Housing Development Fin. Corp to sell shares in its subsidiary
Housing Development And I
₹83.25
11:35 04/10/16
Housing Development Fin. Corp has announced approval for the sale of part of its stake in HDFC Asset Management Company Limited (HDFC AMC), a subsidiary of the corporation in which it owned 57.36% of the issued and paid-up share capital as of 30 September, when HDFC AMC listed.
That followed the decision taken earlier the same day by the board of HDFC AMC to pursue a public listing.
Revenue at HDFC AMC for the financial year ended March 31 2017 totaled ₹ 1,480 crore, with total revenue of ₹ 1,588 crore and profit after tax of ₹ 550 crore, the company reported.
Of the listing, Mr. Deepak Parekh, chairman of HDFC AMC said: “We believe that the listing would unlock value of the business for the shareholders and provide investors an opportunity to participate in the emerging Asset Management space within our group.”
While Mr. Milind Barve, managing director of HDFC AMC said: “The Indian Asset Management industry has seen strong business flows with increasing awareness of Mutual Fund products. The improving penetration levels of Mutual Fund products provide an interesting opportunity to channelize investments more productively."