Groww to buy Indiabulls MF for ₹175 crore
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Under the deal, Groww would acquire Indiabulls AMC and trustee company of Indiabulls Mutual Fund.
The sale of Indiabulls AMC would be limited only to the mutual fund part of the business while alternate investment fund and portfolio management services would stay with Indiabulls Housing Finance.
“We have decided to divest our interest in the retail mutual fund business to consolidate capital and provide greater focus to building the real estate asset management business,” said Gagan Banga, vice-chairman and MD, Indiabulls Housing Finance.
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Groww to acquire Indiabulls MF for Rs 175 cr
Groww to acquire Indiabulls MF for Rs 175 cr
Mumbai, May 11: Online investment platform Groww on Tuesday announced that it will be acquiring Indiabulls Mutual Fund for a total consideration of Rs 175 crore.
The digital platform will acquire Indiabulls Asset Management Company (IBAMC) and the trustee company for Rs 175 crore, which includes a cash and equivalent component of Rs 100 crore, an official statement said, adding that the transaction is subject to regulatory approvals.
The Alternate Investment Fund (AIF) and Portfolio Management Service (PMS) businesses will be demerged from the existing IBAMC structure, and remain under Indiabulls Housing Finance, it said.
Online investment platform Groww on Tuesday announced that it will be acquiring Indiabulls Mutual Fund for a total consideration of Rs 175 crore. The digital platform will acquire Indiabulls Asset Management Company (IBAMC) and the trustee company for Rs 175 crore, which includes a cash and equivalent component of Rs 100 crore, an official statement said, adding that the transaction is subject to regulatory approvals. The Alternate Investment Fund (AIF) and Portfolio Management Service (PMS) businesses will be demerged from the existing IBAMC structure, and remain under Indiabulls Housing Finance, it said. The announcement comes months after capital markets regulator Sebi had allowed digital platforms like fintechs to enter the mutual funds business and Groww becomes the first fintech to enter the asset management space.
Groww inks deal to acquire Indiabulls’ mutual fund biz for Rs 175cr
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Synopsis
The sale of Indiabulls AMC will be limited only to the Mutual Fund business, while the Alternate Investment Fund (AIF) and Portfolio Management Service (PMS) businesses will be demerged from the existing Indiabulls AMC structure.
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Online investment platform, Groww will acquire Indiabulls Asset Management Company from Indiabulls Housing Finance for a consideration of Rs 175 crores.
The sale of Indiabulls AMC will be limited only to the Mutual Fund business, while the Alternate Investment Fund (AIF) and Portfolio Management Service (PMS) businesses will be demerged from the existing Indiabulls AMC structure, and remain under Indiabulls Housing Finance, subject to regulatory approvals, Indiabulls Housing Finance said in an exchange filing on Tuesday.
Indiabulls Housing Finance Divests Mutual Fund Business To Groww For Rs 175 Crore Indiabulls Housing Finance Divests Mutual Fund Business To Groww For Rs 175 Crore Indiabulls Housing said that it plans to focus the management bandwidth and consolidate its capital towards the real estate asset management business
Shares of Indiabulls Housing Finance settled 1.04 per cent lower at Rs 184.90 apiece on BSE.
Mortgage lender Indiabulls Housing Finance said today (May 11) that it has decided to divest its mutual fund business to the online investment platform Groww for a sum of Rs 175 crore. According to the statement, Indiabulls Housing said that it plans to focus the management bandwidth of the firm and consolidate its capital towards the real estate asset management business, keeping in line with its asset-light strategy. (