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A consortium led by Bandhan Financial Holdings, the promoter of Bandhan Bank, has acquired IDFC AMC for Rs. 4,500 crore, the fund house announced on Wednesday.
Apart from Bandhan Financial Holding, the consortium comprised of Singapore sovereign wealth fund GIC and PE firm ChrysCapital.
The deal is subject to regulatory approvals.
As part of the deal, the new owners will retain the current management team and will continue with the investment process being followed by the fund house currently, IDFC MF said in a press release.
Bandhan Financial Holdings said the acquisition is part of the group's future growth plan. "We believe that the asset management industry will be one of the fastest growing segments in the Indian financial services industry and hence has been identified as a key vertical in our future growth plans. The acquisition of IDFC AMC provides us with a scaled‐up asset management platform, with a stellar management team and a pan India distribution network," said Karni S Arha, the MD of Bandhan Financial Holdings.
Anil Singhvi, the Chairman of IDFC Limited, said the "Bandhan consortium with its strong brand and resources will further strengthen distribution of products and improving overall experience for IDFC AMC’s investors and distributors".
IDFC MF is the ninth largest fund house in India with an average AAUM of Rs. 1.20 lakh crore in the previous quarter.
