Religare buys 55% in US asset mgmt firm for Rs 770 cr | business | Hindustan Times
Today in New Delhi, India
May 30, 2017-Tuesday
-°C
New Delhi
  • Humidity
    -
  • Wind
    -

Religare buys 55% in US asset mgmt firm for Rs 770 cr

Financial Services firm Religare Enterprises on Friday said that its arm has acquired 55 per cent stake in US-based private equity and real estate fund-of-funds asset manager Landmark Partners for about Rs 770 crore. HT reports. American entry

business Updated: Dec 04, 2010 00:31 IST
HT Correspondent

Financial Services firm Religare Enterprises on Friday said that its arm has acquired 55 per cent stake in US-based private equity and real estate fund-of-funds asset manager Landmark Partners for $172 million (about Rs 770 crore).

Landmark has total assets under management worth $8.3 billion and the deal values the company at 3.8% of its total assets.

“The parties have signed a definitive agreement for Religare to acquire a 55% stake in the business of Landmark Partners for a consideration of up to $172 million,” said the company in a statement.

With the acquisitions of Northgate (earlier this year) and Landmark Partners now, Religare expects to garner a total revenue of $70 million in 2010-11 and an EBIDTA of $35 million.

The company, which had earmarked funds of $1 billion for buying asset managers still has a large portion of it left.

“Of the $300-million equity portion, we still have 60-70% left for more acquisitions,” said Shachindra Nath, group CEO, Religare Enterprises.

Nath, who is busy building a global asset management business for the company, sees this as a game changer, which will take the total assets under management of the group to $15 billion.

“In our journey, Landmark is a game changer because its size and pedigree would allow the world to look at a company from India,” said Nath, who now plans to target traditional asset classes and will continue to build a portfolio of companies.