L&T Finance acquires Fidelity's Indian mutual fund business

Published: Wednesday, March 28, 2012, 10:24 [IST]

L&T Finance Limited (LTF), a subsidiary of L&T Finance Holdings Limited (LTFH), has acquired FIL Fund Management Private Limited (Fidelity AMC) & FIL Trustee Company Private Limited, the companies carrying on the mutual fund business of Fidelity in India, subject to regulatory approvals.

Fidelity AMC, incorporated in 2004, manages the 15th largest mutual fund in India with a market share of 1.3% and an average AUM for the quarter ended December 2011 of Rs 8,881 crores (~68% of its assets are equity oriented). It has built a robust equity oriented franchise which has access to large HNI customers and a strong SIP portfolio. Its equity assets are the 10th largest in India with a market share of 3.1%.

Further, in the past 3 years, the fund performance has resulted in 4 of its 5 equity funds being ranked amongst top 10 in their respective category. It was awarded by Lipper in 2011 for being Best Equity Fund House over the past 3 years.

Y. M. Deosthalee, CMD of L&T Finance Holdings Limited, said, "With this acquisition we are one step closer to achieving our vision of being among the top players in the Indian mutual fund industry. We remain committed to that goal and look forward to building one of India's most admired asset management businesses. This acquisition provides L&T Mutual Fund the necessary scale, products and access to retail customers to grow profitably."

GoodReturns.in

Story first published: Wednesday, March 28, 2012, 10:24 [IST]

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