IIFCL plans IPO in FY25 ; unlock value for govt: MD

As of now, IIFCL is 100 per cent owned by the Government of India.
Managing Director of IIFCL P R Jaishankar. (Photo| X)
Managing Director of IIFCL P R Jaishankar. (Photo| X)

NEW DELHI: State-owned India Infrastructure Finance Company Ltd (IIFCL) plans to go public in the next financial year, company's Managing Director P R Jaishankar said on Friday.

"We are examining the listing... hopefully it should be done next financial year. IIFCL has come to a stage where we unlock the value for the benefit of the government," he said on the sidelines of the company's foundation day.

The company will very soon initiate the consultation process, he said, adding various approvals are required including from the government.

Asked about the quantum of stake dilution, he said, the decision about that would be taken after detailed discussion.

As of now, IIFCL is 100 per cent owned by Government of India. From the performance perspective, he said the company has been consistent both on topline and bottomline parameters.

He expects the FY24 profit to cross Rs 1,500 crore.

IIFCL reported a two-fold jump in standalone net profit to Rs 1,076 crore for FY23 aided by an increase in lending and reduction of bad loans.

The infra lender posted record sanctions and disbursements at Rs 29,171 crore and Rs 13,826 crore, respectively.

Since the inception, the company has given Rs 2. 5 lakh crore loans to 750 infra projects.

As of December 2023, the company has earned a profit of Rs 1,189 crore with loan sanctions of Rs 30,315 crore, exceeding the figures of last fiscal in just three quarters.

Given the demand so far, he said, the loan sanction would cross Rs 40,000 crore by March 2024.

He emphasized on the role that IIFCL is set to play to fund the next phase of infrastructure growth story and the slew of reforms needed to take the infrastructure sector to the next level.

Gross non-performing assets (NPAs) and net NPA ratio has been consistently falling and stood at 3.77 per cent and 0. 85 per cent, respectively, as on September 30, 2023.

Asked about the next year's profit, Jaishankar said, the company is aiming Rs 2,000 crore.

Speaking during the occasion, IIFCL Deputy Managing Director Pawan K Kumar said the company has done credit enhancement of instruments worth Rs 2,500 crore.

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