000 each, aggregating to 2500 million, with an
option to retain over-subscription upto 2500 million aggregating to a total of
5000 million. The NCDs with a tenure ranging from 36 months to 60 months will
pay an interest of up to 11.85% per annum (under option III of the NCDs, to
the NCD holders under Category I, Category II and Unreserved Individual
Portion under Category III). The capital raised will be used for financing
activities including lending and investments, other business operations
including capital expenditure and working capital requirements.
Sharing his thoughts on the announcement, Mr. Rashesh Shah, Chairman & CEO,
Edelweiss Financial Services Ltd . said, "At close to 30% of GDP, India has
one of the highest saving rates in the world. Yet, we are not a nation of
investors. A large chunk of savings are either being held in low-yielding bank
deposits or being channelized into non-financial assets like real estate and
gold. Our latest NCD, with its attractive returns offer an opportunity for
retail investors to make better investments."
The NCD offering has received 'CARE AA' (Double A) and 'BWR AA (Outlook:
Stable)' rating indicating high degree of safety for timely servicing of
financial obligations and carries very low credit risk (please see footnote on
CARE and Brickwork).
ECLF recorded a total revenue of 6,506.40 million and PAT of 1,211.69 million
in FY13 and in H1 of FY14 has recorded a total income of 4,270.69 million and
PAT of 1,023.22 million. The Loan Book - witnessed a significant growth with a
CAGR of 49.01% from FY2011 to FY2013. The Loan Book was 48,394 million as of
September 30, 2013.
ICICI Securities Limited, Axis Capital Limited, and Edelweiss Financial
Services Limited are the lead managers for this NCD Issue. The issue opens on
January 16, 2014 and closes on January 27, 2014 with an option of early
closure. The NCDs will be listed on BSE.
About ECL Finance Limited:
- Incorporated in July, 2005.
- Established brand and parentage of Edelweiss Group with a professional and
experienced senior management team.
- Minimize concentration risk by diversifying the product portfolio and
expanding the customer base.
- Built on a scalable platform for our SME finance business.
- Products include corporateand SME loans, loans against property, loan
against marketable securities, real estate finance loans, public issue
financing, funding against hedged commoditiesand ESOP financing.
- Network of 10 branches with an employee strength of 329, as on Nov 30, 2013.
About Edelweiss Group:
The Edelweiss Group is one of India's prominent financial services
organizations having businesses around four broad lines - Credit including
Retail Finance and debt capital markets; Commodities; Financial Markets
including Asset Management and Life Insurance services. The product/services
portfolio of the Edelweiss Group caters to the diverse investment and
strategic requirements of over 460,000 clients across corporate,
institutional, high net worth individuals and the retail space. The Edelweiss
Group presence extends across geographies with 207 offices in 113 cities in
India including offices in New York, Mauritius, Dubai, Singapore and Hong
Kong. The Group has recently been adjudged "Business Superbrand 2010/11",
voted "India's Best Midcap Company-2013" by readers of Finance Asia and
awarded the "Best Corporate Governance, India, 2013" from the London, UK,
based Capital Finance International jury.
Edelweiss Financial Services trades under the symbols NSE: EDELWEISS, BSE:
532922, Bloomberg: EDEL.IN, Reuters:EDEL.BO. To learn more about the Edelweiss
Group, please visit www.edelweissfin.com .
Primary Media Contact: Aman Hashmat, firstname.lastname@example.org ,
Secondary Media Contact: Sporshita Goswami, email@example.com ,
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