Sanlam Allianz Holdings (kenya) Plc · NSEKE:SLAM
Sanlam Allianz Holdings (kenya) — Shriram Capital — Investor Day (October 2012)
36 slides from Sanlam Allianz Holdings (kenya)'s investor day presentation, October 2012
Slide 1: Shriram Capital Ltd – Sanlam Investor Day October 2012
Shriram Capital Ltd Sanlam Investor Day– October 2012
Slide 2: Table of Contents
Table of Contents Section 1: Executive Summary Section 2: Shriram Group Section 3: Shriram Capital Section 4: Overview of Financial Services operating companies A. Shriram Transport Finance B. Shriram City Union Finance C. Shriram General Insurance D. Shriram Life Insurance E. Shriram Credit Com
Slide 3: Table of Contents
Table of Contents Section 1: Executive Summary Section 2: Shriram Group Section 3: Shriram Capital Section 4: Overview of Financial Services operating companies A. Shriram Transport Finance B. Shriram City Union Finance C. Shriram General Insurance D. Shriram Life Insurance E. Shriram Credit Com
Slide 4: Key Highlights- Shriram Capital
Key Highlights- Shriram Capital Established in 1974, Shriram Group is one of the most respected Groups in India with an established track record of 35+ Impeccable years. Pedigree Currently Assets under Management is over US$ 11.80 bn The brand “Shriram” is one the most trusted and reputed bran
Slide 5: Table of Contents
Table of Contents Section 1: Executive Summary Section 2: Shriram Group Section 3: Shriram Capital Section 4: Overview of Financial Services operating companies A. Shriram Transport Finance B. Shriram City Union Finance C. Shriram General Insurance D. Shriram Life Insurance E. Shriram Credit Com
Slide 6: Founder's profile
Shriram Group Founder’s profile Mr. R. Thyagarajan Founder, Shriram Group Founder Chairman of the Shriram Group of Companies Founded the Shriram Group in 1974 to cater to the financial needs of a very large “unbanked / credit starved” customers Has envisioned and strategized the development of
Slide 7: Shriram Group Brief Overview
Shriram Group Brief Overview Established in 1974, Shriram Group is one of the most respected Groups in India with a predominant presence in the financial services space Shriram Capital Limited (SCL) is the overarching holding arm of all the financial services entities of the group. Currently i
Slide 8: Shriram Group Holding Structure
Shriram Group Holding Structure Shriram Group Shriram Ownership Trust Shriram Enterprise Trust (holding Financial Services Businesses) (holding Non-Financial Services Businesses) Shriram Chits Shriram Capital (Tamil Nadu/ Hyderabad/ Limited Karnataka/Maharashtra) (Chit Fund Business) Shriram Enterpr
Slide 9: Shriram Group Partners and Investors
Shriram Group Partners and Investors Business Company Investor Domain Investors Shriram Financial Ventures SANLAM Group of South Africa International Holding company (Chennai) Private Limited Shriram Capital Limited International TPG Investments Truck Finance Shriram Transport Finance TPG Investment
Slide 10: Governing Council Financial Services
Governing Council Financial Services Chairman of Board of Directors of Shriram Capital, Shriram Transport, Shriram Properties, Shriram City, Shriram EPC and Bellwether Microfinance Fund Arun Duggal Senior Advisor to TPG Capital and Vice Chairman of International Asset Reconstruction Company Chai
Slide 11: Governing Council Financial Services
Governing Council Financial Services R Duruvasan Mr.Duruvasan has been serving the Shriram Group for 34 years MD Mr Duruvasan played a key role as Managing Director and Principal Officer of Shriram Life Insurance Co. Ltd in the initial 5 years of the company’s Shriram City story and was greatly
Slide 12: Table of Contents
Table of Contents Section 1: Executive Summary Section 2: Shriram Group Section 3: Shriram Capital Section 4: Overview of Financial Services operating companies A. Shriram Transport Finance B. Shriram City Union Finance C. Shriram General Insurance D. Shriram Life Insurance E. Shriram Credit Com
Slide 13: Shriram Capital An active holding company
