Mumbai: India’s largest private sector bank ICICI is unlikely to list its stock broking subsidiary, ICICI Securities, for the time, in view of difficult market conditions.
“The plan still stays. The intent is to unlock value...in general the market is not correct today. It does not make sense to start any of this now. We will do it when the market is good,” ICICI Bank joint managing director Chanda Kochhar told PTI.
“We wish to unlock the value, not that we are in desperate need of capital. We have enough capital in the bank to fund the growth of our subsidiary,” she said.
In January 2008, the bank board had approved offloading 15% of ICICI Securities to retail and institutional investors.
Soon after Chanda Kochhar had said that the shares of ICICI Securities would be listed in the next six months.
“We will do the listing over a period of time. First we will list ICICI Securities as the insurance business is on a steep growth phase. Also, there are no listed insurance companies to benchmark the valuations,” she said.
Asked when she expected market conditions to stabilize, Kochhar said that in the medium term the equity markets should adjust as people realize the strong fundamentals of the country.