IDFC AMC to be renamed as Bandhan Mutual Fund as SEBI approves change in ownership

Tags: Economy/Finance

The name of the IDFC Asset Management Company Limited (AMC) which manages the Mutual Fund business of the IDFC will be changed to Bandhan Asset Management Company Limited.  The IDFC Mutual Fund (MF) is proposed to be renamed as Bandhan Mutual Fund with Bandhan Financial Holdings Limited (BFHL) becoming the Sponsor of the Mutual Fund. 

This has been done after Securities Exchange Board of India (SEBI) approved the change in ownership at the IDFC AMC. SEBI is the regulator of Mutual Funds in India.

The IDFC AMC was set up by IDFC financial company in 2010. It is the 9th largest Mutual fund in India.

In April 2022 a consortium of Bandhan Financial Holdings (BFHL), private equity firm ChrysCapital and Singapore's sovereign fund GIC had announced the acquisition of IDFC Asset Management Company for Rs 4,500 crore. Bandhan Financial Holdings (BFHL) is the promoter of the private sector bank Bandhan Bank.

The deal has already been approved by the Competition Commission of India and RBI.

Bandhan Financial Holdings (BFHL) will hold 60% of the shares in the IDFC AMC, and ChrysCapital and GIC will hold 20% each.

Bandhan Bank 

The Bandhan Bank started as an NGO and later it was converted into an NBFC -MFI (Micro Financial institution).

It was converted into a private sector bank in 2015.

The Bank’s Headquarters: Kolkata 

MD and CEO: Chandra Shekhar Ghosh

Tagline: Aapka Bhala. Sabki Bhalai.