By Praneeth Chiravuri

Company Overview
Aditya Birla Capital Limited (ABCL) has a significant presence
across life insurance, asset management, NBFC, infrastructure
project and structured finance, private equity, broking, wealth
management and distribution, online money management, and
general insurance advisory services.

With 20,000 employees, the subsidiaries of ABCL have a

nationwide reach with 850+ branches and more than 2,00,000
agents / channel partners and several bank partners

As of December 31st, 2019, Aditya Birla Capital Limited manages

aggregate assets under management over Rs. 3000 billion and
has a consolidated lending book of Rs. 601 billion, through its
subsidiaries and joint ventures.
• Top 5 Private Diversified NBFCs in India
• One of the largest Private Life Insurance Companies, Asset
Management Companies and General Insurance Brokers in
India
Shareholding Shareholding pattern of HDFC Bank

pattern 2.32

11
• The promoters of ABCL own
68.16% which account for
10.91
1645172067 shares
• The variation in shareholding of 3.86
promoters is very low over the 1.57
years 2.18 68.16
• General public owns 10.91% of
total shares which accounts for
263266344 shares
• Financial Institutions own 11% Promoters Foreign Institutions NBFC and Mutual Funds
which accounts for 265472641 Others General Public Financial Institutions
shares Foreign Promoters
Management
Ajay Srinivasan is the Chief Executive Officer at Aditya Birla Capital Limited (ABCL). In the
last decade that Ajay has led Financial Services business, the organization has grown from
5 business entities in 2007 to 13 businesses in 2018
Education: B.A in Economics from St Stephens College, University of Delhi and an MBA
from IIM Ahmedabad

Pinky Mehta has been a part of the Aditya Birla Group since 1991 and was its first woman officer. In her role
as the CFO, she is responsible for Finance, Accounts, Banking, Secretarial, Taxation and MIS, including the
ongoing development & monitoring of control systems and reporting of financial performance.
Education: Executive MBA from Wharton business school.

A. Dhananjaya has been with the Aditya Birla Group since January 2008. In his role as the Chief
Compliance and Risk Officer, Aditya Birla Capital Limited, Dhananjaya is responsible for overseeing the
compliance and risk functions across all financial services businesses.
Education: Dhananjaya completed his B. Tech degree from Karnataka Regional Engineering College,
Surathkal and PGDM from IIM Bangalore.
SWOT
STRENGTH OPPORTUNITY
• Presence in high growth and scalable • Operates in underpenetrated business
business segments segments with huge growth potential
• Brand name • Increasing financial literature in rural
• Annual net profit increasing for the last and urban areas
2 years

WEAKNESS THREAT
• Cost structure in AMC business is • High threat of corporate loan exposure,
higher than peers especially in project finance
• High interest payments compared to • Intense competition in retail loan
earnings segment
• Promoter holding decreased by more • Increase in provisions in recent results
than 2% QoQ

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Competitor Analysis
Bajaj Finserv HDFC AMC
Bajaj Finserv Limited deals with financial HDFC AMC is India’s largest and most
services of the Bajaj Group. Its core profitable mutual fund manager with
businesses are spread across Lending, ₹3.2trillion in assets under
Insurance and Wealth Advisory. Bajaj management. HDFC Asset Management
Finserv is a debt free company Company (“HDFC AMC”) is the
investment manager to the schemes of
PE Multiple: 146.74x HDFC Mutual Fund (“HDFC MF”)
Market Cap: 97855.15
Dividend Yield: 0.08% PE Multiple: 42.90x
ROCE: 20.44% Market Cap: 54151.78
Dividend Yield: 1.10%
ROCE: 51.64%

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Stock Performance (Last 2 years)

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Conclusion & Way
forward
Aditya Birla Capital is performing well in all
its businesses with NBFC and Asset
Management segments driving revenue.

Distribution plays very important role in

generating more business and acquiring
new customers. Aditya Birla Capital can
partner with more banks to get access to
more people. It can also launch digital
marketing campaigns to increase its
presence online and offer personalized
services to customers based on their
preferences thereby increasing the
conversion rate.