religare enterprises · pdf file · 2015-03-20religare enterprises limited ......

Religare Enterprises Limited

March 2015

1

Religare Enterprises Limited REL is an investment holding company that has built an integrated financial services platform

• Religare Enterprises Limited (REL) is an investment holding company that has built an integrated financial services platform through its portfolio companies

• Portfolio companies service over 1.44 mn. clients from over 1,700 locations with more than 7,200* employees in India and abroad

• Consolidated net worth of ₹38.57 bn. (USD 605 mn.) as of 31-Dec-2014. Consolidated revenue of ₹11.3 bn. (USD 182 mn.) in Q3FY15

• Listed on NSE and BSE: market capitalization of ₹65.85 bn. (~USD 1.03 bn.) as of 31-Dec-2014

Q3FY15

Business Overview

Portfolio Companies’ Business Lines and Revenue Split by Verticals

11%

48% 29%

11%

Lending

Capital Markets & Wealth Management

Asset Management

Insurance

*Including joint venture employees

2

Portfolio Functions Overview REL’s primary objective is to ensure that its portfolio companies create equity value

REL Structure and Functions

• Religare Enterprises Limited (REL) is a Non-Operative Financial Holding Company managed and supervised by its professional and independent Board

• The businesses are operated out of its portfolio companies which are structured as subsidiaries or joint ventures

• Portfolio companies are managed by their CEOs and management teams on a day-to-day basis

• REL’s objective is to ensure that the portfolio companies create equity value

• To that end, REL

• Provides capital to the portfolio companies

• Ensures that the Brand and Group ethos are safeguarded

• Determines the Governance Structures, Risk Management and Control mechanisms for the portfolio companies

• Undertakes performance management

REL Structure and Functions

• Religare Enterprises Limited (REL) is an Investment Holding Company managed by a set of professionals and supervised by a majority-independent Board

• The businesses are operated out of its portfolio companies which are structured as subsidiaries or joint ventures

• Portfolio companies are managed by their CEOs and management teams on a day-to-day basis

• REL’s objective is to ensure that the portfolio companies create equity value

• To that end, REL

• Provides capital to the portfolio companies

• Ensures that the Brand and Group Ethos are safeguarded

• Determines the Governance Structures, Risk Management and Control mechanisms for the portfolio companies

• Undertakes performance management

Growth in Portfolio REL has consistently grown its portfolio of businesses by investing in adjacencies organically and inorganically

Religare Securities Retail Equity Broking

Religare Commodities Retail Commodity Broking

Religare Finvest Lending


Religare AMC** Asset Management

AEGON Religare Life Insurance

Religare Private Wealth* Wealth Management




Religare Global Asset Mgmt. Alternate Investments

Religare Capital Markets Capital Markets







Religare Health Insurance Health Insurance

Religare Global Asset Mgmt. Alternate Investments

Religare Capital Markets Capital Markets







1994 2004 2008 2010 2012 2007

3

ESOP Scheme: Management holds 20% economic interest in equity

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

Religare IPO Oversubscribed 159 times

*Formerly known as Religare Macquarie Wealth Management; Religare has acquired Macquarie’s interest in the JV **Now known as Religare Invesco AMC

4

Holding Structure The Promoter Group holds nearly 51% of REL’s equity

Management given ~20% economic interest in equity to align their interests with shareholders

Authorised ESOP Pool (% of Equity Capital) Religare Enterprises 10.0% Religare Finvest 10.0% Religare Securities 7.5% Religare Capital Markets 25.0% Religare Invesco Asset Management§ 10.0% Religare Health Insurance 12.5%

100%

Promoter Group Public


Religare Securities

Limited

Religare Health

Insurance Co. Limited

RGAM Investment

Advisers Pvt. Ltd.

Religare Invesco Asset Management Co. Pvt. Ltd.@

Religare Capital

Markets Limited#

AEGON Religare Life

Insurance Co. Limited

Religare Commodities

Limited

Religare Housing Dev. Finance Corp.

