Climate Change Data

Environmental Metrics

ESG Focus Areas

• Corporate Social Responsibility

Social Achievements

• Provided a grant of ` 14 mn towards continued support of educational initiatives in and around Mumbai, a pan India Skill Development Programme, and a Livelihood Programme.
• Supported 3 new initiatives namely an Entrepreneurship Development Programme, a mentorship programme for high achieving entrepreneurs and an impact study
• Skill Development Programme: provided 300560 hours training to ~100 beneficiaries in the age group of 18-35 years. ~90% of the trained candidates were placed at an average monthly salary of ` 7,500
• Masoom: supported 2 schools to improve the quality of education - Vidya Vikas Night School, Ghatkopar and Sharda Night School, Vikhroli. Around 140 students were supported by IIML in these schools
• Savali: continued its support by funding operating expenses in 3 schools. Students have started monetizing their learnings by making and selling various items
• Skilling of Rural Women (Shroff Foundation): provided placement/ Job-Linked Skilling programme for 100 rural women from Vadodara Halol area on various skills
• Entrepreneurship Development Programme (EDP): extended to 100 beneficiaries from 4 villages in Ahmedabad and Mehsana district

Governance Achievements

• The Board has framed a selection criteria for determining the necessary qualifications and attributes for appointment of Directors and also to ensure Board diversity.
• The Board has carried out an annual performance evaluation of the Board.
• The Company has adopted a Whistle Blowers Policy for employees to report instances of unethical behaviour, actual or suspected fraud or violation of the Company’s Code of Conduct

Climate Goals & Targets

Environmental Challenges

• Reduction of fee earning Assets under Management resulting in below par financial performance for FY2017.
• Challenging liquidity scenario in Corporate India resulted in delay of some divestments expected in CY2017.

Mitigation Strategies

• The focus for FY2018 would be to harvest our existing portfolio and also simultaneously focus on new fund raise, including new initiatives.
• The Company expects to step up the pace of divestment during the current year, and divest a substantial portion of its portfolio. This would lay the ground for fresh capital raising, largely focused on the infrastructure sector

Supply Chain Management

Climate-Related Risks & Opportunities

Environmental Metrics

ESG Focus Areas

• Corporate Social Responsibility

Social Achievements

• Provided a grant of ₹10.7 mn towards a healthcare programme in rural Maharashtra, educational initiatives in and around Mumbai, a pan India Skill Development Programme and a mentorship programme for women entrepreneurs.
• Skill Development Programme: Trained 2,300 candidates, 1,600 obtained employment.
• Educational Initiatives - Masoom: Supported 2 educational institutes, around 150 students.
• Healthcare at Palghar - Mobile Medical Unit (Savali): Catered to 30 villages covering 10,000 patients.
• Introduction to Basic Technology (IBT): Implemented in 5 schools, covering 760 students.
• Entrepreneurship Programme: Mentored 30 high-achieving women entrepreneurs, annual turnover enhanced from ₹6.5 mn to ₹16 mn.

Climate Goals & Targets

Environmental Challenges

• Reduction in fee earning Assets Under Management (AUM) due to divestments and end of fund terms.
• Global headwinds from rising crude prices and potential fallout of tariff wars.
• Issues facing the banking sector.
• Changes in tax laws adversely impacted InvITs, suspending fund-raising efforts.

Mitigation Strategies

• Cost reductions, largely through manpower rationalization.
• Focus on de-risking its India-centric business model through offshore ventures.
• Fine-tuned product strategy to leverage investor preferences (infrastructure debt funds, consumer tech focus).
• New initiatives: Joint ventures with ICD (US$1 billion fund in Africa) and Andhra Pradesh government (urban infrastructure fund).

Supply Chain Management

Climate-Related Risks & Opportunities

Environmental Metrics

Social Achievements

• Adopted a Policy for Prevention of Sexual Harassment of Women at Workplace under the provisions of The Sexual Harassment of Women at Workplace (Prevention, Prohibition and Redressal) Act, 2013. No complaints were received during the year.

Governance Achievements

• Carried out an annual performance evaluation of the Board and Committees thereof.
• Framed a selection criteria for determining the necessary qualifications and attributes for appointment of Directors and also to ensure Board diversity.

Climate Goals & Targets

Environmental Challenges

• Certain entities of the IL&FS Group began to default on their debt obligations during the second quarter of FY2019.
• Developments at the IL&FS Group had a negative impact on IIML and its brand equity, severely impacting fund-raising efforts.
• Africa focused Infrastructure Debt Fund and stressed asset initiative with Lone Star were put on hold due to IL&FS crisis.
• New Fund initiatives, specifically in the infrastructure space, stalled due to IL&FS developments.
• Significant pressure on revenue budgets for the private equity business of IIML due to IL&FS developments.
• Significant number of employee departures since October 2018.

