Choice International Limited’s step-down subsidiary ‘Choice Wealth Private Limited’ has acquired the mutual fund distribution business of ‘Centcart Money Services Private Limited’.
The company said that the acquisition of the mutual fund distribution business of ‘Centcart’ was a complete cash deal, with a win-win situation for both entities. The users of ‘Centcart’ shall be in a position to access the research tools available on Choice’s online platform for investing in mutual funds through our application ‘lnvestica’, which facilitates investors to attain financial freedom.
The company stock was bullish on Wednesday and at around 9.45 am, Choice International Ltd was trading at Rs161 per piece up by Rs10.35 or 6.87% from its previous closing of Rs150.65 per piece on the BSE.
The scrip opened at Rs159.50 and has touched a high and low of Rs173 (up ~15%) per piece and Rs159 per piece respectively.
“The said acquisition is part of ‘lnvestica’s’ inorganic growth strategy through which we shall continue to grow our share and size in the Fintech mutual fund distribution business.
The acquisition of the mutual fund distribution business of ‘Centcart’ shall enable ‘lnvestica’ to rapidly grow its AUM and number of clients and push it towards the category of large Mutual Fund Investment platforms with complete focus on wealth creation for its clients,” company said in a filing on Tuesday.