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Press Release

Issuance of Equity / Equity-Linked Securities by ICICI

The Board of Directors of ICICI at its meeting held in Mumbai today, approved a proposal for approaching the shareholders for an issuance of equity capital. This is a proactive move by ICICI to further strengthen its capital base in order to sustain accelerated growth and to capitalise on market opportunities. ICICI's strategy is to become the pre-eminent provider of total financial solutions in India. It sees significant opportunities for growth in the coming years in corporate finance, infrastructure funding and the new thrust area of personal financial services.

The current international equity market conditions present a window of opportunity for such a capital raising exercise. ICICI, in particular, is ideally positioned to capitalise on this opportunity, in view of the strong investor sentiment, which has resulted in a positive impact on its market price. It is therefore proposed to make an offering to the international markets along with an appropriate domestic offering primarily targeted at ICICI's principal domestic institutional shareholders. While an indicative offering size is expected to be around Rs. 2000 crore, the final size of offering, timing and structure of international/domestic offering would be finalised after careful analysis, discussions with investors and lead managers and prevailing market conditions.

Mumbai
June 29, 1999