The Competition Commission of India (CCI) has given its go ahead for DHFL Pramerica AMC’s acquisition of Deutsche AMC.
“CCI approves the acquisition Deutsche MF by Pramerica MF & acquisition of Deutsche AMC portfolio accounts by Pramerica AMC,” CCI tweeted.
The fund house is yet to receive SEBI approval for this deal.
This acquisition will add Rs. 25,329 crore to the kitty of DHFL Pramerica Mutual Fund. Currently, DHFL Pramerica is managing Rs. 2,366 crore as on October 2015. A few media reports suggest that the deal was finalized for nearly Rs.400 crore. The acquisition will catapult DHFL Pramerica to 13th position in the AAUM pecking order.
Earlier in August, Deutsche Bank announced that it has entered into an agreement to sell its India asset management business to DHFL Pramerica Asset Managers.
The industry has been going through a consolidation phase. Last year, Kotak MF and Birla Sun Life MF had bought all the schemes and portfolio management accounts of Pinebridge MF and ING MF respectively. In December 2013, HDFC Mutual Fund acquired schemes of Morgan Stanley. Earlier, Japan based AMC, Daiwa Mutual Fund sold its schemes to SBI Mutual Fund.
