Financial services firm Avendus Capital has acquired UK-based asset management company, Ocean Dial Asset Management.
As per an official statement, Avendus has signed an agreement to acquire the 100% shareholding from Raju Shukla, Chairman and MD, Ocean Dial and the management team. The financial details of the transaction are undisclosed. The acquisition is currently subject to regulatory approvals in India and the UK.
Commenting on the acquisition, Ranu Vohra, co-founder, Managing Director and CEO Avendus Capital said, “Avendus has been consistently making efforts to bolster its asset management businesses and this acquisition is one such step in the journey of growth. The acquisition will help us scale up our public equities presence. As the public markets are deepening, we are observing a switch from mutual funds to alternate investment funds. The acquisition is synergistic, as we will work to make Ocean Dial a bigger play by bringing in investors from other geographies into the fold. There exists an opportunity to create a centre of excellence in public equities investing and Avendus attempts to create leadership in this space.”
As per an official statement, London-based Ocean Dial currently manages about $584.5 Mn (£450 Mn) in equities across three funds: the London-listed India Capital Growth Fund, Gateway to India Fund and Systematic India Return Fund.
On the other hand, Mumbai-headquartered Avendus has grown from being the dealmaker in India to a full-fledged financial services company. The Avendus Group is a financial services provider. It is focussed on customised solutions in the areas of Financial Advisory, Wealth Management, Structured Credit Solutions, and Alternative Assets Management.
Earlier this month it was reported, that Avendus Finance, the Avendus Capital-owned NBFC, had launched a $78.5 Mn (INR 500 Cr) debt fund. As per reports, the firm is looking to make its first close by the end of this month. The fund will comprise a $39.25 Mn (INR 250 Cr) Avendus Structured Credit Fund-I as well as a greenshoe option of the same amount. According to sources, the newly-launched fund will be used to invest in business across industrial and healthcare sectors.
The majority shareholder of Avendus Capital are funds and investment vehicles managed or advised by KKR. In November 2015, US-based PE fund Kohlberg Kravis Roberts & Co. (KKR) invested $105 Mn to acquire 70% stake in Avendus Capital. Since KKR’s investment, Avendus has been on an expansion spree. With this acquisition, Avendus will strengthen its footprint in the asset management business.