Tag: ICICI Securities

ICICI Securities revenue jumps over 74% to ₹1,543 crore; declares dividend of ₹17 per share

KV Prasad Jun 13, 2022, 06:35 AM IST (Published)

Listen to the Article (6 Minutes)

ICICI Securities on Thursday, April 18, reported a consolidated net profit of ₹536.5 crore in the January-March quarter of the financial year 2023-24, compared to ₹262.7 crore the company had declared a year ago in the same period.

The ICICI Group firm’s consolidated revenue rose 74.4% on a year-on-year (YoY) basis to₹1,543.2 crore in Q4FY24. The company had posted a revenue of ₹884.8 crore in the year-ago period. The strong jump in growth came on the back of a rise in broking income in the cash segment and growth in the Investment banking segment.

ICICI Securities consolidated EBITDA rose more than 96% to₹1,079.3 crore in the fourth quarter of the financial year 2023-24. The EBITDA in Q4FY23 came in at ₹550 crore.

#4QWithCNBCTV18 | ICICI Securities reports #Q4 earnings👇

➡️Cons profit at ₹536.5 cr vs ₹262.7 cr (YoY)
➡️Cons revenue up 74.4% at ₹1,543.2 cr vs ₹884.8 cr (YoY)
➡️Cons EBITDA up 96.2% at ₹1,079.3 cr vs ₹550 cr (YoY)
➡️Cons margin at 69.9% vs 62.2% (YoY) pic.twitter.com/kM1IGy8aBF

— CNBC-TV18 (@CNBCTV18Live) April 18, 2024

ICICI Securities margin came in at 69.9% in the quarter under consideration, compared to 62.2% declared a year ago in the same quarter.

ICICI Securities dividend news

The board of ICICI Securities also approved the payment of a second interim dividend of ₹17 per equity share of face value of ₹5 each to its shareholders. The record date for the same will be April 16 and the dividend amount will be credited on or before May 18.

ICICI Securities share price

ICICI Securities share price corrected 1.3% in trade today, settling at ₹703.15 apiece on the NSE at close. The scrip has corrected nearly 4% in the last five sessions, but the one-year return on the stock is over 52%.

Elon Musk forms several ‘X Holdings’ companies to fund potential Twitter buyout

3 Mins Read

Thursday’s filing dispelled some doubts, though Musk still has work to do. He and his advisers will spend the coming days vetting potential investors for the equity portion of his offer, according to people familiar with the matter

KV Prasad Journo follow politics, process in Parliament and US Congress. Former Congressional APSA-Fulbright Fellow

ICICI Investment-Banking Equity Head quits, likely to join Axis Capital, says report

KV Prasad Jun 13, 2022, 06:35 AM IST (Published)

Listen to the Article (6 Minutes)

Pratik Loonker, the head of equity capital market at ICICI Securities, quit from his position and is said to be joining Axis Capital for a larger role, according to people familiar with the matter, according to a Bloomberg report.

The executive would be joining as a managing director in the new role, which will include equity and a few other areas, said people who asked not to be identified as the information is still private, the report said while adding that Pratik put in his papers a few days ago and is currently serving a notice period.

Axis Capital did not immediately respond to emailed queries from the news agency, while ICICI Securities declined to comment, the report further said.

Before ICICI Securities, Loonker was earlier with Investec since October 2021, according to a Moneycontrol report. He has a combined experience of two decades in the industry and has earlier had stints at Deutsche Bank in Hong Kong and India and at JM Morgan Stanley in India and Singapore in the ECM segment, the report added.

Elon Musk forms several ‘X Holdings’ companies to fund potential Twitter buyout

3 Mins Read

Thursday’s filing dispelled some doubts, though Musk still has work to do. He and his advisers will spend the coming days vetting potential investors for the equity portion of his offer, according to people familiar with the matter

KV Prasad Journo follow politics, process in Parliament and US Congress. Former Congressional APSA-Fulbright Fellow

ICICI Bank defends shareholder outreach amid backlash over ICICI Securities delisting proposal

KV Prasad Jun 13, 2022, 06:35 AM IST (Published)

Listen to the Article (6 Minutes)

Amid the backlash for reportedly trying to sway shareholders to vote in favour of a proposal to delist its subsidiary ICICI Securities, ICICI Bank has defended its action, citing concerns from “a concerted campaign against the proposal” by those opposed to the scheme.

In a clarification issued to exchanges, ICICI Bank said that along with ICICI Securities, it had been undertaking efforts to reach out to equity shareholders with a view to explain the proposed scheme of delisting ICICI Securities and merging it with the parent entity.

