18 May 2002
UTI Bank to raise paid-up equity base
Mumbai: UTI Bank is planning to raise its paid-up equity by 10-to-15 per cent in the second half 2002. It is also looking at buying up loan portfolios of other financial institutions.
UTI Bank CMD P J Nayak said: "We plan to raise the paid-up equity by 10-to-15 per cent in the second half of the year, which works out to Rs 20-to-30 crore. The capital adequacy ratio will go above 11 per cent by the end of this financial year. The money raised will depend on the premium charged. The market conditions will determine the manner in which the money would be raised. The paid-up equity of the bank is currently Rs 191 crore."
Birla Sun Life targets 90,000 policies in 2002
Mumbai: Birla Sun Life Insurance has targeted a sale of around 90,000 policies in 2002 with corresponding annualised premium of more than Rs 215 crore. The company, which started operations on 19 March 2001, has earned a premium income of Rs 36 crore and sold nearly 20,000 policies, covering more than 33,000 lives across individual and group life businesses.
Birla Sun Life is currently capitalised at a level of Rs 150 crore and has completed new businesses with a total sum assured of Rs 1,600 crore. The average premium per policy stood at more than Rs 15,000 per policy and an average sum assured was around Rs 4,00,000 per policy.
Birla Sun Life CEO Nani Jhaveri says the companys main focus will be on investment-linked insurance products and in maximising investment returns for the policyholders. Eighty-eight per cent of its premium income has been achieved from the sales of unit-linked products.
The company has achieved its rural and social sector obligations of 7 per cent of the individual life policies and 7,650 lives, respectively. It has also tied up for bancassurance with Deutsche Bank and Citibank and is talking to several other nationalised and old private sector banks for similar arrangements.
Crisil gives P1+ rating to SBI Cards issue
Mumbai: Crisil has assigned a P1+ rating to the Rs 300-crore short-term debt programme of SBI Cards and Payment Services Pvt Ltd.
The rating reflects the comfort derived from SBI Cards ownership by the majority stakeholder State Bank of India and its joint-venture partner in this enterprise, GE Capital Corporation, said a Crisil press release issued here.
