INDOSTAR CAPITAL FINANCE LTD
Indostar Capital Finance basic information -
- Incorporated in 2009, Mumbai based IndoStar Capital Finance Limited is a leading non-banking finance company (NBFC) registered with the Reserve Bank of India as a systemically important non-deposit taking company.
- The company operates four principal lines of business, namely corporate lending, SME lending, vehicle financing and housing financing. It recently expanded its portfolio to offer vehicle finance and housing finance products.
- Indostar conducts its retail operations through ten branches across Mumbai, Delhi, Chennai, Bengaluru, Hyderabad, Jaipur, Surat, Ahmedabad, Pune and Indore and central support office in Mumbai.
- The lenders of the company include, among others, 14 public sector banks, 13 private sector banks, 21 mutual funds and four insurance companies and other financial institutions. The distribution network includes approximately 210 personnel in its in-house sales team, and approximately 648 third-party direct sales associates (DSAs) and other third-party intermediaries.
SWOT Analysis -
- High Quality Loan Portfolio with low rate of NPAs.
- Strong SMEs lending Business.
- Access to best Industry Practices & Corporate governance Standard.
- Promoters includes Institutional Investors.
- Higher Capital Base Post IPO, Strong Risk Assessment Team
- The company provides lending to 4 lines of business, i.e., corporate lending, SME lending, vehicle financing and housing financing. (Less Diversification in credit exposure).
- Factoring in major proportion of wholesale portfolio with high real estate exposure, High Corporate Exposure
- Company has started diversifying its credit exposure to other areas.
- Growing Indian market and demand for Credit.
- Lesser competition as shining of PSUs has become Blur.
- Higher Bond Yields Currency Devaluations
Indostar Capital Finance announced that the Debenture Committee of the Board of Directors of the Company vide Circular Resolution #3 / 2018-19 on 25 May 2018 approved and allotted 50 Series XXVI Unsecured, Rated, Unlisted, Redeemable, Non-Convertible Debentures of face value of Rs 1 crore each, for cash at par, on Private Placement basis, aggregating to Rs 50 crore. -Business Standard
- Arihant Capital - Subscribe
- Ajcon Global - Subscribe
- SMC Research - Neutral
- ICICI Direct - Avoid
- Aditya Birla Capital Securities - Subscribe
- KR Choksey Research - Subscribe
- Mehta Securities - Subscribe
- Angel Broking - Subscribe
- IIFL Wealth Management - Subscribe
- Hem Securities - Subscribe
- Choice Broking - Avoid
- Antique Broking - Avoid
Issue Details –Issue Open: May 9, 2018 - May 11, 2018.
DISCLAIMER :- THIS IS NOT A STOCK RECOMMENDATION