Limited

50.93% 49.07%

84%* 100% 100% 51% 90%

87.5%

Listed on BSE and NSE

100%

Religare Finvest Limited

44%

Shareholding Pattern as of 31-Dec-2014 *Assuming conversion of outstanding CCPS and CCDs #RCML has been deconsolidated from REL w.e.f. 01-Oct-2011 @Held through Religare Securities Limited and RGAM Investment Advisers Pvt. Ltd. §Vested and exercised as part of the Invesco transaction

Religare Wealth

Management Limited

100%

5

Section I : Strategic highlights

Section II : Key operating subsidiaries overview

Table of contents

6

Religare Enterprises Limited Key investment highlights

India’s long term growth potential presents tremendous opportunity for financial services 1

Capital flows from developed markets to emerging markets provide significant opportunities for financial services businesses 2

Robust platform built to capture these opportunities – large diversified financial services business based out of India with critical mass in products and distribution • One of the largest Small and Medium Enterprises (SME) focussed NBFC in India, with a book size of ₹120.9 bn. (USD 1.9 bn.)* • Amongst the leading players in Retail Equity Broking and Retail Commodity Broking in India with a footprint of 1,520* locations • Indian Asset Management company with a formidable investment track record and Avg. AUM of ca. ₹198 bn. (USD 3.2 bn.)** • Approx. USD 19.6 bn.* (ca. ₹1.25 tn.) in AUM from affiliates in alternative investment management globally

3

Best-in-class processes, technology and infrastructure to capture synergies across business lines 5

Professional management with vast experience and a long tenure 4

*As at/quarter ended 31-Dec-2014 **For the period 1-Oct-2014 to 31-Dec-2014

7

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

1

India’s GDP is projected to grow rapidly in the long run

Massive increase in the ‘middle class’ Increased demand for financial services given

low penetration

271.7

>3x

2030E 2020E

151.9

2012

88.5

India GDP ₹ tn. at 2012 prices

Globals (>1000)

Strivers (500-1000)

Seekers (200-500)

Aspirers (90-200)

Deprived (< 90)

Globals (>1000)

Strivers (500-1000)

Seekers (200-500)

Aspirers (90-200)

Deprived (< 90)

20

05

E 2

02

5F

Household income brackets

thousands, ₹ (Year -2000)

Number of households

million

Aggregate disposable income

trillion, ₹ (Year -2000)

101.1

91.3

10.9

2.4

1.2

49.9

93.1

94.9

33.1

9.5

2.6

13.7

30.6

20.9

21.7

5.4

11.4

3.1

1.6

2.0

Indian middle class to swell to from 13 million households in 2005 to 128 million households by 2025 corresponding to 41% of population

40 37 16

India Malaysia S Korea

16 9

3

India Japan S Korea

32

13 5

India Japan S Korea

Mutual Fund - AuM / GDP % FY11

176 168

55

Singapore India S Korea

Insurance - Sum assured / GDP %

Brokerage – Share of stocks in household assets (%)

Lending – Loan Book/GDP (%)

Source: RBI, McKinsey, CIA World Factbook 2010, World Bank Indicators, Credit Suisse Global Wealth Databook 2010, Swiss Re, ICI Factbook 2010

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

8

2

Emerging markets GDP over 50% of world GDP

61% 51% 41%

39% 49% 59%

2010E 2020E 2030E

Emerging Markets Developed Markets

Emerging markets equity market capitalisation to dominate

Provide platform for

facilitating the flow of

capital from developed to

the emerging markets

Significant revenue

potential in emerging

markets over next two

decades

• USD 14 trillion of

equity issuance

• USD 420 billion

revenue opportunity

from primary issuance

and secondary market

commissions

69% 56% 45%

31% 44% 55%

2010E 2020E 2030E

Emerging Markets Developed Markets

Institutional investors to own substantial emerging

markets assets

Developed Markets Emerging Markets

REL Presence

1.3 3.7

10.6

2010E 2020E 2030E

(US$ tn)

Emerging markets will outweigh the developed markets in the next two decades

Developed market investments in emerging markets are likely to increase manifold

Significant opportunities for financial services

Source: United Nations, International Monetary Fund, Goldman Sachs

Lending • Religare Finvest Ltd. is one of India’s largest

NBFCs focused on SMEs • Loan book of ca. ₹120.9 bn. (USD 1.9 bn.)* • High quality portfolio: net NPA of 2.02%*

(90-day basis) • Capital adequacy (CRAR) of 16.3%*

India Asset Management Avg. AUM of ₹198 bn.** (USD 3.2

bn.) Partnership with Invesco provides

access to global distribution and investment strategies

Global Alternative Asset Management Approx. USD 20 bn.* (₹1.28 tn.) of

international AUM in alternative assets

Incubating AIFs in India and Asia across high-yield debt; healthcare, education & consumer private equity; value investing in public equities; real estate investments

Health Insurance Leverage group’s healthcare assets 4,195 hospitals in provider network Life Insurance JV with AEGON; capital protection with

guaranteed returns of at least 12% p.a.

