Bankmuscat acquires 43 pc stake in Mangal Keshav Securities

Mumbai, Apr 19 (UNI) After leading international banks Citi, BNP, ABN Amro announcing their foray in the Indian securities business, Bankmuscat - the largest bank in Oman having net assets worth of USD 7.7 billion, today announced the acquisition of a strategic 43 per cent stake in the domestic broking firm Mangal Keshav Securities Limited for an undisclosed amount.

''Through the strategic acquisition, Bankmuscat will now get exposure to the booming Indian securities market, whose trading volumes are predicted to cross USD 3.2 trillion in 2010 from the current 1.6 trillion,'' said Bankmuscat chairman Abdulmalik bin Abdullah Al Khalili.

Bankmuscat alreday owns a 21 per cent stake in the Centurion Bank of Punjab, which was signed in 2004 paving way to enter the country's commercial banking.

With the acquisition, Bankmuscat will become the first bank in the Gulf Cooperative Council (GCC) region to take a stake in the Indian security market.

The fund amassed through the deal will be pumped in for the expansion of the Mangal group that includes acquisition of domestic broking companies in the southern and northern region, said Mangal Keshav group chairman Paresh Bhagat.

''Talks were on with two broking companies in Uttar Pradesh and Rajasthan respectively. The acqusitions are expected to be carried within four months, once the current deal is made,'' he said.

Apart from this, Mangal group also eyes retail, online trading, marketing sectors and plans to build NRI and institutional business in Gulf region drawing support from the Bankmuscat, he added.

The Mumbai-based Mangal Keshav Securities has 20 branches across the country and has long been in sectors of securities trading, commodities trading, insurance broking and IPO/mutual fund spaces.

The group is one of the top 20 brokers in the country and is a member of National Stock Exchange (NSE), Bombay Stock Exchange (BSE), Multi Commodity Exchange of India (MCX), National Commodity and Derivatives Exchange (NCDEX) and Dubai Gold and Commodities Exchange (DGCX).

UNI