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A4 Pdf File.Cdr ANNUAL REPORT 07-08 $ $ $ $ $ $ $ $ POWERING INDIA’S GROWTH Mission To provide credible, professional and customer focused world class investment banking services WELCOME TO SBICAP Vision To be the best India based investment bank Bankers State Bank of India Statutory Auditors M/s. S.R. Batliboi & Co. Chartered Accountant INDEX Address of Registered Office SBI Capital Markets Limited & Corporate Office 202 Maker Tower ‘E’, Cuffe Parade Mumbai - 400 005 Board of Directors 02 About us 04 Financial Highlights 05 About SBICAP Group 06 Project Advisory and 08 Structured Finance (PA&SF) Capital markets 10 D Mergers & Acquisions 12 E T I M and A dvisory I L S T E Our people 14 K R A M L Financials 15 A T I P A C I B S 1 ANNUAL REPORT 07-08 Board of Directors People who made the difference SHRI O. P. BHATT Chairman SHRI R.SRIDHARAN SMT BHARATI RAO Director Director SHRI M. R. SIVARAMAN Director 2 DR. R.H. PATIL DIRECTOR SHRI BANSI S. MEHTA DR. SWATI A. PIRAMAL DIRECTOR Director SHRI D. SUNDARAM SHRI AJAY SAGAR Director Director D E T I M I SHRI A. P. VERMA L S Managing Director & CEO T E K R A M L A T I P A C I B S 3 ANNUAL REPORT 07-08 About us Powering India’s growth through global experience Locations 4Ahmedabad 4Bangalore 4Chennai 4Hyderabad 4Kolkatta 4New Delhi 4Chandigarh 4Guwhati 4London I he wholly-owned subsidiary of State Bank of India, SBI Capital Markets Limited (SBICAP), is India's leading investment bank and project advisor as well as one of the oldest players in the Indian Capital Market. This apex fund mobilizer pioneered privatization in the country and enjoys over two decades of trusted brand name in raising funds and in assisting renowned Corporates, Banks, Financial Institutions, PSUs, State Government undertakings and other corporate houses in the country. As a full-service Merchant Banker, SBICAP has carved a niche for itself in Project Finance & Syndication. It offers a wide array of advisory services catering to the diverse requirements of clients and is perfectly attuned to the futuristic needs of an expanding economy. Committed to professionalism and quality service, SBICAP is looked upon as the “One Stop Shop” for Investment, Advisory and Financial Services. Headquartered in Mumbai with eight offices across the country and an international subsidiary, SBICAP has entered into tie-ups with Investment Banks / Banks in Sri Lanka, Bangladesh, Oman & Qatar. SBICAP is also an alliance member of M & A International Inc., the world's leading alliance of independent advisors specializing in mergers and acquisitions in the middle markets. SBICAP commenced operations in August 1986 and has four subsidiaries viz., SBICAP Securities Ltd., SBICAPS Ventures Limited, SBICAP Trustee Company Ltd. and SBICAP (UK) Ltd. In January 1997, fresh equity shares were issued to Asian Development Bank (ADB) and ADB now holds 13.84% stake in the equity of SBICAP. An illustrious parentage coupled with international associations have further established SBICAP as a truly “World Class Investment Bank”. 4 Financial Highlights 0 25 50 75 100 125 150 175 200 225 250 FY04 142.75 FY05 175.06 GROSS INCOME FY06 179.05 (Rs.in crores ) FY07 148.84 FY08 230.08 0 15 30 45 60 75 90 105 120 135 150 FY04 63.23 FY05 88.12 PROFIT AFTER TAX FY06 90.62 (Rs.in crores ) FY07 64.36 FY08 130.33 0 5 10 15 20 25 30 FY04 10.90 FY05 15.18 EARNINGS PER SHARE FY06 15.62 (Rs.in crores ) FY07 11.09 FY08 22.46 0 75 150 225 300 375 425 500 525 FY04 303.96 FY05 342.45 NET WORTH FY06 366.91 (Rs.in crores ) FY07 378.15 D E T FY08 435.54 I M I L S T E K R A M L A T I P A C I B S 5 About SBICAP GROUP Powering India’s dynamic investment plans SBI CAPITAL MARKETS LIMITED GROUP Dominating its presence in the Indian investment banking space for over 20 years now, SBI Capital Markets Ltd. has carved a niche for itself as “India's Premier Financial Institution”. A subsidiary of State Bank of India, SBI Capital Markets Ltd. (SBICAP) was founded in 1986 to support India's ambitious business and investment dreams. Armed with experience and financial expertise in the dynamics of investments, SBICAP is as of now India's most active investment bank and project advisor. SBICAP offers an extensive bouquet of investment banking services and products to all business streams; their clientele includes reputed corporate houses and government. Not confining its reach within India, SBICAP has strategically partnered with overseas investment banks / banks based in Sri Lanka, Bangladesh, Oman and Qatar. Its alliance membership with M&A International Inc. (World's leading Alliance of Independent Advisors, Specializing in Mergers and Acquisitions in the middle markets) enables SBICAP offer investment portfolios and opportunities that are truly global! To keep pace with current trends, SBICAP has strategically positioned itself to cater to the investment needs of the surging mid- corporate