Religare Enterprises Limited · NSE:RELIGARE
Religare Enterprises — Investor Presentation (November 2013)
30 slides from Religare Enterprises's investor presentation, November 2013
Slide 1: Religare Enterprises Limited
Religare Enterprises Limited November 2013
Slide 2: Business overview
Religare Enterprises Limited Business overview Business Overview • Religare Enterprises Limited is a Non-Operative Holding Company, with subsidiaries and joint ventures operating across the financial services spectrum in India and having a strategic presence overseas • Promoted by the Singh Family,
Slide 3: Portfolio Functions Overview
Portfolio Functions Overview REL’s primary objective is to ensure that its portfolio companies create equity value REL Structure and Functions REL Structure and Functions •• Religare ReligareEnterprises EnterprisesLimited Limited(REL) (REL)isisaaNon-Operative Non-OperativeFinancial Holding Holding C
Slide 4: Our Evolution
Our Evolution Religare has evolved from being a retail equity broking firm to a diversified financial services player IFC investment in REL: ₹4.05 bn. PE Investments in RFL – Jacob Ballas: ₹2 bn. and Avigo: ₹1.5 bn. Invesco inducted as strategic partner in RAMC ESOP Scheme: Management holds 20% econ
Slide 5: Holding Structure
Holding Structure The Promoter Group holds nearly 61% of REL’s equity; measures are underway to increase public holding Promoter Group Public 60.9% 39.1% Religare Enterprises Limited Listed on BSE and NSE 84%* 100% 100% 51% 100% 90% 44% Religare Religare Religare AEGON Religare Religare RGAM Capital
Slide 6: Table of contents
Table of contents Section I : Strategic highlights Section II : Key operating subsidiaries overview 5
Slide 7: Key investment highlights
Religare Enterprises Limited Key investment highlights 1 India’s long term growth potential presents tremendous opportunity for financial services 2 Capital flows from developed markets to emerging markets provide significant opportunities for financial services businesses Robust platform built to c
Slide 8: India's long term growth presents enormous opportunities for financial services
1 India’s long term growth presents enormous opportunities for financial services Penetration levels of most financial products well below developed markets and other emerging market peers India’s GDP is projected to Massive increase in the ‘middle class’ Increased demand for grow rapidly in the lon
Slide 9: Capital flows from developed markets to emerging markets are expected to quadruple in two decades
2 Capital flows from developed markets to emerging markets are expected to quadruple in two decades Significant opportunities for financial services business with deep understanding of emerging markets Emerging markets will Developed market investments in emerging markets are likely to Significant o
Slide 10: Robust platform in place to capture both India and Emerging Market opportunities
India 3 Robust platform in place to capture both India and Emerging Market opportunities Multi-product manufacturing capabilities and distribution International Religare Finvest • One of India’s largest NBFCs focused on Small and Medium Enterprises (SMEs) • Loan book of c. ₹97.6 bn. (USD 1.53 bn)* •
Slide 11: Strong aligned professional management and committed long-term capital providers
4 Strong aligned professional management and committed long-term capital providers Religare Enterprises is part of the Singh brothers business group and is run by a completely independent professional management Group Executive Portfolio Companies’ Key Leadership Sunil Godhwani, CMD (Joined Religare
Slide 12: Best-in-class processes, technology and infrastructure
5 Best-in-class processes, technology and infrastructure Platform is poised to capitalize on the India opportunity In-house 350+ resource shared services setup to support various transactional and processing requirements for the businesses Shared Services Capability Matrix IT infrastructure deploys
Slide 13: Table of contents
Table of contents Section I : Strategic highlights Section II : Key operating subsidiaries overview 12
Slide 14: Lending – Religare Finvest
Lending – Religare Finvest Business Overview Net worth of ₹22.26 bn. Improve ROE SME book size of ₹97.6 bn. Continuous Growth in Book Business 60% of REL’s Strategic Highlights consolidated revenue Priorities Ensure Low NPAs (as of/q.e. 30-Sep-2013) SME Working Loan Book Split – 30-Sep-2013 9% Capit
Slide 15: Religare Finvest
Religare Finvest Calibrated build out of lending book Key highlights Calibrated build out of lending book Core NIM in target band Growth capital provider focused on (₹ bn) SME Working Capital* SME Loan Against Property* NIM Opex/ ANR SME CE/CV Finance* Capital Market Lending fast-growing SME segme
Slide 16: Retail Broking – Religare Securities & Religare Commodities
Retail Broking – Religare Securities & Religare Commodities Business Overview Increase Market share of Distribution 1.7% in equities and Network 3.3% in commodities productivity Return to 10% of REL’s Business consolidated revenue Strategic Profitability Highlights Priorities Generate Superior (q.e.