Retail Broking Among India’s largest retail equities

and commodities broking platform Distribution across more than 500

cities, 1,520 locations and catering to over 1 mn. clients

Capital Markets 96 member team and presence

across 4 countries Research coverage of over 250

companies globally Wealth Management Providing an advisory-led proposition

on an open architecture platform Focus on increasing wallet share of

clients

9

Robust platform in place to capture opportunities in financial services Multi-product manufacturing capabilities and distribution

3

*As at 31-Dec-2014 **For the period 1-Oct-2014 to 31-Dec-2014

Lending

Asset Management

Capital Markets &

Wealth Management

Insurance

10

Group Executive Portfolio Companies’ Key Leadership

Sunil Godhwani, CMD (Joined Religare in 2001)

Established the vision for the group and provides strategic direction. His leadership has helped Religare transform from a standalone broking business to an integrated financial services group. Leads and manages strategic acquisitions and expansion, manages relationships with JV partners

Shachindra Nath, Group CEO (Joined Religare in 2000)

Core member of the team responsible for the transformation of Religare into one of India’s leading financial services firms. Responsible for the formulation of corporate strategy and management of day-to-day activities of the group. Over 17 years of experience in the financial services industry

Anil Saxena, Group CFO (Joined Religare in 2001)

Core member of the team responsible for the transformation of Religare into one of India’s leading financial services firms

Responsible for the overall supervision of the finance function and execution of all strategic matters

Over 21 years of experience in the financial services industry

Kamlesh Dangi, Group Chief People Officer

Over 18 years experience Prior Experience:

HR

, Ad

min

&

Shar

ed

Se

rvic

es

Kavi Arora, MD & CEO – Religare Finvest

Len

din

g

Over 19 years’ experience Prior Experience:

Professional management with vast experience and long tenure Portfolio companies managed by independent management teams under Group Executive oversight

4

Re

tail

Bro

kin

g Nitin Jain, MD & CEO – Religare Securities Ltd.

Over 15 years’ experience Prior Experience:

Ind

ia A

sse

t M

anag

em

en

t Saurabh Nanavati, MD & CEO – Religare Invesco Asset Mgmt. Over 17 years’ experience Prior Experience:

Glo

bal

Ass

et

Man

age

me

nt Nalin Nayyar, CEO –

RGAM India Over 22 years’ experience Prior Experience:

Cap

ital

Mkt

s.

– In

dia

Gautam Trivedi, CEO – India, Religare Capital Markets Over 18 years’ experience Prior Experience:

Cap

ital

Mkt

s.

– In

tern

atio

nal

Sutha Kandiah, CEO – International, Religare Capital Markets Over 18 years’ experience Prior Experience:

Hea

lth

In

sura

nce

Anuj Gulati, MD &

CEO – Religare

Health Insurance Over 18 years’ experience Prior Experience:

Senior management of portfolio companies comprises highly

accomplished professionals with vast experience and a long tenure

Key awards and accolades for distinct capabilities IT infrastructure deploys best in class technology and applications

Best-in-class processes, technology and infrastructure Platform is poised to capitalize on the India opportunity

5

In-house 350+ resource shared services setup to support various transactional and processing requirements for the businesses

• 5,500 square feet of data centers

• Capability of handling 1.5 million of trades in a day

• Network Capability of handling 1 GBPs of Internet traffic

RSL awarded the "Best Investor Education &

Category Enhancement – Currency Broker" at the

Bloomberg UTV Financial Leadership Awards

Shared Services Capability Matrix

RHIL awarded “Rising Star Insurer – Health Insurance”

at the India Insurance Awards 2014

ARLI awarded “E-Business Leader“ in Life Insurance at the India Insurance Awards

2013 and 2014

11

12

Section I : Strategic highlights

Section II : Key operating subsidiaries overview

Table of contents

Lending – Religare Finvest Business Overview

One of India’s largest Non-Banking

Financial Companies,

focusing on the SME segment

Business Highlights

Improve ROE

Continuous Growth in Book

Ensure Low NPAs Strategic Priorities

8% 62%

Loan Book Split – 31-Dec-2014

Offerings Business Mix

Net worth of

₹23.96 bn.

