Date:08/03/2008 URL: http://www.thehindu.com/2008/03/08/stories/2008030855111500.htm

Business

Standard Chartered sells AMC in India to IDFC

Special Correspondent

The cash consideration is $205 million

MUMBAI: Standard Chartered plc on Friday agreed to sell Standard Chartered Trustee Company Private Limited and Standard Chartered Asset Management Company Private Limited, including minorities, to Infrastructure Development Finance Company Limited (IDFC) for a total cash consideration of about $205 million. The consideration is before deductions for local taxes and deal expenses. However, “the transaction does not include Standard Chartered’s mutual fund distribution business which Standard Chartered will continue to pursue,” Standard Chartered said a press release.

Jaspal Bindra, Chief Executive Officer, Asia, Standard Chartered, said: “Standard Chartered will remain a distributor of asset management products in India. India is a key market and delivered record results in 2007.”

Rajiv Lall, Managing Director and Chief Executive Officer of IDFC, said: “This is in line with our wider strategy of broadening our footprint in the asset management business and diversifying our fee-based revenue streams.”

This transaction is subject to certain regulatory approvals and other closing conditions, and is expected to complete in the second quarter of 2008, the press release added.