Indiabulls Housing Finance (IBHFL) has acquired the CCI approval to divest its mutual fund enterprise to Groww for Rs 175 crore.
The corporate’s wholly-owned subsidiaries Indiabulls Asset Administration Firm Ltd (IMACL) and Indiabulls Trustee Firm Ltd (ITCL) had entered right into a definitive transaction settlement in Might this yr with Nextbillion Know-how (Groww) for divestment of mutual fund enterprise carried out by these two entities.
“In furtherance…the Competitors Fee of India (CCI) has pursuant to a communication letter dated September 9, 2021, authorised the transaction,” IBHFL mentioned in a regulatory submitting.
Divestment of the mutual fund enterprise is aimed toward focussing on its retail property asset administration enterprise, as it isn’t the core focus space of the corporate.
Groww commenced its monetary providers enterprise in Might 2016. It’s at present one of many main tech platforms for investing in shares and mutual funds.
Headquartered in Bengaluru, it’s backed by marquee buyers like Tiger International, Sequoia Capital India, Y Combinator and Ribbit Capital.
Groww serves over 1.5 crore customers in additional than 900 cities throughout India.
The transaction to hive off the mutual fund enterprise by Indiabulls Housing is predicted to be closed on or earlier than June 30, 2022.
After the conclusion of the deal, Indiabulls Housing will stop to carry any fairness shares and its sole management over IAMCL and ITCL.
As of March 31, 2020, the mutual fund income constituted 0.03 per cent of the consolidated income of the housing financier firm.
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