ICICI Bank repatriates equity capital of CAD 75mn from its Canadian subsidiary - Angel Broking

ICICI Bank has repatriated equity capital of CAD 75mn (Rs. 404cr) from its Canadian subsidiary, in-line with the management's guidance of consolidation in the overseas operations. As of 4QFY2013, total equity investment of ICICI Bank in its Canadian subsidiary was Rs. 3,350cr and the capital adequacy of its Canadian subsidiary was strong at 33.2%. The repatriation would marginally improve the already strong capital adequacy of ICICI Bank at 18.7% (tier-I capital ratio at 12.8%), apart from slightly aiding its net interest margins and overall RoEs.

At CMP, the stock trades at 1.7x FY2015E ABV. We maintain our Buy rating on the stock, with a target price of Rs. 1,444.

Source : Equity Bulls

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