Robeco group NV takes 49 pc stake in CIMS

New Delhi, Mar 19 (UNI) Canara Bank and Netherlands-based Robeco Groep NV, an asset management company, today signed an MoU for setting up a joint venture for undertaking business related to asset management in India.

The new Company, to be christened, 'Canara Robeco' will aim to position the public sector bank's existing management arm -- Canbank Investment Management Services Ltd (CIMS) -- as the industry leader.

The entire top brass of the Finance Ministry, including Finance Minister P Chidambarm, were present on the occasion.

Robeco group NV will hold 49 per cent equity in CIMS, a 100 per cent subsidiary of Canara Bank.

The Netherlands-based company has competence in discretionary asset management services in both retail and instituitional segments.

It operates in nine countries with Asset Under Mangement (AUM) of 185 billion dollars (approximately 8,32,500 crore).

Rabo India Finance Ltd is the sole advisor to Robeco and Ernst and Young and is the advisor to Canara Bank for the strategic alliance.

Mr Chidambaram spoke about the phenomenal growth of the mutual fund industry, the buyoncy of the economy which has led to this and the growing strength of the public sector banks.

UNI