Started in 2005, Mumbai based ECL Finance Limited is a leading non-deposit taking NBFC that offers a wide range of corporate and retail loan products. The company's product portfolio includes: 1. Structured Collateralised Credit: It constitutes 25.15% of the total loan book as of March 31, 2018. 2. Wholesale Mortgages: This constitutes 35.46 % of the total loan book of the company as of March 31, 2018. 3. SMEs and others: It constitutes 7.70 % of the total loan book as of March 31, 2018. 4. Loans against securities: It constitutes 21.00 % of the total loan book as of March 31, 2018. 5. Retail Mortgages - It constitutes 6.67 % of the total loan book as of March 31, 2018. 6. Agri Credit: It constitutes 4.02 % of the Company's total loan book as of March 31, 2018. Different series available in this NCD are as below:S1 - Payable at redemption - Rs 1,311.30/- Tenor 3 years, for Category I, II, III and IVS2 - 9.45% Tenor 3 years, for Category I, II, III and IV - Annual OptionS3 - 9.25% Tenor 5 years, for Category I, II, III and IV - Monthly OptionS4 - Payable at redemption - Rs. 1,585.30/- Tenor 5 years, for Category I, II, III and IVS5 - 9.65% Tenor 5 years, for Category I, II, III and IV - Annual OptionS6 - 9.43% Tenor 10 years, for Category I, II, III and IV - Monthly OptionS7 - 9.85% Tenor 10 years, for Category I, II, III and IV - Annual OptionS8 - Benchmark MIBOR + spread of 2.50%* Tenor 3 Years, for Category I, II, III and IV - Annual Option ECL Finance is a part of the Edelweiss Group, one of prominent financial services organization in India. Edelweiss business is organized around three broad lines - credit including retail finance; franchise & advisory businesses including wealth management, asset management, capital markets, balance sheet management and others, and insurance. As on March 31, 2018, Edelweiss Group along with three of its subsidiaries held 100% of the paid-up share capital of the company. ECL Finance has a total of 102 branches spread across the country. The company's total income and profit after tax (PAT) for 2018 was Rs 30,600.27 million and Rs 4,620.47 million, respectively. Its total loan book stood at Rs. 22008 crore as on 31.03.18. On the said date, its capital adequacy ratio was 17.09% against RBI stipulated minimum requirement of 15%. As at 31.3.18 its gross NPA were 1.82% as a percentage of total loan book and net NPAs were 0.75% for the said date. For FY16 and FY17 its net NPAs were 0.49% and 0.64% respectively. Post issue its debt-equity ratio will stand increased to 8.27 from 7.58 at present. Company posted net profits of Rs. 246.06 cr. (FY16), Rs. 384.93 cr. (FY17) and Rs. 479.56 cr. (FY18). Investors looking for steady regular income may consider investment for long term in this AA/Stable rated NCD issue.
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