segment. Identified as the most prominent player in Indian business arena, SBICAP aims to provide an array of Investment, Advisory and Financial services to the booming mid-level business segment. SBICAP SECURITIES LIMITED (SSL) The stock market has revolutionized the dynamics of investments today and SBICAP has been on its toes to make the most of this opportunity, which in turn has laid the foundation of SBICAP SECURITIES LIMITED (SSL). Retail investors can avail the convenience of equity trading and retail broking services via SBICAP Securities Ltd. Being a wholly owned subsidiary of SBI Capital Markets Limited and a part of State Bank Group, SSL showcases a concentrated approach towards equity broking and distribution of third party financial products reaching out to Institutional Investors, Private Clients, Corporates and Financial Intermediaries. SSL's primary market business of selling and distribution is designed to bring various businesses together by sourcing primary flows for institutional investor clients as well as for corporate IPOs mandated / non-mandated to the parent SBICAP. SSL has further optimized its services by subdividing secondary market operations into institutional equity and retail equity businesses, coupled with in-depth research and resource assistance, thus empowering clients to chalk out integrated and market proven investment strategies. 6 ANNUAL REPORT 07-08 SBICAPS VENTURES LIMITED The temperament of Indian Investors and entrepreneurs has led to an ambitious growth of young enterprises that nurture the booming economic environment, as well as present opportunities for Private Equity and Venture Capitalists. In order to bridge this gap of alternative investments, SBICAP launched SBICAPS Ventures Limited; a dedicated financial entity to provide much needed capital to foster dynamic entrepreneurial plans and solidified its reputation as a 360-degree financial services provider. SBICAPS Ventures Limited launched its first fund in alliance with Japan's SOFTBANK INVESTMENT for USD 100 million. The fund targets India's rapidly growing knowledge industry base with typical investments in the USD 2 to USD 10 million range over a holding period of 3 to 5 years. The knowledge sectors targeted include BPO, KPO, life sciences, online businesses, technology- enabled design and manufacturing, as well as, emerging areas of nanotechnology and environmental technology. SBICAP (UK) LIMITED SBICAP (UK) Ltd incorporated on 1 September 2005 is a wholly owned subsidiary of SBICAP and part of State Bank group formed to provide the following services: 4Cross Border Mergers & Acquisitions 4Arrangement of Foreign Currency Debt / Equities viz. FCCBs / GDRs for Indian Issuers 4Arrangement of Investments for Private Equity Deals 4Marketing of Public Offerings 4Liaison with investors for broking services of SBICAP Securities Ltd. D E T I M I L S T E K R A M L A T I P A C I B S 7 Our Project Portfolio 4 Project Structuring & Due Deligence 4 Structured Finance and Syndication 4 Infrastructure Project Advisory 4 Securitisation 4 Debt & Equity Syndication 8 ANNUAL REPORT 07-08 Project Advisory and Structured Finance Powering India's growth-engines beyond limits. Ambition and achievement have been aligned with India's goal to becoming a powerful economy. This has led to the development of public utilities and infrastructure projects that reflects her voluminous growth. With our futuristic insight and proficiency, we master the areas of Project Advisory and Funds Syndication that empower our clients to look beyond and achieve as desired. Business dynamics are ever changing. Today global domains demand an action packed and robust approach to accomplish the extensive goals that are driven by a coherent synthesis of innovation and action. This ambitious pathway needs to be coupled with undaunted professionalism and a progressive approach to combat the upcoming challenges, opportunities and threats that may circumstantially arise. Adopting a steady amalgam of analytical skills, consulting capabilities and deft transactional expertise, SBICAP has created an ace position for itself in the area of Project Advisory and Funds Syndication. PA&SF is the largest Group in SBICAP; playing a fundamental role in offering customized solutions to an extensive and diversified client base that includes corporates, financial D institutions, governments and high net worth individuals. Drawing upon years of in-depth experience, our professionals display E T I M their skills in originating, executing and structuring the most favorable deals for our customers. I L S T E K Optimizing our customer's financial interests to the utmost, the PA&SF Group provides advisory and fund arranging services R A M across various sectors, such as energy, telecom, transportation, urban infrastructure, agro industries, pharma and healthcare, L A T textiles, cements and steel.
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