IDFC to pick 33.3 % in SSKI

Infrastructure Development Finance Corporation (IDFC) will pick up 33.33 per cent equity interest in S S Kantilal Ishwarlal Securities Pvt Ltd. (SSKI), a privately held domestic corporate finance and institutional securities company.

Through this investment, IDFC and SSKI plan to work together by pooling their relationships and expertise to provide investment banking and capital markets solutions to clients, IDFC said in a statement.

IDFC would nominate two directors on the board of SSKI. The transaction is expected to be closed in two months.

The infrastructure finance company's net profit for the fourth quarter ended March 31, 2006 declined to Rs 73.55 crore from Rs 98.10 crore a year ago. Total income for Q4 rose to Rs 256.74 crore from Rs 250.96 crore in January-March 2005. Net profit for 2005-06 rose to Rs 391 crore from Rs 309 crore in the previous financial year.

Total income for the year ending March 2006 increased to Rs 1,050 crore from Rs 742 crore for 2004-05. Net interest income from infrastructure loans for 2005-06, increased by 15 per cent to Rs 294 crore from Rs 256 crore in 2004-05.

Non-interest income for 2005-06, increased 32 per cent to Rs 230 crore from Rs 173 crore a year ago, while income from fees and advisory during the period increased by 96 per cent to Rs 96 crore from Rs 49 crore inthe 2004-05.