Aditya Birla Nuvo to acquire 56 pc stake in ASCIL

Mumbai, Aug 28: Aditya Birla Nuvo Limited, a diversified conglomerate part of the Aditya Birla Group, has entered into an agreement with Apollo Sindhoori Capital Investments Limited (ASCIL) to acquire 56 per cent stake in the retail broking company for Rs 198.8 crore. This move will strategically strengthen the position of the financial services group as a manufacturer and distributor of value added financial products, the group said in a release on Thursday, Aug 28.

Aditya Birla Nuvo will make an open offer, post receiving the necessary approvals. Commenting on the development, the Group's Chief Executive Financial Services Ajay Srinivasan said the strategic intent of this agreement is to position Aditya Birla Financial Services Group as a broad based and integrated player in the financial services business. ''ASCIL would offer the company a well established platform with a capable team that will integrate well into our existing business and strengthen our presence in the financial services space,'' Mr Srinivasan asserted.

ASCIL Director Suneeta Reddy said, ''We have chosen to retain a 10 per cent stake, as we believe the Aditya Birla Group will add substantial value to the company.''

UNI