Lending book of

₹120.9 bn.

48% of REL’s

consolidated revenue

(as of/q.e. 31-Dec-2014)

SME Working Capital

SME Loan Against

Property

SME CE/CV Finance

Capital Market

Lending

8% 2%

75%

15%

Capital Market Lending

SME Loan Against Property

SME CE/CV Finance

SME Working Capital

13

14

Non-Performing Assets§

Growth capital provider focused on

fast-growing SME segment

• The sector contributes 17% to India’s GDP, 45% to manufacturing output and 40% to the total value of exports

• Current loan book size c. ₹120.9 bn. (USD 1.9 bn.)

Strong performance across credit

and operating benchmarks

• Secured asset finance portfolio over 86%

• Net NPA of 2.02% on 90-day basis and 1.28% on 180-day basis as at 31-Dec- 2014

Significant headroom for operating

leverage through tested

management strength, processes

and systems

Winner of Finnoviti 2012 Award of

“Innovation in Process” for the

unique credit appraisal process

Key highlights Strong growth in SME Lending assets – SME LAP book size up by ₹7.7 bn. QOQ

12.6

64.6

20.9

13.5

66.1

22.3 23.5

66.2

15.0

23.2

58.7

14.4

21.6

51.8

17.6

Lending SME lending book continues to grow strongly

(₹ bn)

* Net of portfolio assigned to other lenders § NPAs are recognised at 90 days as against the regulatory requirement of 180 days; NPA percentage disclosed reflects all delinquencies (incl. on assigned portfolio) expressed as a % of assets on book

72.2 78.2 82.9 90.6

18.317.720.617.817.0

2.12.73.3

4.05.0

31-Dec-14

120.9 9.9

30-Sep-14

112.7 9.4

30-Jun-14

111.2 9.1

31-Mar-14

102.8 8.8

31-Dec-13

99.1

68.3

8.9

Capital Market Lending

SME Loan Against Property*

SME CE/CV Finance

SME Working Capital

2.59%2.47%

2.27%

1.90%1.62%

2.02%1.89%

1.12%1.17%

1.70%

1.35%

0.93%

0.99%

0.63%0.46%

0.65%

31-Dec-14

1.28%

1.67%

30-Sep-14 30-Jun-14 31-Mar-14

0.70%

31-Dec-13

1.09%

Net NPAs 180 day basis

Gross NPAs 180 day basis

Net NPAs 90 day basis

Gross NPAs 90 day basis

Borrowing programme supported by superior ratings

NIM stable and at healthy level

Additionally obtained Long Term rating of ‘CARE AA-’ [₹14,000 mn]

Rating Type Rating Agency Amt. (₹ mn)

Commercial Paper [ICRA] A1+ ICRA 27,000

ST Debt [ICRA] A1+ ICRA 10,000

ST Bank Loans [ICRA] A1+ ICRA 6,000

LT Debt [ICRA] AA- (stable) ICRA 34,000

LT Bank Loans [ICRA] AA- (stable) ICRA 114,000

Pref. Shares [ICRA] A+ (stable) ICRA 1,250

Market-Linked Deb. ICRA pp-MLD AA- ICRA 1,000

Tier-2 Sub. Debt IND AA- (stable) Ind-Ra 7,500

Commercial Paper IND A1+ Ind-Ra 30,000

ST Bank Loans IND A1+ Ind-Ra 30,000

LT Debt IND AA - (stable) Ind-Ra 15,000

LT Bank Loans IND AA - (stable) Ind-Ra 100,000

4.92%4.91%4.72%4.70%4.66%

2.56%2.33%2.36%

2.56%2.10%

Q2FY15 Q3FY15 Q4FY14 Q1FY15 Q3FY14

Opex/ ANR NIM**

15

Retail Broking – Religare Securities & Religare Commodities Business Overview

A formidable retail broking platform with

extensive distribution capabilities

Market share of

1.3% in equities and

3.4% in commodities

10% of REL’s

consolidated revenue

(q.e. 31-Dec-2014)

