Mumbai: Bank of India which exited the mutual fund business in 2004 is set to re-enter the MF space by acquiring 51 per cent stake in Bharti AXA Investment Managers, reports Business Standard. The report said Bharti AXA has been looking for an Indian partner preferably a bank for its mutual fund space.
At the end of December 2010, Bharti AXA AUM stood at Rs. 412 crore. The value of the deal is still not disclosed but the industry sources say that the deal is likely to be two-three percent of the assets under management, says the report.
Bank of India has a wide network of 3359 branches which could serve as a large distribution platform for Bharti AXA MF.
At present Bank of India offers mutual fund products as a distributor for nine AMCs.
Bharti AXA MF did not comment on this story.
