Birla Sun Life acquires rights to manage the Indian mutual fund assets of Alliance Capital Mutual Fund

18 October 2004
Mumbai

Birla Sun Life Asset Management Company Ltd (BSLAMC) said today that an agreement has been signed with Alliance Capital Asset Management (India) Private Ltd to acquire the rights to manage the Indian mutual fund assets of Alliance Capital Mutual Fund, subject to receipt of necessary regulatory approvals.

BSLAMC is part of Birla Sun Life, a joint venture between the Aditya Birla Group and Sun Life Financial.

This transaction will consolidate BSLAMC's prominent position in the Indian mutual fund industry by increasing the assets under management and broadening its investor base. Alliance Capital had assets under management of Rs.1951 crores as of 30 September 2004, of which equity mutual fund assets represented 33 per cent. Based on 30 September 2004 information, the combined assets under management of BSLAMC after the acquisition would increase to Rs.10,933 crores.

"Alliance Capital's Indian mutual fund assets have an excellent performance track record and are a good fit with BSLAMC's existing business," said Mr. S.V. Prasad, Chief e;xecutive Officer, BSLAMC.

BSLAMC was established in 1994 and has grown significantly over the last 10 years, ranking among the largest and most respected fund houses in India. In addition to managing domestic mutual funds, BSLAMC manages two successful offshore funds and also has a thriving Portfolio Management Services Division.

According to Mr. S.V.Prasad, BSLAMC is firmly committed to the Indian mutual fund market and continues to expand upon its commitment to provide the highest level of service to all its customers.