It said the primary objective of this outreach was “maximising participation in the vote.” “The approach in the outreach was to explain the proposed Scheme and facilitate voting, and to not pursue repeated engagement if declined by the shareholder,” ICICI Bank said.

“As may be seen from the voting period dates mentioned above, March 23 (Saturday), March 24 (Sunday) and March 25 (Holi), were holidays in all or substantial parts of the country. Accordingly, the outreach activity was relatively high on March 26 (Tuesday),” it clarified.

ICICI Bank added that a “concerted campaign” was undertaken by those opposed to the proposed scheme, using social media and involving extensive outreach to retail shareholders, and hence the bank “felt it was important to reach out to retail shareholders to maximise participation in and to facilitate a considered outcome of, the vote.”

As per the bank’s regulatory filing late on March 27, shareholders have approved a proposal to delist ICICI Securities, following which it will become a wholly-owned subsidiary of ICICI Bank. It said that 83.8% of the institutional shareholders and 32% of non-institutional shareholders voted in favour of the delisting, while 67.8% of public non-institutional shareholders voted against the proposal.

The resolution was passed even as shareholders of ICICI Securities took to X platform (formerly Twitter) to complain about the relentless calls from ICICI Bank’s managers and branch officers, asking them to confirm if they voted and to share their email confirmation of the vote.

Deepak Shenoy, CEO of CapitalMind posted the following message on X on March 26, “ICICI Bank has been a little too aggressive in canvassing votes for their merger into ICICI securities. As a majority holder and interested party in ISEC they couldn’t vote. So they have called shareholders and asked them to vote…pushing for an approval. This might be legal, but it leaves a bad taste, esp asking for email confirmations of the votes. We own a position in the bank but it doesn’t look good to do this, plus could call for SEBI action on undue influence. Kindly refrain, @ICICIBank.”

Icici Bank has been a little too aggressive in canvassing votes for their merger into icici securities. As a majority holder and interested party in isec they couldn’t vote. So they have called shareholders and asked them to vote…pushing for an approval. This might be legal,… https://t.co/gMmup32ATl

— Deepak Shenoy (@deepakshenoy) March 26, 2024

On 25 June 2023, ICICI Securities announced its delisting plan through a scheme of arrangement, under which shareholders of ICICI Securities would receive 67 shares of ICICI Bank for every 100 shares they held. Upon successful implementation, ICICI Securities would operate as a wholly-owned subsidiary of ICICI Bank. As of December 31, 2023, ICICI Bank held 74.77% of the equity shares of ICICI Securities and the remaining 25.23% equity shares were held by the public.

In the exchange clarification issued today, ICICI Bank said that the share exchange ratio for the proposed Scheme was as per the joint valuation exercise conducted by two independent valuers. Two merchant bankers have delivered independent fairness opinions to ICICI Bank and ICICI Securities separately, it said.

“ICICI Bank and ICICI Securities received no adverse observations/ no-objection letters regarding the Scheme from NSE and BSE on November 28, 2023, and November 29, 2023, respectively. Four independent proxy advisory firms recommended voting for the resolution to approve the proposed Scheme to shareholders of both ICICI Bank and ICICI Securities,” ICICI Bank added in its note to exchanges.

Elon Musk forms several ‘X Holdings’ companies to fund potential Twitter buyout

3 Mins Read

Thursday’s filing dispelled some doubts, though Musk still has work to do. He and his advisers will spend the coming days vetting potential investors for the equity portion of his offer, according to people familiar with the matter

KV Prasad Journo follow politics, process in Parliament and US Congress. Former Congressional APSA-Fulbright Fellow

ICICI Securities shareholders approve delisting proposal

KV Prasad Jun 13, 2022, 06:35 AM IST (Published)

Listen to the Article (6 Minutes)

Shares of ICICI Securities and ICICI Bank will continue to steal the limelight on Thursday (March 28) as shareholders of India’s leading broking firm approved the delisting of the company. ICICI Securities shareholders have passed the scheme of arrangement to delist ICICI Securities, following which it will become a wholly-owned subsidiary of ICICI Bank.

As per the results of the shareholder vote released today, about 72% of the shareholder votes were cast in favour of the proposal to merge ICICI Securities with ICICI Bank after a delisting process.

The terms of the arrangement suggest that shareholders of ICICI Securities will get 67 shares of ICICI Bank against every 100 shares held.

Among the public institutional shareholders, 83.8% voted in favour, while only 32% votes were in favour among the public non-institutional shareholders. However, the large institutional holdings in ICICI Securities led to the proposal being cleared.

