IFCI Limited · NSE:IFCI
IFCI — Corporate Update (August 2018)
19 slides from IFCI's corporate update, Aug 16, 2018
Slide 1: IFCI Limited - Sugar Development Fund
IFCI Limited New Delhi Sugar Development Fund Dated: 16/08/2018
Slide 2: IFCI as Nodal Agency for the Sugar Development Fund
IFCI Ltd. is the Nodal Agency for channelizing the Sugar development Fund (SDF) of the Government of India since inception of the Fund in 1986. IFCI monitors the SDF loans sanctioned to private sugar factories for modernization-cum-expansion, setting-up of bagasse based cogeneration power projects,
Slide 3: Responsibilities of IFCI as nodal agency
As a Nodal agency of GOI, IFCI is primarily responsible for examination/execution of loan proposals and security documents, recommendation to GOI for release of funds, undertaking site visits for verification of physical and financial progress, verification of utilization of loan monies released by
Slide 4: Purposes of the fund under the SDF Act, 1982
The Sugar Development Fund Act, 1982 provides for the following purposes for which the fund shall be applied: (i) Making loans for facilitating the rehabilitation and modernization of any sugar factory or any unit thereof, including to a potentially viable sugar undertaking. (ii) Making loans for un
Slide 5: Purposes of the fund under the SDF Act (continued)
(v) Making loans to any sugar factory having an installed capacity of 2500 TCD or higher to implement a project of bagasse based cogeneration of power. (vi) Making loans to any sugar factory having an installed capacity of 2500 TCD or higher for production of anhydrous alcohol or ethanol from alcoho
Slide 6: Cumulative Figures
Cumulative Figures Total Sanction : Rs. 6670.00 crore Total Disbursement : Rs. 5409.78 crore Agency Commission : Rs. 218.67 crore Current Status Total Exposure : Rs. 2670.15 crore Number of Cases monitored : 131 Number of Accounts monitored : 331
Slide 7: Year wise number of cases sanctioned
No. of Cases 0 10 20 30 50 60 40 1985-86 2 1986-87 5 1987-88 9 1988-89 22 1989-90 21 1990-91 14 1991-92 19 1992-93 7 1993-94 8 1994-95 5 1995-96 9 1996-97 7 1997-98 14 1998-99 16 1999-00 6 2000-01 4 2001-02 15 Year wise number of cases Sanctioned 2002-03 3 2003-04 11 2004-05 12 2005-06 8 2006-07 18
Slide 8: Year wise amount sanctioned
Rs. in Crore 100 200 300 400 600 700 800 900 500 0 1985-86 1.79 1986-87 4.46 1987-88 6.24 1988-89 46.24 1989-90 49.70 1990-91 40.97 1991-92 96.26 1992-93 24.93 1993-94 37.17 1994-95 27.82 1995-96 42.49 1996-97 54.44 1997-98 89.03 1998-99 154.19 1999-00 67.49 2000-01 42.57 Year wise Amount Sanctioned
Slide 9: Year wise disbursement
Rs. in Crore 200 300 400 500 600 100 0 1985-86 1.79 1986-87 4.46 1987-88 6.24 1988-89 46.24 1989-90 49.70 1990-91 40.97 1991-92 89.09 1992-93 24.39 1993-94 37.17 1994-95 26.93 1995-96 42.49 1996-97 54.44 1997-98 82.69 Year wise Disbursement 1998-99 151.26 1999-00 67.49 2000-01 42.57 2001-02 132.58 2
Slide 10: Agency Commission Structure
Agency Commission Structure • The commission for actual recovery is 2% • The Commission for Outstanding Amount is as detailed under: Commission Commission is Commission(%) (%) of applicable for applicable for Outstanding following period remaining Loans period Modernization 0.5% 3 Yr 0.25% Cogenerat
Slide 11: Year wise commission earned by IFCI
Rs. in Crore 0 5 15 20 25 10 1986-87 0.01 1987-88 0.03 1988-89 0.08 1989-90 0.33 1990-91 0.54 1991-92 0.84 1992-93 1.22 1993-94 1.38 1994-95 1.65 1995-96 2.06 1996-97 2.26 1997-98 2.61 1998-99 3.02 1999-00 3.75 2000-01 4.24 2001-02 4.69 2002-03 5.33 2003-04 5.63 Year wise Commission earned by IFCI 2
Slide 12: Total Outstanding as on 31/03/2018
Total Outstanding as on 31/03/2018 : Rs.2449.57 Crore 1,400 1,276.33 60% 52.104% 1,200 50% 1,000 Rs. in Crore 793.75 40% 800 32.404% 30% 600 20% 400 216.37 163.12 8.833% 6.659% 200 10% 0 0%
Slide 13: Total Outstanding as on 30/06/2018
Total Outstanding as on 30/06/2018 : Rs.2670.15 Crore 1400 1334.40 60% 49.993% 1200 50% RS. In Crore 1000 911.58 40% 34.152% 800 30% 600 20% 400 264.55 9.911% 158.63 10% 5.943% 200 0 0%
Slide 14: Outstanding and Default Position as on 30/06/2018
Outstanding Position as on 30/06/2018 Rs. In Cr. No. of Principal S.No Type No. of cases Interest OS Total OS % of OS Actt. OS 1 Regular Cases 53 192 1014.99 125.86 1140.85 42.73% 2 Default Cases 78 139 904.43 624.87 1529.30 57.27% Total 131 331 1919.42 750.73 2670.15 100.00% Default Position as on
Slide 15: An overview of the accounts
An over view of the accounts No. of Total No. Default No. of Regular Period Default of Amount Security Accounts Accounts Accounts in crore Loans are secured by Prior to 30/06/2013 91 112 203 1089.32 way of second charge Loans are mainly After 30/06/2013 101 27 128 111.72 secured by way of First pari
Slide 16: Challenges for Sugar Factory
Challenges for Sugar Factory • Cyclical Industry • Low Yield of Sugarcane • Old and obsolete machinery • Low rate of recovery • Low per capita consumption • Short crushing season • Fluctuating Production Trends • Mismatch between cost of production and sale price
Slide 17: Limitations in SDF Rules
Limitations in SDF Rules • No provision for One time Settlement of default cases • No Restructuring facility by way of any wavier • DRT Process is time consuming and post issuance of RC, even if we go for sale, proceed will first go to 1st charge holder and residual, if any, will come for 2nd Charge
Slide 18: Suggestions to SDF/GOI
Suggestions to SDF/GOI Provision in SDF rules for OTS and resolution through NCLT which may entail sacrifice, if necessitate. (IFCI is in the process of submitting a proposal)
Slide 19: Contact Details
Contact Details: Jagdish Garwal Manoranjan Sarma Deputy General Manager Manager Sugar Development Fund Sugar Development Fund Email : j.garwal@ifciltd.com Email : m.sharma@ifciltd.com Mobile : 9599193795 Mobile : 9990725724