Government Approval for ICICI's International Issue of Equity

The Government of India has approved in-principle ICICI's proposed international equity offering of up to US$ 315 million. This is a part of the overall issue size of Rs. 2,165 crore or US$ 500 million equivalent which was approved by ICICI's Board of Directors at its meeting on August 19, 1999. The domestic offering would comprise a preferential allotment of Rs. 500 crore to principal domestic institutional shareholders and a public issue of Rs. 275 crore with an option to retain oversubscription up to 10%.

The Government has stipulated that the total foreign equity shareholding (comprising Non-resident Indians, Overseas Corporate Bodies, GDR holders, Foreign Institutional Investors, outstanding Foreign Currency Convertible Bonds and proposed international offering) should not exceed 49%. The total foreign shareholding is currently about 35%.

The information contained in this press release is not an offer into the United States or into any other country. Offers in the international offering will be made only by means of a prospectus which will contain detailed information about ICICI and its management and which will contain financial statements. The shares of ICICI to be offered in the domestic and international offering have not been and the shares in the domestic offering will not be registered under the U.S. Securities Act of 1933 or with any other securities regulatory authority in the United States or any other country. The shares in both the domestic and the international offering may not be offered or sold, directly or indirectly, into the United States unless they are registered under the Securities Act or an exemption from the registration requirements is available.

August 25, 1999