Religare gets CCI nod to sell 51% in MF biz to partner Invesco

Religare Enterprises has received approval from the Competition Commission of India to sell a controlling 51 per cent stake in its mutual fund business, Religare Invesco AMC, to foreign partner Invesco.

Religare had not disclosed the exact reasons for the sale but sources had said it could be due to promoters wanting to monetise some assets to meet other financial obligations. Religare held 51 per cent in the joint venture, while Invesco held the rest.

In a tweet on , CCI said that it "approves increase in shareholding of Invesco Hong Kong in Religare AMC and Religare Trustee from 49 per cent to 100 per cent".

Invesco had purchased 49 per cent stake in March 2013, wherein it was also given an option to further increase its stake before March 2016.

While a number of foreign fund houses have exited the Indian mutual fund industry, there have not been many cases where Indian entities have sold the asset management business.