Markets
BSE See NSE See 25,305.47
75.11 (0.3%)
canada drug pharmacy coupon click discount prescription coupons

India Infoline Investment Services – Buy

| 8/3/2011 6:08 PM Wednesday

In an environment of rising interest rates, banks are going to see some tough times. This is not only due to the squeeze in their Net Interest Margin (NIM), but also because various companies and NBFCs are tapping the market to raise funds in the form of debentures and bonds offering higher coupon rates.

One such company is India Infoline Investment Services Limited (IIISL), a 76.74 per cent subsidiary of India Infoline Limited (IIFL). The company is making a public issue of Secured Redeemable NCDs of face-value of Rs 1000 each, aggregating to Rs. 375 crore, with an option to retain another Rs. 375 crore, totaling Rs 750 crore. The NCD issue has options with a maximum coupon rate of 11.90 per cent per annum, and will be listed on NSE and BSE. The issue opens on August 4, 2011, and closes on August 12, 2011. These NCDs have been rated ‘[ICRA] AA- (stable)’ by ICRA and 'CARE AA-' by CARE, indicating a high degree of safety for the timely servicing of financial obligations.

The funds raised through this issue will be used for various financing activities, including lending, providing loans against securities and investments, repaying existing loans and for business operations, including capital expenditure, general corporate purposes and working capital requirements.

IIISL also has three 100 per cent subsidiaries, which are India Infoline Housing Finance, Moneyline Credit and India Infoline Distribution Company. IIISL offers a broad suite of lending and other financial products to clients, both retail and corporate. Its lending and other financial products comprise:

  • Mortgage Loans, which include Housing Loans and Loans against Property
  • Capital Market Finance,  which includes Loans against Securities, Promoter Funding, Margin Funding, IPO financing and other structured lending transactions
  • Gold Loans, which include finance against security of mainly used gold ornaments
  • Healthcare Finance, which includes finance for medical equipments and project funding in the healthcare sector
  • Personal Loans to individuals

The company operates in the mortgage loans business along with two of its subsidiaries, India Infoline Housing Finance and Moneyline Credit. Mortgage loans account for 60 per cent of the loan book, followed by capital market finance with a figure of 35 per cent, and gold loans with 4 per cent.

The following are the Operational and Financial Parameters (Consolidated):

Operational and Financial Parameters (Consolidated) (Rs/Crores)
FY 11
FY 10
FY 09
Loan Book
3288
1626
956
Total Borrowings
2293
1019
225
Net Worth
1341
1264
1210
Debt Equity ratio
1.71
0.81
0.19
Capital Adequacy ratio (%)*
29.95
47.65
97.77
Net NPA (%)
0.36
0.46
-
Net Interest Income
226
174
166
Yield on Earning Assets (%)
14.31
17.01
15.28
Cost of funds (%)
9.43
9.52
9.67
Net Interest Spread (%)
4.88
7.49
5.61
Net Interest Margin (%)
7.17
15.3
13.95
Cost to average assets (%)
9.04
8.59
8.16
Cost to Income (%)
74.2
67.26
63.9
RoA (%)
2.16
2.94
3.7
*Standalone

The basic question that would arise is, should one go for the NCD? If yes, which option one should choose from the three being offered by the company? Our answer is that one should go for the NCD, considering the coupon rate offered by the company. If one is not looking at yearly interest, then we would suggest going for Option B, where holding anything more than one year would attract only 10 per cent capital gains against income tax rate, based on your taxable income, which would be in the region of 30 per cent. In other words, the post-tax returns would be best if one goes for Option B.

Options
I
II
III
Tenure
36 months
40 months
60 months
Frequency of Interest Payment
Annually
N.A.
Annually
Minimum Application (Rs)
Rs 5000
Coupon (%)
11.70% p.a.
N.A.
11.90% p.a.*
Redemption Amount (Rs/per NCD)
N.A.
Rs 1446.18
N.A.
* 11.70% p.a. for applicants other than Resident Individuals and Hindu Undivided Families (HUF)

