Speaking on the occasion, Mr Rashesh Shah, Chairman & CEO, Edelweiss Group said, “We are seeing the financial savings of Indian investors shifting from hard assets like gold and real estate to financial instruments. This movement presents exciting opportunities in the rapidly growing asset management space. Ambit Alpha Fund is one of the market leading Alternate Investment Funds in the country and allows us to consolidate our market position in this business.”
Ashok Wadhwa, Group CEO, Ambit, said “We have decided to divest Ambit Alpha Fund, and believe that the interest of the investors will be best served under a larger and well established asset management platform. We are pleased to have reached an agreement with Edelweiss and are convinced of their commitment to this business.”
This is the second asset management acquisition of Edelweiss Group in the recent past, having taken over JP Morgan’s onshore mutual fund schemes a few months ago. The acquisition will further strengthen Edelweiss Group’s Rs. 35,000 crore Global Assets Management (GAM) business which includes the Group’s existing mutual funds, alternative assets management, multi strategy funds and asset reconstruction. This business has seen an over 40% growth over the last year.
Venkat Ramaswamy, Executive Director and Co-Head, Edelweiss Global Asset Management further said, “Ambit Alpha Fund is complementary to our bouquet of offerings in the alternative investment fund business. Forefront (Edelweiss Multi Strategy Funds) that we acquired in 2014 has since grown over 10x, and has one of the best performing funds in this category.”