Changes in ownership in asset management companies
At a time when Indian individuals are increasingly investing in mutual funds to build long-term corpus and assets under management (AUM) of the industry are growing rapidly, there are ownership changes happening in India mutual fund industry. With DSP Group -- headed by Hemendra Kothari -- buying out BlackRock’s 40% stake in joint venture , there has been over 25 ownership changes in India’s mutual fund companies in the past 10 years. These range from foreign companies selling stake to local companies, to foreigners buying stakes in home-grown ones. BlackRock saga BlackRock is the world's largest asset managers and the joint venture with DSP group, a homegrown company, had become the ninth largest mutual fund company in the country. BlackRock had agreed to sell its 40 per cent interest in DSP BlackRock, which in total, manages assets of over Rs 1.1 lakh crore. Both the companies did not disclose the details of the deal. In fact, initially BlackRock was in talks with DSP for ...