IDFC buys Natixis’ stake in mutual fund unit for Rs244 crore

IDFC will acquire a 25% stake held by Natixis Global Asset Management in IDFC Mutual Fund for Rs244.24 crore


With an asset base of Rs57,998 crore at the end of the December quarter, IDFC Mutual Fund manages a range of funds across debt and equity classes.
With an asset base of Rs57,998 crore at the end of the December quarter, IDFC Mutual Fund manages a range of funds across debt and equity classes.

New Delhi: IDFC Ltd has agreed to acquire a 25% stake held by Natixis Global Asset Management in IDFC Mutual Fund for Rs244.24 crore. The transaction is expected to conclude by the end of this month, according to a regulatory filing.

IDFC Financial Holding Co. Ltd, a wholly-owned subsidiary of IDFC, currently holds 75% stake of IDFC Asset Management Co. (AMC) and IDFC AMC Trustee Co. The remaining 25% is held by Natixis Global Asset Management.

With an asset base of Rs57,998 crore at the end of the December quarter, IDFC Mutual Fund manages a range of funds across debt and equity classes. In December 2010, Natixis Global Asset Management struck a share purchase agreement to take stake in IDFC AMC and IDFC AMC Trustee.

As part of the agreement, there was a requirement that both shareholders will review the partnership at the end of five years. Following a review clause in the agreement, IDFC, in a filing to stock exchanges, said it has “agreed to acquire through IDFC Financial Holding Company the balance stake (about 25%) in IDFC AMC and IDFC AMC Trustee from Natixis Global Asset Management”.

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