Religare Securities Limited (RSL), the wholly owned subsidiary of financial services firm Religare Enterprises Ltd, has received approval from the Securities and Exchange Board of India (SEBI) for its acquisition of Lotus India AMC, an asset management joint venture.
Earlier this month, Religare Enterprises said it would buy all or a majority stake in Lotus AMC, a joint venture between Temasek Holdings unit and London-based Sabre Capital Worldwide. Religare Securities will buy the entire shareholding of the asset management company from its shareholders, Religare said in a release.
Religare, which had earlier this month, announced a restructuring plan for its 50:50 asset management joint venture with Dutch group Aegon – Religare Aegon AMC – has also received SEBI nod for divesting its stake in the AMC. Religare will give full control of Religare Aegon AMC.
Lotus India AMC had more than Rs5,000 crore of funds under management.
Lotus will now be rechristen Religare AMC, which in turn will become a wholly owned subsidiary of Religare Securities Limited (RSL), while Aegon would now assume control of the Religare Aegon AMC.
Religare CEO and managing director Sunil Godhwani said it will soon start the integration process of Lotus AMC, adding that it is a step towards fulfilling the company's global asset management business ambitions.
Religare is an equity broking firm, engaged in portfolio management, online trading and depository services.