ICICI Bank clarification

In a statement, the ICICI Bank has clarified on shareholder canvassing for ICICI Securities delisting proposal. The lender said that the approach in the outreach was to explain the proposed scheme and facilitate voting, and to not pursue repeated engagement if declined by the shareholder.

“As may be seen from the voting period dates…March 23 (Saturday), March 24 (Sunday) and March 25 (Holi), were holidays in all or substantial parts of the country. Accordingly, the outreach activity was relatively high on March 26 (Tuesday),” the bank said.

Last year, the board of ICICI Securities approved a scheme of arrangement for the delisting of its shares pursuant to which ICICI Bank will issue shares to the public shareholders of ICICI Securities in lieu of cancellation of their shares in the company, making it a wholly-owned subsidiary of ICICI Bank Limited.

In November last year, ICICI Securities received “No objection” and “No adverse observations” letters from BSE and NSE; and in January, NCLT cleared the merger.

ICICI Bank plans to merge its 75% subsidiary ICICI Securities with itself offering investors 0.67 shares of ICICI Bank for every one share in ICICI Securities. The largest public shareholder Norges Fund Investment Bank has voted in favour of the ICICI Securities delisting proposal. Quantum Mutual Fund voted against the proposal.

Quantum Mutual Fund estimates that the merger will result in a net loss of at least ₹6.08 crore to its unitholders. In its rationale, the fund house believes that ICICI Bank’s proposal undervalues ICICI Securities and gives ICICI Bank access to the full business of ISEC at a less than fair market price.

On Wednesday, shares of ICICI Securities ended at ₹740.55. ICICI Securities shares declined 8% in the last one month, whereas ICICI Bank shares witnessed an approximate 4% increase during the same period.

Elon Musk forms several ‘X Holdings’ companies to fund potential Twitter buyout

3 Mins Read

Thursday’s filing dispelled some doubts, though Musk still has work to do. He and his advisers will spend the coming days vetting potential investors for the equity portion of his offer, according to people familiar with the matter

KV Prasad Journo follow politics, process in Parliament and US Congress. Former Congressional APSA-Fulbright Fellow

SEBI issues administrative warning to ICICI Securities over merchant banking activities

KV Prasad Jun 13, 2022, 06:35 AM IST (Published)

Listen to the Article (6 Minutes)

Brokerage house ICICI Securities Ltd on Friday (March 22) said it has received an administrative warning from the Securities and Exchange Board of India (SEBI) regarding its Merchant Banking activities. The warning was issued through an email dated March 22, 2024, which the company received at 4:06 PM.

The warning comes in connection with SEBI’s inspection of the books and records related to ICICI Securities’ Merchant Banking activities, conducted in December 2023. Despite the warning, ICICI Securities has clarified that there will be no impact on its financial, operational, or other activities.

In February 2024, ICICI Securities said SEBI had issued an administrative warning to the company regarding merchant banking activities. This administrative warning does not have any immediate impact on the financial or operational activities of ICICI Securities.

“The warning has been issued in connection with the inspection of books and records for the Merchant Banking activities of the company. There is no impact on the financial, operation or other activities of the company pursuant to the above-mentioned administrative warning letter,” the company added.

ICICI Securities reported a 66% year-on-year jump in profit after tax (PAT) to ₹465.7 crore in the three months ended December 2023. In comparison, the company had posted a PAT of ₹280.9 crore in the October-December quarter of the preceding fiscal year (FY23).

The company registered a revenue of ₹1,323.3 crore in the quarter under review, marking a 50% year-on-year (YoY) surge from ₹879.9 crore in the three months ended December 31, 2022. Overall, the client’s assets stood at ₹6.9 lakh crore in the three months ended December 31, 2023, an increase of 16% on a yearly basis.

Shares of ICICI Securities Ltd ended at ₹752.45, down by ₹8.35, or 1.10% on the BSE.

Elon Musk forms several ‘X Holdings’ companies to fund potential Twitter buyout

3 Mins Read

Thursday’s filing dispelled some doubts, though Musk still has work to do. He and his advisers will spend the coming days vetting potential investors for the equity portion of his offer, according to people familiar with the matter

KV Prasad Journo follow politics, process in Parliament and US Congress. Former Congressional APSA-Fulbright Fellow

SEBI issues administrative warning to ICICI Securities for merchant banking activities

KV Prasad Jun 13, 2022, 06:35 AM IST (Published)

Listen to the Article (6 Minutes)

Brokerage house ICICI Securities Ltd on Wednesday (February 28) said market regulator Securities and Exchange Board of India (SEBI) has issued an administrative warning to the company regarding merchant banking activities.

