Future Group has broadened its finance services portfolio to strengthen its position in the highly competitive consumer

market through user-friendly and dynamic services based on Indian consumer needs. The group companies provide consumer finance and insurance to customers besides offering corporate loans and equity investments to companies engaged in consumer businesses. The key aspect of their business model is to provide a unique personalized customer experience to expand and capture a greater share in the highly competitive finance market and help people realize the Indian dream. Future Groups financial arm - Future Capital Holdings Limited (FCH) is a provider of financial services across consumer and wholesale businesses, with aspirations to grow into a significant financial conglomerate. Conceptualized around a unique positioning of a financial services business, integrated with a retail chain, Future Capital is establishing financial superstores within the Retail stores of Future Group such as Big Bazaar, E-zone and Home Town to create Indias first consumer-centric retailer of financial products and services.

Business Products

OVERVIEW OF FCH Systemically important NBFC with record of constant growth & profitability Comprehensive product suite to meet multiple needs of customers including Consumer Lending, Corporate Lending and Wealth Management services Loan Assets of Rs. 46.70 bn (~ $ 912.9 mn*) ROA at 2.46% and ROE at 13.41% for the year FY12 Professional Management Team with deep Industry Experience 1123 employees across 197 branches

Book Size Profitability Management People & Reach Asset

& High Asset quality Secured assets with Gross and Net NPA at 0.08%

Quality & 0.001% Networth & Net worth -Rs. 8.32 bn; Long Term: AA-& Short Term A1+ (CARE) rating VISION

HIGHLIGHTS

FCH LEADERSHIP

PRODUCTS AND DISTRIBUTION

FCH LINE OF BUSINESS

LOAN BOOK

BRANCH NETWORK

RETAIL LENDING PROCESS

RECENT DEVELOPMENTS Formed in 2007, as a wholly-owned subsidiary of Pantaloon Retail, FCH is a leading non-banking finance company (NBFC), focusing largely on providing loans to MSMEs. It also provides gold loans, consumer durable loans, two-wheeler loans and senior secured wholesale loans, wealth management and broking services. It is listed on the BSE and the NSE. As on March 31, 2012, the company had made advances of Rs.4,670 crore. It has a network of 197 branches in 41 cities. Future Group has divested its stake in Future Capital Holdings (FCH) in favour of Warburg Pincus, a leading global private equity firm. As part of the transaction, Pantaloon Retail India Limited and its wholly-owned subsidiary Future Value Retail Limited will sell their stake in FCH at a price of Rs.162 per share to Cloverdell Investment Limited, an affiliate of Warburg Pincus, stated in a release from the Future Group. Pantaloon Retail India and Future Value Retail will together sell 40 per cent of FCH to Warburg Pincus in the first phase. This will trigger an open offer where Warburg may purchase up to 26 per cent in FCH. Warburg will also take additional stake in the company by subscribing to compulsorily convertible preference shares of FCH. With all this, Warburg's stake in FCH could go up to around 70 per cent. Warburg Pincus has reached an agreement to infuse Rs.100 crore of primary capital through a preferential allotment in FCH. The board of directors of Future Capital Holdings has approved this preferential allotment of equity shares and / or convertible securities to Warburg Pincus.

This transaction is in line with their stated intention to exit from non-core businesses of Pantaloon Retail and is aimed at deleveraging and further strengthening the balance sheet of the company. The company is on a firm footing and is well poised to grow in the MSME space, and they will continue to invest and grow in the chosen businesses.