Bangalore, Dec 18 (UNI) Birla Life Asset Management Company Ltd today announced the launch of 'Birla Sun Life Special Situations Fund,' an open-ended diversified equity scheme.
Addressing newspersons here today, Company CEO Mukul Gupta said the country was witnessing special situations, including mergers and acquisitions (M&A), private equity investments, open offers and buy backs and the new fund would exploit the boom for generating superior returns.
India had seen a 180 per cent increase in FDI from 5.6 billion US Dollar to 15.7 billion USD last year. M &A and private equity deals saw an increase of 67 per cent in numbers and 54 per cent in terms of value in 2006.
Stating similar trends would be observed in the number of open offers, delisting, business restructuring and IPOs, he said Birla Sun Life Special Situations Fund would endeavour to capture the special situations resulting from corporate actions, market dynamics or a blend of both.
Elaborating on the investment objectives of the new fund, Mr Gupta said it was designed to generate long term growth as it would be invested in equity and equity-related securities. The NFO, which opened yesterday, would close on January 15.
Eighty per cent of the proceeds would be invested in equity and the balance in fixed income securities. The offer comes with both dividend and growth variants, Mr Gupta added.