INDIA BUSINESS WORLD - March 1^st - March 15^th - 2008

IDFC TO BUY STANCHART MF FOR $205-MN

Infrastructure Development Finance Corporation (IDFC) is set to buy the mutual fund business of Stan-Chart for $205 million or Rs 830 crore. IDFC has agreed to pay a price way above $135 million (Rs 542 crore) Swiss bank UBS had agreed to pay for the MF business in January 2007. StanChart had invited fresh bids in January this year after UBS failed to get regulatory approval for the buyout.

StanChart has agreed to sell Standard Chartered Trustee Company and Standard Chartered Asset Management Company. The UK major has 74.9% stake in the AMC, with the remaining being held by Atul Choksey, co-founder of Asian Paints.