Saturday, January 27, 2007

Citigroup VC may invest $15 mn in AnandRathi

Citigroup Venture Capital (CVC) is in talks to acquire 10-15% stake in Mumbai-based securities and wealth management firm AnandRathi Securities for around Rs. 70 crores ($15 mn). AnandRathi proposes to come out with a public issue in the next financial year. CVC is in the fray along with a couple of more private equity funds and the deal is expected to be closed within the end of the current fiscal.

This is the first time in 12 years since its establishment that AnandRathi is expected to receive private equity funding. The company offers the entire gamut of financial and advisory services including wealth management, investment banking, corporate advisory, brokerage and distribution of equities, commodities, mutual funds and insurance. Besides having a pan-India presence with 300 offices, it has international presence through its offices in Dubai and Bangkok. AnandRathi also runs a Rs. 150-crore realty fund focusing on partnering with developers in Tier-II cities to cater to the growing demand for quality residential space in these cities and also earmark some investments in rental income yielding office properties. AnandRathi is also planning to launch an overseas $75 mn fund.

Read the Business Standard article.

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