IIFL Wealth to acquire south India-focussed wealth management firm for $35 mn
IIFL Wealth Management Ltd, a unit of financial services company IIFL Holdings, will acquire Chennai-based wealth management company Wealth Advisors India Pvt. Ltd for Rs 253.6 crore (around $35 million at current exchange rates) in cash.
In a stock-exchange disclosure, IIFL Holdings said the acquisition of Wealth Advisors will help IIFL Wealth increase its client base and further its expansion into portfolio management and investment advisory business in southern India.
“This deal brings us some top-quality talent by way of sales and non-sales teams and our combined effort will further strengthen our reach and offerings for the high net worth clients and ultra-high net worth clients,” said Karan Bhagat, founder and chief executive of IIFL Wealth Management.
Following the acquisition, Wealth Advisors will become a wholly-owned subsidiary of IIFL Wealth Management. The deal is subject to regulatory approvals and IIFL expects the formalities to be completed by mid-February next year. The transaction includes cash and cash equivalents of Rs 18.58 crore which will be adjusted on the closing date.