News: ICICI aims for TCX listing

(DNA 26/11/2006) Toronto - ICICI Bank, the country’s second-largest bank, is likely to the first Indian company to get listed on the Toronto Stock Exchange (TCX).

The exchange helped issuers raise Canadian $46 billion (one Canadian $ roughly equals one US $) in capital last year - the third highest value of financings among all major exchanges in the world.

ICICI Bank has a wholly-owned subsidiary in Canada, called ICICI Bank Canada. It has notched up business worth Canadian $1.6 billion in just two years of full-serving banking operations. It has a network of six branches so far. Exchange officials feel that ICICI Bank, the parent company, rather than its Canadian subsidiary, would be the potential candidate to list on TSX.

TSX senior vice-president, business development, Kevan Cowan, said that a number of Indian companies have shown interest in listing on TSX, but these are at a preliminary stage of exploration.

He indicated that ICICI Bank could be quick off the block as it has the advantage of being listed on the NSE. About 200 TSX issuers are inter-listed on US exchanges.

ICICI Bank Canada president and CEO Hari Pandey said the bank’s rapid expansion in Canada has required larger capital employment. The parent company has so far invested Canadian $125 million after having started with just Canadian $25 million three years ago. Pandey, however, made it clear that ICICI Bank Canada has no plans for going for an IPO. The parent company would continue to fund the business expansion. No dilution of equity is envisaged, he said.

The TSX CEO was in Mumbai recently to attract Indian companies to North America’s second largest exchange and the world’s biggest market for listing of mining and oil and gas companies.