Shriram Capital An active holding company Objectives of SCL: To provide overall Governance and Corporate support to all the financial services investments in the group To put in place senior management representation on the board of operating companies To create synergy between different financi
Slide 14: Shriram Capital Holding Structure
Shriram Capital Holding Structure Shriram Ownership Trust 66.85% 33.15% Sanlam Holding chit business 10.48% Shriram Financial Ventures (Chennai) Pvt. Ltd 11.10% TPG Shriram Capital Ltd 78.42% 49% 51% 49% 51% 67.49% 100% 100% 99.58% Shriram Retail Shriram Holdings Bharat Re- Shriram General Shriram L
Slide 15: Shriram Financial Ventures (Chennai)/ Sanlam Stake Holding Structure
Shriram Financial Ventures (Chennai)/ Sanlam Stake Holding Structure Shriram Ownership Sanlam Ltd. Trust South Africa 66.85% TPG Shriram Financial Sanlam Emerging 33.15% Ventures (Chennai) Market (Maritius) 10.48% Pvt. Ltd Ltd., Mauritus 11.10% 78.42% Shriram Capital Ltd Brokerage, Financial Retail,
Slide 16: Shriram Capital Board of Directors
Shriram Capital Board of Directors Arun Duggal D. V. Ravi R. Sridhar G.S. Sundararajan Heinie Werth Puneet Bhatia Sanlam Nominee TPG Nominee 16
Slide 17: Shriram Capital Senior Management Team
Shriram Capital Senior Management Team S.Murali Has 23 years of rich experience in various industries in India and abroad Eexcuitve High level of expertise in financial services, financial analysis, risk management, valuation, regulatory/ compliance matters, Director, CFO & Company management st
Slide 18: SCL Subsidiaries Business Snapshot
SCL Subsidiaries Business Snapshot Shriram Transport Shriram City Union Shriram Life Insurance Provides purchase finance for pre-owned Offers gold loans (36% of total book), Underwrite life insurance business trucks (5-12 years old) to small truck small enterprise loans (29%), auto loan Offe
Slide 19: SCL Subsidiaries Business Snapshot
SCL Subsidiaries Business Snapshot Shriram Credit Company Limited (SCCL) Shriram General Insurance Stock Broking Distribution of Financial Products Underwrite motor, fire, Equity (cash and derivative) Distribution of financial products engineering, liability and and commodities brokerage like
Slide 20: Table of Contents
Table of Contents Section 1: Executive Summary Section 2: Shriram Group Section 3: Shriram Capital Section 4: Overview of Financial Services operating companies A. Shriram Transport Finance B. Shriram City Union Finance C. Shriram General Insurance D. Shriram Life Insurance E. Shriram Credit Com
Slide 21: Shriram Transport Finance Unique Business Model
Shriram Transport Finance Unique Business Model CV Financing Business Model Pre Owned (5-12 Years Old CVs) New Owned Funds Owned Funds Average core lending business yields 18-24% Average core lending business yields 15-16% Securitization Average back-stop funding – Net spread: 5-6% Target Small Tr
Slide 22: Shriram Transport Finance Key Highlights
Shriram Transport Finance Key Highlights One of the Largest NBFCs in asset financing space with 20-25% market share in pre-owned and 7-8% share in new truck financing Scale Total AUM of $7.7 bn with a Net worth of $1.14 bn, generating Income(1) of $ 645mn (FY 12) ) Customer base has grown to 0
Slide 23: Shriram Transport Finance Peer Analysis
Shriram Transport Finance Peer Analysis Shriram Transport Finance Scale: Net worth, Assets (FY12, US $ mn) Profitability: RoA, RoE (FY12, %) compares well in almost all fundamentals as compared to 11,674 peers 22.8% 22.8% 21.4% 13.0% 11.9% 6,873 Comparable size to its peers 5,179 3,570 3.8% 2.9%
Slide 24: Shriram City Union Finance Unique Business Model
Shriram City Union Finance Unique Business Model Retail & Small Enterprises financing model Small Enterprises Retail Loan Finance Personal Loans / Two wheeler Loans Auto Loans Loan against gold Consumer Durable Growth YoY Shriram City Started Average Tenor Average Yield % of Portfolio GNPA (%) NNPA
Slide 25: Shriram City Union Finance Key Highlights
