Birla Sun Life to take over ING funds
Mumbai: Birla Sun Life Asset Management Company is to acquire mutual fund assets from Dutch bank ING Groep NV, Birla said on Thursday.
Birla Sun Life, a Joint venture between Aditya Birla Group and Canada`s Sun Life Financial Inc, said it will add about 11 billion rupees (USD 186 million) to its average assets under management through the acquisition of ING`s funds.
The companies did not disclose the deal`s value.
Over the last 18 months ING has radically reshaped itself to comply with the terms of a 10 billion-euro state rescue, shedding investment banking operations and insurance and asset management subsidiaries in several countries.
In January ING sold its Taiwanese asset management arm to Japan`s Nomura Asset Management and in February said it will close its Middle East asset management operation.
The sale also marks another retreat by a foreign firm from India`s asset management industry.
Last year, Morgan Stanley Investment Management and Japan`s Daiwa Asset Management both got out.
India`s crowded asset management industry has struggled in the last few years with sustained outflows from equity funds due to volatile markets and domestic investors have withdrawn a net 385 billion rupees (USD 6.51 billion) from such funds since 2010.