“This is to inform you that the Securities and Exchange Board of India (‘SEBI’) has issued an administrative warning to ICICI Securities Limited (‘the Company’) vide their letter dated February 28, 2024, which was received on the same day at 12:16 p.m. through e-mail,” according to a stock exchange filing.

This administrative warning does not have any immediate impact on the financial or operational activities of ICICI Securities. The company has stated that it will continue to operate in accordance with all applicable laws and regulations.

“The warning has been issued in connection with the inspection of books and records for the Merchant Banking activities of the company. There is no impact on the financial, operation or other activities of the company pursuant to the above-mentioned administrative warning letter,” the company added.

ICICI Securities reported a 66% year-on-year jump in profit after tax (PAT) to ₹465.7 crore in the three months ended December 2023. In comparison, the company had posted a PAT of ₹280.9 crore in the October-December quarter of the preceding fiscal year (FY23).

The company registered a revenue of ₹1,323.3 crore in the quarter under review, marking a 50% year-on-year (YoY) surge from ₹879.9 crore in the three months ended December 31, 2022. Overall, the client’s assets stood at ₹6.9 lakh crore in the three months ended December 31, 2023, an increase of 16% on a yearly basis.

ICICI Securities, promoted by ICICI Bank, is the country’s leading retail-led equity franchise, distributor of financial products and investment bank. Shares of ICICI Securities Ltd ended at ₹817.50, down by ₹4.75, or 0.58% on the BSE.

Elon Musk forms several ‘X Holdings’ companies to fund potential Twitter buyout

3 Mins Read

Thursday’s filing dispelled some doubts, though Musk still has work to do. He and his advisers will spend the coming days vetting potential investors for the equity portion of his offer, according to people familiar with the matter

KV Prasad Journo follow politics, process in Parliament and US Congress. Former Congressional APSA-Fulbright Fellow

ICICI Securities Q3 Results | Profit jumps 67%, revenue surges 51%

KV Prasad Jun 13, 2022, 06:35 AM IST (Published)

Listen to the Article (6 Minutes)

Brokerage house ICICI Securities Ltd on Tuesday (January 16) reported a 66.6% year-on-year (YoY) jump in net profit at ₹465.1 crore for the third quarter that ended December 31, 2023.

In the corresponding quarter last year, ICICI Securities posted a net profit of ₹279.1 crore, the company said in a regulatory filing. The company’s revenue from operations increased 50.5% to ₹1,322.4 crore against ₹878.8 crore in the corresponding period of the preceding fiscal.

At the operating level, EBITDA jumped 66.3% to ₹910.7 crore in the second quarter of this fiscal over ₹547.7 crore in the year-ago period.

The EBITDA margin stood at 68.9% in the reporting quarter against 62.3% in the corresponding period in the previous fiscal. EBITDA is earnings before interest, tax, depreciation, and amortisation.

ICICI Securities’ interest income increased from ₹268.96 crore for Q3 of FY23 to ₹454.62 crore in Q3 of FY24, an increase of 69%. This was primarily due to an increase in the average MTF funding book and MTF and fixed deposit yields.

Brokerage income increased from ₹313.74 crore for Q3 of FY23 to ₹464.72 crore in Q3 of FY24, an increase of 48.1%. This was primarily due to an increase in equity and derivative volumes.

Income from services increased from ₹277.78 crore to  ₹379.47 crore in Q3 of FY24 year on year (YoY), an increase of 36.6%. This was primarily on account of an increase in issuer services and advisory fee income and income from distribution products, ICICI Securities said.

Net gain on fair value changes increased from ₹18.11 crore to ₹23.46 crore in Q3 of FY24, an increase of 29.5% primarily due to gain on fair value changes in the treasury segment.

Finance costs increased to ₹260.65 crore in Q3 of FY24 from ₹153.03 crore in the year-ago period . This was attributed to increased borrowing to fund MTF and an increase in borrowing costs on account of increased interest rates.

Fees and commission expenses increased from ₹42.59 crore for Q3 of FY23 to ₹51.11 crore for Q3 of FY24, primarily due to an increase in revenue-linked payout to partners. The operating expenses increased from ₹26.66 crore to ₹36.21 crore, mainly due to an increase in operating expenses linked to volumes.

Total assets increased from ₹15,568.8 crore as of March 31, 2023, to ₹22,676.48 crore as of December 31, 2023, an increase of 45.7%. This increase was primarily due to an increase in the MTF and ESOP book from ₹6,419.88 crore to ₹11,449.89 crore, and bank balance other than cash and cash equivalents from ₹6,550.13 crore as of March 31, 2023, to ₹9,597.19 crore as of December 31, 2023.

The results came after the close of the market hours. Shares of ICICI Securities Ltd ended at ₹778.40, up by ₹20.15, or 2.66%, on the BSE.

