IIFL Wealth Management (IIFLW), the wealth and asset management subsidiary of IIFL Holdings, on Tuesday announced that it will acquire Chennai-based Wealth Advisors India Pvt Ltd (WAI) for a consideration of ₹235 crore (plus cash and cash equivalents).
The move is expected to further fortify the 10-year-old IIFL Wealths’ presence in the south where Wealth Advisors has a strong presence in Chennai, Bengaluru, and Coimbatore, besides Mumbai and Pune, a press release said.
“This move gives us the opportunity to scale up and establish deeper client relationships with the added advantages of the IIFL Wealth platform,” said Pramod Kumar, Wealth Advisors India.
Founded by V Mahadevan and Pramod Kumar in 2004, Wealth Advisors provides portfolio management, investment advisory and sub-broking (equity segment) services to a wide range of clients with an asset under advice (AUA) size of ₹11,000 crore. The company recorded a turnover of ₹30.15 crore in FY17-18.
“This deal brings us some top-quality talent by way of sales and non-sales teams and our combined effort will further strengthen our reach and offerings for high net worth clients and ultra-high net worth clients,” said Karan Bhagat, Founder, MD & CEO, IIFL Wealth Management.
Post acquisition, WAI will become a wholly-owned subsidiary of IIFLW and its employees will become part of IIFLW, entitled to agreed employment benefits.
Last month, IIFL Wealth Management had entered into an agreement with Altiore Advisors Pvt Ltd and its shareholders, to acquire 100 per cent of its paid-up share capital for ₹9.2 crore.