Find More Articles on: Research, IPO Analysis

rite aid coupons online click get free coupons
reasons why women cheat why do wifes cheat signs of infidelity
types of women who cheat insight.nestingen.com women cheat on men
abortion clinics los angeles site how early can you terminate a pregnancy
abortion clinics los angeles site how early can you terminate a pregnancy
abortion clinics los angeles maryaltmansblog.com.nobullsoftware.com how early can you terminate a pregnancy
abortion should be illegal emretas.net how much abortion cost
apps for tracking cell phone location go spyware cell phones
prescription discount card cvs coupon deal cvs photo promo codes
abortion options what happens when you get an abortion average cost of abortion
tracking sms on cell phones ps4haber.com text tracking app
abortion clinics in the bronx abortion surgery natural ways to terminate pregnancy
gabapentin 600mg internetsellout.com sildenafil citrate 25mg
viagra discounts coupons markthrice.com prescription drug coupons
medication coupon site online discount pharmacy
rite aid coupons online click get free coupons
walgreens prints coupon walgreens photo promo codes rx discount
why wifes cheat blog.sharepointgeek.nl cheat
natural ways to terminate a pregnancy insight.nestingen.com abortion clinics in las vegas
types of women who cheat insight.nestingen.com women cheat on men
abortion clinics los angeles maryaltmansblog.com.nobullsoftware.com how early can you terminate a pregnancy
drug prescription card site discount prescription card
drug prescription card site discount prescription card
abort clinic site abortion clinics in washington dc
apps for tracking cell phone location open spyware cell phones
prescription discount card deal at cvs cvs photo promo codes
apps for tracking cell phone location open spyware cell phones
prescription discount card deal at cvs cvs photo promo codes
abortion options open average cost of abortion
tracking sms on cell phones ps4haber.com text tracking app
diprolene adragunov.com synthroid 200mcg
gabapentin 600mg internetsellout.com sildenafil citrate 25mg
synthroid site thyroxine 50mcg
viagra.com coupons discount coupons for viagra prescription drugs coupons
canada drug pharmacy coupon free viagra coupons discount prescription coupons
pet prescription discount card viagra coupon 2016 viagra coupons from manufacturer
free prescription drug cards modelosguayaquil.com prescription coupon
best cell phone spy software searchengineoptimization-seo.net spy gps
what to do when your wife cheated on you click wives who want to cheat
what to do when your wife cheated on you open wives who want to cheat
my boyfriend cheated now what gpatterson.com has my boyfriend cheated on me quiz
dating for married people married and want to cheat how to know if wife has cheated
my ex girlfriend cheated on me blog.artistamobile.com i had a dream my girlfriend cheated on me
unconscious sex stories tolobel.com american sex stories
why people cheat in marriage why do men have affairs cheat
rite aid coupons online click get free coupons
walgreens prints coupon go rx discount
pet rx coupons thatsphucked.com coupon for medication
reasons why women cheat why do wifes cheat signs of infidelity
spyware for phones free site free spyware for cell phone
pfizer viagra coupons read coupons for viagra printable
pfizer viagra coupons read coupons for viagra printable
abortion clinics los angeles first trimester abortion procedure how early can you terminate a pregnancy
mobile tracking app click cell spy phone
apps for tracking cell phone location go spyware cell phones
abortion clinics in the bronx http://abortionpill-online.com natural ways to terminate pregnancy
discount prescription card go rx.com coupons
cvs new prescription coupon click prescription discount card
diprolene site synthroid 200mcg
discount coupon for viagra coupons viagra canada drug pharmacy coupon
discount coupon for viagra blog.alpacanation.com canada drug pharmacy coupon
canada drug pharmacy coupon softballspa.com discount prescription coupons
free prescription drug cards prescription drug coupons prescription coupon
collapse Related Readings collapse
medication coupon free coupons printable online discount pharmacy
medication coupon free coupons printable online discount pharmacy
spyware for phones free mealmixer.com free spyware for cell phone
types of women who cheat insight.nestingen.com women cheat on men
mobile tracking app click cell spy phone
abort clinic site abortion clinics in washington dc
apps for tracking cell phone location open spyware cell phones
prescription discount card deal at cvs cvs photo promo codes
apps for tracking cell phone location open spyware cell phones
tracking sms on cell phones sms text spy text tracking app
discount prescription card walgreens prints coupon codes rx.com coupons
discount prescription card go rx.com coupons
finasteride 1mg verkossa finasteride 1mg propecia
gabapentin 600mg internetsellout.com sildenafil citrate 25mg
viagra.com coupons gallaghermalpractice.com prescription drugs coupons

DSIJ
Mindshare

reasons why women cheat blacktomflint.ca signs of infidelity
spyware for phones free mealmixer.com free spyware for cell phone
pfizer viagra coupons online viagra coupons coupons for viagra printable
pfizer viagra coupons read coupons for viagra printable
why do wifes cheat married affairs my fiance cheated on me
types of women who cheat insight.nestingen.com women cheat on men
why do wifes cheat why men cheat my fiance cheated on me
mobile tracking app click cell spy phone
drug prescription card allindiasweetsrestaurant.com discount prescription card
abort clinic clinic abortion abortion clinics in washington dc
prescription discount card deal at cvs cvs photo promo codes
abortion clinic dc 9925.org facts about abortions
abortion options open average cost of abortion
cvs new prescription coupon click prescription discount card
diprolene adragunov.com synthroid 200mcg
synthroid site thyroxine 50mcg
viagra.com coupons gallaghermalpractice.com prescription drugs coupons
canada drug pharmacy coupon free viagra coupons discount prescription coupons
free prescription drug cards prescription drug coupons prescription coupon
free prescription drug cards prescription drug coupons prescription coupon

