Invesco acquires 49% stake in Religare Mutual Fund for Rs 460 crore
Investment management firm Invesco has purchased a 49 per cent stake in Religare Mutual Fund for nearly Rs 460 crore, subject to regulatory approval.
Religare Mutual Fund was created as a joint venture between Indian asset management firm Religare and Dutch financial services giant Aegon. But the Dutch firm sold its entire stake to the Indian firm and quitted the joint venture in 2009.
The latest deal with the US-based Invesco has marked the return of a foreign partner into Religare Mutual Fund, which currently has assets worth Rs. 14,600 crore under management. The company believes that it will have assets worth Rs 15,000 crore under its management by the time the deal gets regulatory approval.
L Flanagan, president and chief executive of Invesco, said the deal would further position the two companies for long-term success.
Commenting on the deal, Flanagan said, “Our agreement with Religare will expand the comprehensive range of investment capabilities Invesco provides… and further position both firms for long-term success.”
Following the Religare Mutual Fund-Invesco deal, the joint venture will be renamed as Religare Invesco Mutual Fund.
Indian companies are attracting more and more foreign investors for some time. In April, UK-based Schroders acquired a 25 per cent stake in Axis Mutual Fund, while in June Japan-based life insurance firm Nippon Life purchased a 26 per cent stake in Reliance Mutual Fund for nearly $290 million.