India has emerged as the fastest growing major economy in the world and is expected tobe become a $5 trillion economy by 2025. Backed by strong policies and reforms forsupporting higher growth India's economy grew by 6.8% in FY 2018-19 as per CentralStatistics Office (CSO) from 6.7% recorded in the previous financial year. Growth ratefor GDP in H2 was lower causing overall growth to dip below 7%. Moving forward thegrowth momentum of the economy is expected to improve after the stabilisation of goods& service tax (GST) and several other initiatives taken by government such as ease ofdoing business Foreign Direct Investment (FDI) reforms smart cities creating a morecongenial environment for start-ups and infrastructure development amongst others. Thestability and continuity of the incumbent Government should provide greater positivity tothe Indian economy in the times to come.
Telescoping into the future growth in India is projected to pick up to 7.2% in 2020supported by the continued recovery of investment and robust consumption amidst a moreexpansionary stance of monetary policy and some expected impetus from fiscal policy.Implementation of structural and financial reforms with efforts to reduce public debt andstabilise the recent liquidity squeeze faced by NBFCs remain essential to secure theeconomy's growth prospects.
With a positive macro-economic backdrop growth opportunities in the retail lendingsegment look encouraging. With pent up demand for housing vehicles and consumer durablesthere are strong growth opportunities for emerging NBFCs such as us.
During the year under review your Company completed the initial public offering of itsequity shares (IPO) for 32237762 equity shares of face value of र 10/-each for cash at a price of र 572/- per equity share determined through bookbuilding process. The equity shares of your Company got listed and commenced trading onthe BSE Limited and the National Stock Exchange of India Limited on May 21 2018. Theproceeds of fresh issue were used towards augmenting the capital base of the Company tomeet future capital requirements.
During the year under review your Company recorded steady growth in business volumesand profitability while maintaining comfortable liquidity and adequate capital buffers forfuture growth. sector In pursuance of the retail thrust your Company has significantlyexpanded its distribution footprint during the year under review.
As a part of your Company's growth strategy to expand into the retail lending segmentit has been focusing on both organic as well as inorganic growth of the business.
In the last quarter of financial year 2018-2019 your Company acquired the entire CVfinance business of India Infoline Finance Limited including all assets under managementof र 3515 crore 161 branches 1079 employees and more than 50000 customers at anet purchase consideration of र2415 crore. After the acquisition of CV financebusiness from IIFL the retail loan portfolio of your Company as on March 31 2019 stoodat 61% of total AUM. Your Company is ideally placed to become a leading retail financeNBFC with a diversified and profitable asset book made up of a product mix comprising CVFinance Corporate Lending SME Finance and Home Finance each of which arebusinesses with strong growth prospects. I take this opportunity to welcome all members ofthe IIFL CV Financing business to join the IndoStar family and work together as oneintegrated unit.
The operating and financial performance of your Company has been covered in theManagement Discussion and Analysis Report which forms part of the Annual Report. TheInterim Dividend of 10% i.e. of र 1 /- per equity share of face value of र 10/-each for financial year 2018-19 was paid to the shareholders of the Company as on 14November 2018. In line with the Dividend Distribution Policy of the Company yourDirectors are pleased to recommend a Final Dividend of 10% i.e. र 1 /- per equityshare of face value of र 10/- each for financial year 2018-19.
As Chairman of the Board it is my role to provide leadership to ensure the operationof an effective Board. The Board of Directors of your Company comprises 8 (eight)Directors of which 2 (two) are Non-Executive Non Independent Directors 4 (four) areNon-Executive Independent Directors and 2 (two) are Whole-Time Directors. The directorsbring a wide range of skills and perspectives to the Board's deliberations as describedon within the Corporate Governance Report included within this Annual Report. In relationto gender diversity we currently have 1 female Board member.
Throughout the year we have continued to ensure that our governance structures at BoardCommittee and subsidiary levels levels continue to be appropriate and support our businessand culture in an ever-changing regulatory environment. In the Corporate Governance Reportcontained herein we provide details of our Board members the role of the Board and itsperformance and oversight.
During the year under review there was no change in the composition of the Board ofDirectors of the Company. Subsequent to the year under review however the followingchanges took place in the Board of Directors of the Company. Mr. Sameer Sain resigned fromthe office of Non- Executive Non-Independent Director of the Company with effect from June26 2019 and on behalf of all members of the board I express my sincere appreciation forthe valuable contribution and guidance provided by him during his association with theCompany towards establishing and building the Company in to a well-respected and highlyprofitable credit institution.
Considering the growth of your Company's business and in order to strengthen the Boardwith an additional executive director I am pleased to inform you about the appointment ofMr. Shailesh Shirali to the Board. Associated with your Company since 2012 he brings richexperience and expertise in the financial services industry. On June 26 2019 he wasappointed as a Whole-Time Director of the Company subject to approval by shareholders ofthe Company at the ensuing Annual General Meeting.
The three primary principles on which we are building your Company continue as statedlast year. They are: Asset Growth Asset Quality and Profitability. I am confident thatwith the support of all our stakeholders we are well positioned to achieve our goals anddeliver sustained profitable growth over the next several years.