Shriram City Union Finance Key Highlights Difficult to Amongst the largest and most diversified players in the retail financing space replicate Target under-banked customers who are otherwise not eligible for credit Portfolio Access to 9.3 mn Shriram Group client base Focus Market Focus on r
Slide 26: Shriram City Union Finance Peer Analysis
Shriram City Union Finance Peer Analysis Shriram City Union Finance Scale: Net worth, Assets (FY12, US $ mn) Profitability: RoA, RoE (FY12, %) compares well in almost all fundamentals as compared 2,432 2,486 2,322 2,581 to peers 24% 24% 27% RoA RoE One among the best in 1,536 12% 14% peer group
Slide 27: Shriram General Insurance Key Highlights
Shriram General Insurance Key Highlights Competitive Access to captive customer base of Shriram Transport and two wheeler/ auto loan customers of Shriram City Union. Advantage Enhanced ability to mitigate two key risks a) pricing based on competitor pricing and not on risk and b) ‘moral hazard’
Slide 28: Shriram General Insurance Peer Analysis
Shriram General Insurance Peer Analysis Shriram General Insurance FY12 Total Premiums (US $ mn) FY12 Product-wise Distribution (%) was established in 2008 and commenced 5% 14% 8% 8% operations thereafter 316 23% 17% 285 16% 18% 15% It is one of the most 244 259 42% 14% 9% 8% successful Non-Life
Slide 29: Shriram Life Insurance Key Highlights
Shriram Life Insurance Key Highlights Competitive Access to Shriram Group customer base of 9.3 mn and infrastructure Advantage Low cost of operations due to access to Group customer base and infrastructure Earned profits in the very first year of operations Profitability Apart from SBI Life,
Slide 30: Shriram Life Insurance Peer Analysis
Shriram Life Insurance Peer Analysis Shriram Life Insurance was FY12 Total Premiums (US $ mn) established in 2005 and commenced operations 2,696 2,526 thereafter 1,962 It is one of the most 1,439 1,229 1,132 successful Life Insurers amongst the new 565 358 43 124 149 150 142 established players
Slide 31: Shriram Credit Company
Shriram Credit Company Shriram Credit Company Limited (SCCL) incorporated in 1980 is a Shriram Credit Non-Deposit taking NBFC registered (NBFC) with RBI Business: Loan Against Shares and holdco for other companies SCCL is directly engaged in Financing activities mostly Loan against Shares Shrira
Slide 32: Shriram Insight Share Brokers
Shriram Credit Shriram Insight Share Brokers Shriram Insight Share brokers, incorporated in Key Financials 1995, is a professionally managed stock broking arm of Shriram group Key Financials (in USD mn) FY’12 FY11 Commenced operations in cash segment at Revenue1 12 18 NSE in 1996 EBITDA1 3 4 C
Slide 33: Shriram Fortune Solutions/Shriram Financial Product Solutions (Chennai)
Shriram Credit Shriram Fortune Solutions/Shriram Financial Product Solutions (Chennai) Shriram Fortune/ Shriram Financial Products distribute a Total Volume of investment & insurance product distributed by Shriram Group range of investment and insurance products, primiraly of Shriram Group and off
Slide 34: Table of Contents
Table of Contents Section 1: Executive Summary Section 2: Shriram Group Section 3: Shriram Capital Section 4: Overview of Financial Services operating companies A. Shriram Transport Finance B. Shriram City Union Finance C. Shriram General Insurance D. Shriram Life Insurance E. Shriram Credit Com
Slide 35: Shriram Capital Future Plans
Shriram Capital Future Plans Shriram Institutionalize active engagement with all operating companies Capital Identify and induct Strategic partners & financial investors in SCL and subsidiary companies Prepare for a potential IPO of SCL and other unlisted companies Consolidate STFC operation
Slide 36: www.shriram.com www.shriramcapital.com
www.shriram.com www.shriramcapital.com Forward Looking Statement Certain statements in this document with words or phrases such as “will”, “should”, etc., and similar expressions or variation of these expressions or those concerning our future prospects are forward looking statements. Actual results