Equity Broking

Commodity

Broking

Currency Broking

Increase

Distribution Network productivity

Generate Superior

ROE

85%

13% 2%

Revenue Split – Q3FY15

Equities Commodities Currencies

Business Highlights

Strategic Priorities


16

• One of India’s largest retail broking

networks

• Increasing penetration in

Commodities broking – total client

base over 189,000

• Research capabilities recognized;

Senior Analyst received ‘India’s Best

Market Analyst- Commodities

Technicals’ Award at Zee India’s best

Market Analyst Awards 2013

• Winner of ‘Best Commodity Broker’

and ‘Best Investor Education &

Category Enhancement – Currency

Broker’ at the Bloomberg UTV

Financial Leadership Awards

Key Highlights Further concentration of equity market volumes in F&O

Retail Broking Focus on client acquisition and online initiatives

333

935

292

995

313

1,015

260

940

270

950

Equity market share stable QOQ; Commodities market share range-bound

(%)

(ADTO# - ₹ bn)

Focus on distribution network productivity

(Nos.)

Business Update

Continuing to see traction in online as well

as mobile channels

Focus on tightening risk management and

controls to safeguard the business against

adverse outcomes from volatility

Actions taken to increase non-brokerage &

fee-based income

#Average Daily Turnover. Source: NSE, BSE *Methodology aligned with market practices; past data restated accordingly

1,410 1,6161,713

3,1692,806

227232 252

207

203

232

Q1 FY15

2,464

525

226

Q4 FY14

2,086

332

138

Q3 FY15

3,836

470

197

Q2 FY15

3,508

499

Q3 FY14

1,871

330

131

Equities - Futures

Equities - Options

Equities - Cash

Commodities - Futures

1.31.31.7

1.51.9

3.43.8

3.23.23.2

Q3 FY15 Q2 FY15 Q1 FY15 Q4 FY14 Q3 FY14

Market Share - Commodities

Market Share - Equities *

1,444 1,391 1,359 1,339 1,327

203 201 191 195 193

30-Dec-14

1,520

30-Sep-14

1,534

30-Jun-14

1,550

31-Mar-14

1,592

31-Dec-13

1,647

Franchisees Own Branches

Key value proposition

of Simplified Wealth Solutions

enabled by tripod delivery model

17

Wealth Management – Religare Wealth Management Business Overview

An open architecture platform targeting

growing affluence

“Most Exciting Wealth

Management Model” globally, Private Bankers

International - 2009

AUM of

₹34.6 bn.

Customer base of

over 4,500

(as of 31-Dec-2014)

Enhance Presence

and Reach

Strengthen

Capabilities

Increase Wallet Share

Recognition

Business Highlights


Offerings

18

Key value proposition of

‘Simplified Wealth Solutions’ for

the customers

Seen as trusted advisors to

clients, enabled by our tripod

delivery model

Active advisory calls helping

clients position portfolios to gain

from high-impact events

Expanding product solutions to

enhance ability to win clients

across the group

Size and scale aligned to market

Focus on Relationship Manager

productivity

Key Highlights Client Base

Relationship Manager productivity Business update

4,492

4,972

4,687 4,662 4,631

₹ mn.

AUM

Religare Wealth Management Differentiating through a focused idea-driven approach

Implementing a more focused idea-driven

approach in positioning products to clients,

resulting in significant traction in core

products like Equity Mutual Funds, PMS and

Alternative Investments

Efforts at increasing share of client wallet

through Advisory approach and higher level of

engagement paying off

(₹ bn)

4,728 4,678 4,619 4,627 4,553

30-Sep-14 30-Jun-14 31-Mar-14 31-Dec-13 31-Dec-14

No. of Clients

29.6 30.131.8 33.3 34.6


Total AUM

617 614691 680

736


AUM per RM

RWM became a wholly owned subsidiary of RSL on 27-Nov-2013

Capital Markets – Religare Capital Markets Business Overview

Asia-focussed

Institutional Equities and Investment Banking Platform

India IE cash market

share of 1.4%

Empanelled with over

474 clients globally

(as of/q.e. 31-Dec-2014)

Increase Market Share

Attain Profitability Business Highlights


19

RCML has been deconsolidated from REL w.e.f. 01-Oct-2011

Religare Capital Markets Creating a sustainable platform

Intense focus on investments in growth areas and

resource building across the India and international

platforms

International business continues to expand reach

through partnerships with regional securities and

advisory firms: Memorandum of Understanding

executed with FSG Capital in Philippines; discussion

underway with firms in Indonesia and Thailand

In India, focus on converting the robust investment

banking pipeline and enhancing capabilities in Futures

& Options to drive growth in the coming quarters

IBD update – deals completed

Book-running lead manager on ₹3.5 billion (USD 56

mn.) IPO of Monte Carlo Fashions Limited

Sole Arranger of Tranche 1 of ₹1.25 billion (USD 20

mn.) Non-Convertible Debenture issue for North Star

Apartments Pvt. Ltd.