Bank of India net loss widens due to bad loans arising

Bank of India net loss widens due to bad loans arising

Bank of India has declared its quarterly results on Tuesday. The bank’s top line has increased by 4.06 per cent to Rs 10501 crore in Q4FY16 as compared to previous quarter. 

Mandhana Industries posts flat results

Mandhana Industries posts flat results

Mandhana Industries, a textile company engaged in the manufacturing of textiles and garment, has posted marginal growth of 3.86 per cent in net profit at Rs 15.9 crore for the quarter ended March 31, 2016 as against Rs 15.34 crore in the corresponding quarter of the previous year.

Tech Mahindra's Net Profit boosts by almost double in Q4FY16

Tech Mahindra's Net Profit boosts by almost double in Q4FY16

Tech Mahindra has declared its Q4FY16 results. The company’s revenue has increased by 10.54 per cent to Rs 6889 crore in Q4FY16 as compared to same period in previous financial year. 

Ajantha Pharma gets USFDA approval for Zolmitripton Tablets

Ajantha Pharma gets USFDA approval for Zolmitripton Tablets

Ajantha Pharma on Tuesday announced the receipt of final approval for Zolmitripton Tablets by US  Food & Drug Administration. 

Novartis is up by 17 percent on Buyback news

Novartis is up by 17 percent on Buyback news

The company's board meeting scheduled on 26th of May will be considering a proposal for buyback of its equity shares. The company may also consider recommending dividends and approve the audited annual accounts for the year ended March 31, 2016. 

Overnight Digest – Stocks to look out for on May 25

Overnight Digest – Stocks to look out for on May 25

The stocks which could witness significant movement on May 25 are Gail India Ltd., Tata Power Generation, Mahindra and Mahindra Financial Services, Tech Mahindra Ltd., Tata Steel Ltd.

Indices Bounce Back; NTPC surges

Indices Bounce Back; NTPC surges

The Indian markets witnessed a good up-move after mid-session on Tuesday. The European cues brought in healthy buying specifically in Banking and Auto sectors. The Sensex and Nifty touched their technical levels of 25200 and 7710 respectively and closed in the green. The Sensex ended 75 points higher at 25305 and Nifty was up 14 points at 7745. Both the indices closed with a positive bias around 0.25 per cent.

Bajaj Finance's Q4FY16 numbers shine

Bajaj Finance's  Q4FY16 numbers shine

Bajaj Finance has declared its quarterly results on Tuesday. The company’s revenue has increased by 34.1 per cent to Rs 1917 crore in Q4FY16 as compared to same period in previous financial year. 

Mid market commentary May 24

Mid market commentary May 24

Indian stock markets unwound after 4 consecutive downbeats.  Today both Nifty and SENSEX opened on a flat note and are hovering around 7730 and 25220 levels respectively. Midcap and Smallcap indices underperformed the benchmark by falling more than 0.5 per cent. Thereby market bias remains negative with just 681 advances and 1536 declines.

Bayer's Monsanto Offer @ $62 billion to be the largest ever by a German company

Bayer's Monsanto Offer @ $62 billion to be the largest ever by a German company

The transaction if  successful will be hitting the headlines as it will be the largest deal of the year (2016) so far. The $ 43 billion acquisition of Swiss company Syngenta by China National Chemical Corp is the largest deal concluded in the  year 2016. This move highlights reshaping of the crop and seed industry globally by large acquisitions. 

Subscribe to
Newsletter

news letter

More for the early bird.

Get the post-market reports and breakfast news right in your inbox. See latest »

Market
CHIT CHAT

What is your view on markets today?

200  Characters Remaining.
Please LOGIN  to post your comments or Click here to go back.
Ram Singh May 24 09:58PM
buy Asian paint
Saqib Mehmood May 24 08:57PM
@Rohit Sharma thnx
Rohit sharma May 24 04:09PM
and after 3 pm short tab disappeared
Rohit sharma May 24 04:08PM
@Saqib Mehmood, you can't short any stock after 3.15 pm
Saqib Mehmood May 24 03:31PM
i cant short any stocks why is that short option just disappeared\