Kotak AMC buys PineBridge Mutual Fund
PineBridge MF had assets under management (AUM) of just Rs 660 crore. The deal marks third exit of a foreign fund houses in less than a year and underscores challenging conditions for smaller players.
In previous nine months, Morgan Stanley has sold off domestic mutual fund business to HDFC AMC and ING MF was acquired by Birla Sun Life AMC.
In a statement, Kotak AMC said it has executed definitive agreement to acquire the domestic schemes of PineBridge MF.
The exact deal size could not be ascertained, but industry players pegged the transaction value to be lower than recent acquisitions, which were struck between 4% and 6% of total asset size of the fund house.
"We have agreed to acquire the schemes of PineBridge MF. The assets included are equity-oriented which provides a further enrichment to our equity base. We have an appetite for further acquisitions which can create value for us and we would be keen to consider such opport...