Financial Advisor on the 60% stake sale of StreetSine

Technology Group to Singapore Press Holdings

Business Update

Headcount

Client empanelment

Headcount as of 31-Dec-2014: 96

20

*In compliance with the requirements of the Securities and Futures Commission (Hong Kong) and the Monetary Authority of Singapore, clients that were inactive for a period of 18 months have been excluded from the list of clients starting 31-Dec-2013.

475 481425

492 474


No. of Institutional Empanelments*

Support 26%

Investment Banking

21%

Institutional Equities

53%

Domestic Funds

Offshore Funds

Portfolio Management

Services

21

India Asset Management – Religare Invesco Asset Management Business Overview

Entering the next phase of growth

Q3FY15 Average

AUM of ₹198 bn.

Profitable AUM Growth

AUM Split – Q3FY15

Business Highlights



91%

7% 2%

Domestic MF

Offshore

PMS

22

Religare Invesco Asset Management Company Entering the next phase of growth with Invesco’s induction as JV partner

Invesco inducted as a strategic partner with 49% equity in

the India Asset Management business

Invesco is one of the leading global asset managers with

AUM of USD 792.4 bn. as on 31-Dec-2014 and serving

clients in more than 150 countries

Partnership allows Invesco to participate in the high-

potential Indian market with local manufacturing capability

and track record

Religare Invesco gains access to Invesco’s global

distribution platform and best practices

Long term outlook remains strong: AUM to GDP ratio of

only 8% in India compared to 114% in the US and 84% in

the UK

Participating in industry-wide inflows into equity schemes,

based on strong investment performance over the last five

years

In debt schemes, witnessing a gradual shift to long duration

products, which was further bolstered by the cut in the

policy rate in January 2015

Key Highlights Industry-wide average AUM

Religare Invesco mutual fund average AUM grew 12% QOQ

95% 94% 95% 94% 95%

161 137 145 177 198 Avg . AUM ₹ bn.

(₹ bn.)

8,765 9,051 9,872 10,597 11,062


Avg. Industry AUM

89% 92% 90% 91%

30-Sep-14

10%

30-Jun-14

8%

31-Mar-14

11%

31-Dec-13

95%

5%

31-Dec-14

9%

Avg. Debt AUM Avg. Equity AUM

Source: AMFI, Company Analysis

23

Global Asset Management – Religare Global Asset Management Business Overview

Building a multi-boutique Alternative

Asset Manager Key

Affiliates

AUM of

approx. $20 bn.

(as of 31-Dec-2014)

AUM Growth in

existing affiliates

Launch of organic affiliates Business

Highlights Strategic Priorities

24

Religare Global Asset Management Strategy rollout well underway through marquee acquisitions, supplemented by organic initiatives

~ USD 4.3 billion

Private Equity Fund of Funds and Direct Investment funds

Investment track record in developed markets and emerging markets

Offices in the San Francisco Bay Area, London and Hong Kong

Raised over USD 1.2 billion in 2013-14 despite challenging market conditions

Planning to launch new product lines

~ USD 14.9 billion

Secondary Private Equity (PE)

Secondary Real Estate (RE)

Headquartered in Simsbury (Connecticut); offices in Boston, London and; planning to set up office in Hong Kong

Recognized as “North American Secondary Firm of the Year” for 2009, 2010 and 2011 by PEI

RE Fund VI raised USD 700 million in 2010-11

~ USD 0.5 billion

Listed healthcare business trust (similar to REIT), with a pan-Asia investment mandate

Trust sponsored by Fortis Healthcare Limited

Offices in Singapore and India

First organic affiliate of RGAM: Trustee Manager of Trust incubated and owned by RGAM

High growth potential due to natural deal flow provided by Fortis Healthcare’s pan-Asia operations