Mitigation Strategies

• Effected stringent cost rationalisation measures, including manpower rationalization and salary cuts for senior management.
• Closed the Singapore office and surrendered one of two licenses in Dubai.
• Shared office space with its subsidiary to reduce rent outgo.
• Focus on delivering new initiatives in the form of non-Fund format based products, such as providing advisory services.

Supply Chain Management

Climate-Related Risks & Opportunities

Environmental Metrics

Climate Goals & Targets

Environmental Challenges

• The outbreak of the COVID-19 pandemic across the globe will have far-reaching and profound effects on the world economy.
• Developments at the IL&FS Group have had a negative impact on IIML and its brand equity. They have significantly impinged on IIML’s business plans for revenue growth.
• The newly constituted IL&FS Board has initiated the process to sell its holding in IIML. The outcome of this sale process is uncertain.

Mitigation Strategies

• IIML would look at non-fund-based initiatives like advisory services and other means to add to its revenues.
• The team has primarily focused on divestments.
• The team is focused on monitoring the investments in this portfolio and helping the investments tide over these difficult times by helping them raise additional rounds of funding and also guiding them through this downcycle.
• IIML has been implementing stringent cost rationalisation measures

Supply Chain Management

Climate-Related Risks & Opportunities

Environmental Metrics

Social Achievements

• CSR spend of Rs. 42 lakhs in the PM Relief Fund

Climate Goals & Targets

Environmental Challenges

• IL&FS crisis impacting fund raising for 2 years
• Sale process of IL&FS shares incomplete
• Loss of management contracts due to IL&FS branding issues
• Uncertainty due to the global pandemic and economic downturn
• Standoff with China adding to economic uncertainty

Mitigation Strategies

• Maintaining investor faith and securing contract extensions
• Exploring options to protect shareholder value
• Work from home policy to mitigate COVID-19 risks
• Cost-cutting measures (details not specified)

Supply Chain Management

Climate-Related Risks & Opportunities

Environmental Metrics

Climate Goals & Targets

Environmental Challenges

• Developments at the IL&FS Group have had a negative impact on IIML and its brand equity. They have significantly impinged on IIML’s business plans for revenue growth.
• The investors in one of the private equity funds initiated the process for termination of the management agreement.
• The COVID-19 pandemic has impacted all businesses the world over and economy and PE funds, in India, was no exception.
• Due to the elections and consequent change of state government, IIML’s joint venture with Government of Andhra Pradesh saw slow progress in the previous year.

Mitigation Strategies

• IIML has been implementing stringent cost rationalisation measures.
• IIML would look at non-fund based initiatives like advisory services and other means to add to its revenues.
• The Fund team continued to focus on undertaking portfolio divestments, thereby enabling return of capital to Fund investors.
• IIML’s joint venture with Government of Andhra Pradesh managed to bag quite a few new contracts and is implementing a slew of projects in the State of Andhra Pradesh.

Supply Chain Management

Climate-Related Risks & Opportunities

Environmental Metrics

Climate Goals & Targets

Environmental Challenges

• Developments at the IL&FS Group have had a negative impact on IIML and its brand equity. They have significantly impinged on IIML’s business plans for revenue growth.
• Adverse developments at the IL&FS Group have impacted all IIML’s business plans for revenue growth.
• Adverse developments at IL&FS have had an adverse impact on employee morale, and the Company has witnessed a significant number of employee departures.

Mitigation Strategies

• The newly constituted IL&FS Board has initiated the process to sell its holding in IIML.
• The newly constituted IL&FS Board has been working on a resolution plan for IL&FS Group. This plan calls for selling identified assets of IL&FS Group.
• IIML is in the fiduciary business of managing third party money and therefore human capital is key to monitoring and continuing the business model and further its sustainability

Supply Chain Management

Climate-Related Risks & Opportunities

Environmental Metrics

Climate Goals & Targets

Environmental Challenges

• Developments at the Infrastructure Leasing & Financial Services Limited (IL&FS) Group have had a negative impact on IIML and its brand equity, resulting in certain fund investors terminating certain management contracts and significantly impinging on IIML’s business plans for revenue growth.
• The sale process undertaken by IL&FS for selling their stake in IIML has not materialized.

Mitigation Strategies

• The IL&FS Board is working on a resolution plan that includes selling identified assets, including its holding in IIML.
• IIML expects that IL&FS will take necessary steps to address the failed sale process and take steps for selling their stake in IIML again.

Supply Chain Management

Climate-Related Risks & Opportunities