HSBC AM India Buys L&T Investment Management
Posted on 12/24/2021
HSBC Asset Management (India) Pvt Ltd entered into an agreement with L&T Finance Holdings Ltd (LTFH) to fully acquire L&T Investment Management Ltd (LTIM), the mutual fund business of L&T Finance. Larsen & Toubro Ltd, commonly known as L&T, is an Indian multinational conglomerate, with business interests in engineering, construction, manufacturing, technology and financial services, headquartered in Mumbai.
HSBC is buying the L&T unit for US$ 425 million.
HSBC intends to merge L&T Investment Management Limited with its US$ 1.6 billion asset management operation in India, HSBC and L&T said in separate statements.
“Combining LTIM with our existing Indian asset management business gives us the scale, reach and capabilities to capture some of the 15-20% annual asset management market growth expected in India over the next five years,” according to a statement by HSBC Group CEO Noel Quinn.
HSBC could make more purchases in the Asia region.
Advisors
J.P. Morgan and Citi were the financial advisers to L&T.
Keywords: HSBC Holdings plc.