AUM

Products

Presence

Key Highlights

~ USD 0.1 billion

Asia-focused healthcare fund

Will invest across South-east Asia and South Asia

Offices in Singapore and India

Organic affiliate seeded by RGAM

First close of Asia fund at USD 107 million

Planning to launch more funds in future

25

Health Insurance – Religare Health Insurance Business Overview

Positioned to capture

significant Group Synergies

Retail & Group Health Plans

Retail & Group Accident Plans

International Travel Plan

GWP of

₹673 mn. in Q3FY15

4,195 hospitals in

provider network

(as of 31-Dec-2014)

Grow GWP with

efficient use of

Capital

‘Rising Star Insurer in Health Insurance’

Award, Indian Insurance Awards 2014

Recognition

Business Highlights


Offerings

26

Performance of standalone health insurers

* Health & Personal Accident only Source: Industry Reports

Religare Health Insurance Rapidly achieving scale

Key Highlights

Fourth standalone health insurer to be set up in India

Equity participation of 5% each by Union Bank of India and

Corporation Bank

Pan-India coverage through 46 offices and 1,350+ employees

Multi-channel distribution strategy through Agency, Brokers,

Corporate Agents, Online and Bancassurance

Gross Written Premium (GWP) of ₹673 mn. in Q3FY15

Winner of the ‘Best Health Insurance Company’ at the ABP News

– Banking, Financial Services & Insurance Awards 2015’

Gross written premium

Consistently expanding the Hospital Network

320422

533 521673


GWP

2,7563,100

3,6104,075 4,195


No. of network hospitals PSU Private Stand-

alone

No. of companies 4 17 5

No. of years in existence 39 12 5

GWP* – FY13 (₹ bn.) 98.7 53.5 17.2

GWP* – FY14 (₹ bn.) 112.4 59.0 22.4

Incremental market share 56.2% 22.4% 21.4%

(₹ mn)

27

Life Insurance – AEGON Religare Life Insurance Business Overview

Pioneer in Online Distribution

Term Plans

Endowment Plans

Unit-Linked Plans

Pension Plans

Over 358,000 lives covered

₹5.8 bn. capital

invested by REL

(as of 31-Dec-2014)

Efficient use of

Capital

Achieve

Breakeven

E-Business Leader Award at the Indian Insurance Awards 2013 and 2014

Recognition

Business Highlights


Offerings

28

• Multi-channel distribution in place

including agency, direct to

consumer, e-sales, corporate

agents and brokers

• Recognized for pioneering efforts

in online distribution – particularly

for focus on protection through

the iTerm product

• Significant investments in a robust

technology infrastructure to

ensure a differentiated consumer

experience as well as aiding

channel productivity

• Well recognized brand popular for

its campaign focusing on prevalent

under-insurance and the need to

have higher levels of protection

• Rationalisation efforts over the

past year proving extremely

beneficial and enabling

conservation of capital

Key Highlights Steadily growing customer base Business Update

Premium Income split Share Capital

251

227

213 190

325

451 682

422 470

530 11.4 11.4 10.8 10.0

(₹ mn.)

2,3

26

1,7

64

2,1

77

2,2

62

2,0

96

2,2

25

(000s)

(₹ bn)

Launched two new products in December

2014: ‘i-Maximize Insurance Plan’ (online

unit linked product) and ‘Premier

Endowment Insurance Plan’ (offline

traditional participating product) to further

consolidate position as innovator

Both products received well by the market

and delivering per expectations 000s of Policy Issued

30.4 13.5 8.6 12.1 15.2

301 328 336 346 358

Q2 FY15 Q1 FY15 Q4 FY14 Q3 FY14 Q3 FY15

No. of Customers

632206

393 469

1,284

487

812 782

Q2 FY15

1,208 3

Q1 FY15

694 1

Q4 FY14

1,922 6

Q3 FY14

1,011

333

675

3

Q3 FY15

1,253 2

First year premium Renewal Single

12.7 13.1 13.1 13.1

30-Sep-14

13.1 0.0

30-Jun-14

13.1 0.0

31-Mar-14

13.1

0.4

31-Dec-13

12.7

12.4

0.3

31-Dec-14

13.1 0.0

Existing Capital Fresh Capital

Life Insurance – AEGON Religare Life Insurance Acknowledged leader in use of technology


D3, P3B, District Centre, Saket, New Delhi 110017

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