Elon Musk forms several ‘X Holdings’ companies to fund potential Twitter buyout

3 Mins Read

Thursday’s filing dispelled some doubts, though Musk still has work to do. He and his advisers will spend the coming days vetting potential investors for the equity portion of his offer, according to people familiar with the matter

KV Prasad Journo follow politics, process in Parliament and US Congress. Former Congressional APSA-Fulbright Fellow

Godrej Consumer Products hits 52-week high after ICICI Securities upgrades stock to ‘buy’

KV Prasad Jun 13, 2022, 06:35 AM IST (Published)

Listen to the Article (6 Minutes)

Brokerage house ICICI Securities has upgraded its rating on Godrej Consumer Products Ltd (GCPL) to “buy”, citing potential for double-digit volume growth in the rapidly growing product categories.

The brokerage has also raised the target price of the FMCG firm to ₹1,260 from ₹1,050 per share earlier.

As per the brokerage, to achieve a market-beating UVG, the company has focused on prioritising category development initiatives and aligning strategies with emerging trends.

In its research note, ICICI Securities said that the volume share continues to gain in the soap segment.

After the upgrade by ICICI Securities, shares of Godrej Consumer Products gained nearly 2% to hit a fresh 52-week high of ₹1,114 apiece on BSE in morning trade on Wednesday.

Meanwhile, Motilal Oswal has also maintained a ‘buy’ rating on Godrej Consumer Products. The brokerage set a target of ₹1,120 per share. Motial Oswal observed that the company’s management is confident in the acquired projects.

Earlier in October, Godrej Consumer Products, which owns soap brand Godrej No 1, reduced prices of soaps by 13 to 15 percent amid palm oil and other raw materials turning relatively cheaper.

The integration of acquired brands — Park Avenue and Kamasutra — has been largely finalised.

Previously, Godrej Consumer finalised a deal with Raymond to acquire its FMCG arm Raymond Consumer Care, which operates in personal care, sexual wellness and home care categories with brands like Park Avenue, Kamasutra and KS Spark.

At 10.06am, shares of Godrej Consumer were trading 1.54% higher at ₹1,110.05 apiece on the BSE.

Also Read: Laurus Labs Share Price: Here’s why ₹430 – ₹440 is a crucial zone for the stock

Elon Musk forms several ‘X Holdings’ companies to fund potential Twitter buyout

3 Mins Read

Thursday’s filing dispelled some doubts, though Musk still has work to do. He and his advisers will spend the coming days vetting potential investors for the equity portion of his offer, according to people familiar with the matter

KV Prasad Journo follow politics, process in Parliament and US Congress. Former Congressional APSA-Fulbright Fellow

ICICI Securities shares give up gains from 52-week high despite strong earnings, interim dividend

KV Prasad Jun 13, 2022, 06:35 AM IST (Published)

Listen to the Article (6 Minutes)

Shares of ICICI Securities gained as much as 8% after its September quarter results which it reported after market hours on Monday. The stock has cooled off from the day’s high since then.

The stock traded at a 52-week high at its intraday peak of Rs 683.

ICICI Securities reported a 41% year-on-year growth in its September quarter net profit to Rs 423.6 crore, compared to Rs 300 crore seen last year.

Revenue for the quarter stood at Rs 1,249 crore, reporting a growth of 45% from last year.

The company also declared an interim dividend of Rs 12 per equity share of face value of Rs 5 each for its shareholders.

ICICI Securities had announced on June 29 that it will delist from the bourses and become a wholly-owned subsidiary of its parent ICICI Bank Ltd.

The stock has risen by 6% since that announcement.

Under the delisting proposal, public shareholders of the firm are supposed to be allocated 67 equity shares of ICICI Bank for every 100 equity shares of ICICI Securities.

The decision comes five years after ICICI Securities made its stock market debut in April 2018. Though the fate of delisting is still uncertain as significant hurdles remain on the regulatory front.

Also, Norway’s Norges Bank Investment Management and South India-based Portfolio Management Service (PMS) are likely to raise their voices in opposition to the proposed delisting due to concerns over the company’s undervaluation.

After the initial pop, shares of ICICI Securities are trading 2.7% higher at Rs 649.

Elon Musk forms several ‘X Holdings’ companies to fund potential Twitter buyout

3 Mins Read

Thursday’s filing dispelled some doubts, though Musk still has work to do. He and his advisers will spend the coming days vetting potential investors for the equity portion of his offer, according to people familiar with the matter

KV Prasad Journo follow politics, process in Parliament and US Congress. Former Congressional APSA-Fulbright Fellow