Mahindra & Mahindra Financial Services Ltd (Mahindra Finance) on Wednesday said global financial services group Manulife has acquired 49 per cent stake in its wholly-owned subsidiary Mahindra Asset Management Company. Under the agreement, which was announced in June last year, Manulife has invested $35 million or Rs 265 crore to pick up 49 per cent stake in Mahindra AMC, a company statement said.
The Singapore arm of Manulife, Manulife Investment Management (Singapore) Pte. Ltd, has bought 49 per cent stake in the joint venture where Mahindra Finance will now own the balance 51 per cent.
"I am confident that this partnership will help accelerate our efforts towards increasing mutual fund penetration, through innovative products and solutions and best in class service standards," Mahindra Finance vice-chairman and managing director Ramesh Iyer said.
Mahindra AMC's managing director and CEO Ashutosh Bishnoi said Manulife Investment Management naturally fits as the right strategic partner for Mahindra Mutual Fund, as they bring over 150 years of fund products experience across all types of economic cycles and scenarios.
"Besides, their global best practices and processes will help Indian investors manage risk more sensibly," he said.
Mahindra AMC's annualized average assets under management stood at Rs 5,217 crore as of March 31, 2020. It has more than 2.12 lakh customer accounts and is offering over 13 investment schemes.Manulife provides wealth and asset management and life insurance solutions for individuals, groups and institutions around the world, with assets under management and administration of over $915 billion as of December 31, 2019.