L&T Finance Holdings Limited Rights Issue (L&T Finance Rights Issue) Detail

Incorporated in 2008, L&T Finance Holdings Limited is an RBI registered non-banking financial company – a core investment company (“NBFC-CIC”). It conducts its financial services businesses through various subsidiaries. L&T Financial Services is the brand name of L&T Finance Holdings Ltd. and one of the leading private sector non-banking financial services companies in India. L&T Finance is backed by a strong promoter, Larsen & Toubro Limited (“L&T”) that is one of the leading business conglomerates in India, with a presence across various sectors like infrastructure, power, heavy engineering, electrical and automation, IT, and technology services, financial services, power development, realty, shipbuilding, construction, mining, industrial machinery and much more. The company has classified its business across four areas: Rural Finance, Housing Finance, Infrastructure Finance, and Investment Management. As of 30th September 2020, L&T Finance is spread across 21 states and one union territory and has 206 branches in 199 cities. The company. Company Strengths: • Significant presence across diversified businesses like Rural finance, Housing finance, Infrastructure Finance, and Investment Management. • Market leadership as a financier across various products. • Strong digital and analytics infrastructure • A strong risk management framework • Strong liability profile. • Strong parentage of L&T. • The experienced and professional management team. Company Strategies: • Maintain leadership in areas with an established presence and penetrate into newer areas. • Enhance technology systems and data analytics as a competitive advantage. • Emphasize on net interest margin and fee income to deliver improved performance metrics • Continued focused on Asset Liability Management and strengthen liability profile. • Focus on cost reduction and improving cost-efficiency. • Increasing contribution from food, FMCG industry, and IML products.

Objects of the Issue:

The Net Proceeds from the Issue are proposed to be utilized: 1. To repay partial commercial papers issued by the Company and its Subsidiaries. 2. To redeem preference shares issued by the Company; and 3. For general corporate purposes.