About the Company:
ICICI Securities is a leading technology-based securities firm in India that offers a wide range of financial services including brokerage, financial product distribution and investment banking and focuses on both retail and institutional clients.
Company is headquartered in Mumbai, and operate offices in India, the United States, Singapore and Oman.
They are a part of the ICICI Group, one of the largest financial conglomerates in the country and promoted by ICICI Bank.
Company has been the largest equity broker in India since fiscal 2014 by brokerage revenue and active customers in equities on the National Stock Exchange.
As of December 31, 2017, ICICIdirect,Company’s award winning proprietary electronic brokerage platform, had approximately 3.9 million operational accounts of whom 0.8 million had traded on NSE in the preceding 12 months.
Company’s retail brokerage and financial product distribution businesses empower the customers to access the Indian financial capital markets through their ICICIdirect platform and provide them with a seamless settlement process through a 3-in-1 account, which links the electronic brokerage platform with customers’ savings bank and dematerialised accounts held with ICICI Bank.
Company offers retail customers a wide range of products and services in equities, derivatives and research, and also distribute various third-party products including mutual funds, insurance products, fixed deposits, loans, tax services and pension products.
Company also offers customers a wide variety of advisory services, including financial planning, equity portfolio advisory, access to alternate investments, retirement planning and estate planning.
Company’s retail brokerage and distribution businesses are supported by a nationwide network, consisting of over 200 of Company owned branches, over 2,600 branches of ICICI Bank through which the electronic brokerage platform is marketed and over 4,600 sub-brokers, authorized persons, independent financial associates.
Services Provided by the Company:
Brokerage Services.
Company’s brokerage business primarily consists of brokerage services that they offer to retail customers and institutional clients for trading equities, equity derivatives, currency derivatives, ETFs and overseas securities.
Distribution Services.
Company’s distribution business primarily consists of the distribution of financial products and services offered by third parties to their customers. These products include mutual funds, insurance products, portfolio management schemes, alternative investment funds, fixed deposits, loans, tax services and pension products.
Investment Banking Services.
Company’s investment banking business consists of equity capital markets services and financial advisory services that cater to corporate clients, the government and financial sponsors.
Financial Advisory Services.
They provide financial advisory services for various types of transactions, including domestic and cross-border mergers and acquisitions, private placements, and restructuring.
Company is among the top five domestic investment banks in India in terms of deal size of M&A transactions for the period from April 1, 2012 to September 30, 2017.
Treasury and Trading Services.
Besides core brokerage and distribution and investment banking businesses they also manage treasury assets and engage in proprietary trading.
Segment wise Revenue Breakup:
Management Team:
- Ms.Chanda Deepak Kochhar (Designation: Chairperson and Nominee Director of ICICI Bank)
- Ms. Shilpa Naval Kumar (Designation: Managing Director and Chief Executive Officer)
- Mr.Ajay Saraf (Designation: Executive Director)
Special Thanks: We would like to thank the Management Team of ICICI Securities Ltd for inviting Markets Guruji Team to the IPO Press Conference & Listing Ceremony.
Promoters Average Acquisition Cost:
| Name of the Promoter | No. of Shares held | Average Acquisition Cost (in Rs.) |
|---|---|---|
| ICICI Bank Limited | 322,141,400 | 5.82 |
Objectives of the Issue:
Offer For sale (OFS): (Around Rs.4016.9 crores)
- Company will not receive any proceeds from the Offer for Sale by the Selling Shareholders.
Positives for the Company:
Largest Equity Broker in India Powered by Proprietary Technology Platform: ICICIdirect
They have been the largest equity broker in India since fiscal 2014 by brokerage revenue and active customers in equities on the National Stock Exchange, powered by their significant retail brokerage business.
Company’s retail customers accounted for 90.5% of the revenue from their brokerage business in fiscal 2017. As of December 31, 2017, Company had 0.8 million active customers who had traded on the National Stock Exchange in the preceding 12 months.
Strong Financial Performance with Significant Operating Efficiency.
Company has an established track record of strong financial performance and delivering returns to shareholders.
Company’s total revenues and profit after tax increased from Rs.705.8 crores and Rs.71.7 crores, respectively, in fiscal 2013 to Rs.1404.2 crores and Rs.338.5 crores in fiscal 2017, respectively, representing a CAGR of 18.8% and 47.4%, respectively.
Financials of the Company:
| (in Crores) | FY 13 | FY 14 | FY 15 | FY 16 | FY 17 | 31st Dec 17 |
|---|---|---|---|---|---|---|
| Revenue | 705.8 | 812.3 | 1209.5 | 1124.6 | 1404.2 | 1344.7 |
| Net Profit | 71.7 | 89.2 | 293.8 | 238.7 | 338.6 | 399.1 |
IPO Details:
| Details | Info |
|---|---|
| Issue Opens on | 22nd March 2018 |
| Issue Closes on:. | 26th March 2018 |
| Issue Price | Rs.519 – 520 |
| Face Value | Rs.5 |
| Minimum Lot | 28 Shares |
| Minimum Investment | Rs.14,560 |
| Retail Portion | 10% |
| Issue Constitutes | 23.98% |
| Issue Size | Rs.4016.9 cr ($617 Million) |
| Market Cap | Rs.16751.3 cr ($2.57 Billion) |
| Listing at | NSE & BSE |
| ICICI Bank Shareholders (Reserved) | 38,62,475 |
| Net Offer | 7,33,87,033 |
| Total Equity Shares Offered (OFS) | 7,72,49,508 |
| Equity Shares Prior to the Issue | 32,21,41,400 |
| Equity Shares after the Issue | 32,21,41,400 |
Important Dates:
| Finalization of Basis of Allotment | on or Before 2nd April 2018 |
| Initiation of Refunds | on or Before 3rd April 2018 |
| Credit of Equity Shares: | on or Before 4th April 2018 |
| Listing Date: | on or Before 5th April 2018 |
Subscription Details:
| (Subscription-Category-Wise (no. of times) Till time : 06:00 PM) | Shares Offered | Day-1 | Day-2 | Day-3 |
|---|---|---|---|---|
| QIB | 2,20,16,111 | 0.48 | 0.54 | 1.04 |
| NII | 1,10,08,054 | 0.04 | 0.057 | 0.35 |
| Retail | 73,38,703 | 0.218 | 0.386 | 0.88 |
| Shareholder | 38,62,475 | 0.09 | 0.16 | 0.34 |
| TOTAL | 4,42,25,343 | 0.29 | 0.36 | 0.79 |
Details of Peer Group Companies:
IPO Valuation Parameters:
| Earnings Per Share (EPS) | Price To Earnings ratio (PE) | Return on Net Worth (RoNW) | Net Asset Value (NAV) |
|---|---|---|---|
| 10.51 | 49.47 | 77.47% | 14.99 |
| Check IPO Allotment Status: |
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Karvy Website (Click on the below Link)http://kosmic.karvy.com:81/ipotrack/ |
| Company Contact Info: |
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| ICICI Securities Ltd ICICI Centre H.T. Parekh Marg Churchgate Mumbai 400 020 Tel: + 91 22 6637 7100 Fax: + 91 22 2288 2445 E-mail: investors@icicisecurities.com Website: www.icicisecurities.com |
| IPO Registrar Info: |
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| Karvy Computershare Private Limited Karvy Selenium Tower B Plot 31-32 Gachibowli Financial District, Nanakramguda Hyderabad 500 032 Tel: +91 40 6716 2222 Fax: +91 40 2343 1551 E-mail: einward.ris@karvy.com Investor grievance e-mail: isec.ipo@karvy.com Website: https://karisma.karvy.com |
