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Geojit BNP Paribas Financial Services on Wednesday said that its NBFC arm has an exposure of Rs 133.22 crore to the National Spot Exchange Ltd (NSEL) settlement crisis.
The company, in an exchange filing, said that Geojit Credit, a non-deposit taking NBFC in which it has a 65% stake, bears this exposure by way of non-collateralized loans to clients against assignments of their commodity trade receivables from the beleaguered NSEL, which is facing a Rs 5,500-crore payment crisis.
The brokerage further said that 103.77 or 78% of this exposure is funded through loans from group companies. Geojit BNP Paribas had a consolidated net worth of Rs 485.7 crore as of June 30, 2013. For the fiscal 2012-13 the company’s revenue and net profit stood at Rs 25.97 crore and Rs 8.67 crore, in that order.
Geojit Comtrade, a separate entity from the Geojit group, is one of the brokers with substantial exposure to the NSEL outstanding.
As per NSEL announcements, the total outstanding pertaining to Geojit Comtrade stood at Rs 313.25 crore at the beginning of the crisis. In the last six settlement cycle, it has received Rs 7.8 crore of payout, including Rs 3.81 crore of settlements for the small investors.