Birla Sun Life introduces 'Special Situations Fund'
New
Delhi,
Dec
14:
Aditya
Birla
group-owned
Birla
Sun
Life
Asset
Management
Company
today
said
it
will
launch
the
'Birla
Sun
Life
Special
Situations
Fund'
on
December
17,
which
will
invest
in
'special
situations'
and
contrarian
opportunities
in
the
stock
market.
About 80 per cent of the collected money under the fund will be invested in equity and the rest in debt. The fund will invest in businesses that are candidates for mergers and acquisitions (M&As), private equity (PE) deals, open offers, delisting and buy backs. ''The fund will be a research-based fund which will invest in companies looking to increase their intrinsic value,'' said company CEO Mukul Gupta.
The fund closes for subscription on January 15 and minimum subscription of Rs 5,000.
According to the company, the numbers of special situations stand testimony to this. There was a 180 per cent increase in FDI year on year in 2006-07 from 5.6 billion dollars to 15.7 billion dollars.
M&A and PE deals saw an increase of 67 per cent in number terms (467-782) and 54 per cent in terms of value (Rs 73,200-Rs 1,12,800 crores) in 2006.
UNI