Slide 17: Religare Securities & Religare Commodities
Religare Securities & Religare Commodities Focus on improving quality of business Key Highlights Market-wide turnover growth driven by Options Significant increase in commodity market share; equities stable • Improvement in quality of business Commodities - Futures Equities - Options Market Share -
Slide 18: Capital Markets – Religare Capital Markets
Capital Markets – Religare Capital Markets Business Overview India IE cash market Increase Market share of 1.2% Share Empanelled with over Business 635 clients globally Strategic Attain Profitability Highlights Priorities (as of/q.e. 30-Sep-2013) Asia-focussed Institutional Equities and Investment B
Slide 19: Religare Capital Markets
Religare Capital Markets Creating a sustainable platform Key Highlights Client empanelment Intense focus on revenue growth to accelerate path to No. of Institutional Empanelments* profitability Traction continues in institutional equities Experiencing good momentum in investment banking and ECM
Slide 20: Wealth Management – Religare Wealth Management
Wealth Management – Religare Wealth Management Business Overview AUM of ₹28.9 bn. Increase Yield on AUM Customer base of over 4,700 Increase Annuity Business Strategic Income Highlights Priorities (as of 30-Sep-2013) Advisory-led, research-backed investment solutions enabled by the “Most Exciting An
Slide 21: Religare Wealth Management
Religare Wealth Management Utilizing the breadth of the platform to drive future growth Key Highlights Client Base AUM No. of Clients (₹ bn) Total AUM Size and scale aligned to market Seen as trusted advisors to clients, enabled by our proprietary ‘Protection, Growth 4,972 28.4 28.8 28.3 28.9 4,
Slide 22: India Asset Management – Religare Invesco Asset Management
India Asset Management – Religare Invesco Asset Management Business Overview Q2FY14 Average AUM of ₹125 bn. Profitable AUM Continues to Growth Business break-even Strategic Highlights operationally Priorities AUM Split – Q2FY14 Domestic Funds 2% 17% Offshore Funds Entering the next phase Portfolio 8
Slide 23: Religare Invesco Asset Management Company
Religare Invesco Asset Management Company Entering the next phase of growth with Invesco’s induction as JV partner Key Highlights Industry-wide average AUM (₹ bn.) Invesco inducted as a strategic partner with 49% equity in Avg. Industry AUM Religare Asset Management Company Limited • Invesco is on
Slide 24: Global Asset Management – Religare Global Asset Management
Global Asset Management – Religare Global Asset Management Business Overview AUM Growth in AUM of existing affiliates $14 bn. Launch of organic Business Strategic affiliates Highlights Priorities (as of 30-Sep-2013) Building a multi- boutique Alternative Key Asset Manager Affiliates 23
Slide 25: Religare Global Asset Management
Religare Global Asset Management Strategy rollout well underway through marquee acquisitions, supplemented by organic initiatives AUM ~ USD 9.1 billion ~ USD 4.0 billion ~ USD 0.5 billion ~ USD 0.1 billion Private Equity Fund of Listed healthcare Secondary Private Equity Funds and Dire
Slide 26: Health Insurance – Religare Health Insurance
Health Insurance – Religare Health Insurance Business Overview GWP of ₹782mn. Grow GWP with efficient use of Over 570,000 lives Capital Business covered Strategic Highlights Priorities (as of/h.y.e. 30-Sep-2013) Retail Health Plan Group Health Plan Positioned to capture significant Group Group Perso
Slide 27: Religare Health Insurance
Religare Health Insurance Rapidly established a sizable hospital network Key Highlights No. of lives covered Fourth standalone health insurer to be set up in India (000s) Cumulative no. of lives covered Equity participation of 5% each by Union Bank of India and Corporation Bank Established pan
Slide 28: Life Insurance – AEGON Religare Life Insurance
Life Insurance – AEGON Religare Life Insurance Business Overview Efficient use of Over 290,000 lives Capital covered Achieve Breakeven ₹5.4 bn. capital Generate Equity Business invested by REL Strategic Highlights Priorities Value above the (as of 30-Sep-2013) Guarantee Term Plans Endowment Plans Pi
Slide 29: AEGON Religare Life Insurance
AEGON Religare Life Insurance Acknowledged leader in use of technology Key Highlights Steadily growing customer base Business Update • Multi-channel distribution in place (000s) No. of Customers Completed 5 years since selling the first including agency, direct to insurance policy in July 2008 con
Slide 30: Thank You
Thank You 28 RELIGARE Values that bind
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