In the recent past there have been plenty of rumours floating around of JP Morgan Asset Management being acquired by another AMC. That story can now be put to rest.
Edelweiss Asset Management has acquired the onshore fund schemes managed by JP Morgan Asset Management in India. It will acquire the India based onshore mutual fund business and the international fund of funds, subject to regulatory approvals.
Last year, Pramerica Mutual Fund acquired the Indian asset management business of Deutsche Mutual Fund.
Prior to that, Morgan Stanley Mutual Fund was acquired by HDFC Mutual Fund, ING Investment Management by Birla Sun Life Mutual Fund, Pinebridge Investments by Kotak Mutual Fund, Daiwa Mutual Fund by SBI Mutual Fund, and Fidelity by L&T Mutual Fund.
According to the press release, the assets under management of JP Morgan Asset Management stands at approximately Rs 7,081 crore, while the combined AUMs of both entities amount to approximately Rs 8,757 crore (as on December 31, 2015).
Along with the schemes, Edelweiss Asset Management is committed to absorbing majority of employees of JP Morgan Asset Management.
The acquisition will further strengthen Edelweiss Group’s ₹31,000 crore Global Asset Management businesses, which include the group’s existing mutual fund business, credit alternative funds, offshore funds and equity funds. The Global Asset Management business spans multiple asset classes, client segments and geographies.
