AXA may sell full stake in its mutual fund JV with Bank of India
Photo Credit: Satyakam Banerjee/VCCircle

AXA Investment Managers, a part of French insurance giant AXA Group, is looking to fully exit its mutual fund joint venture with state-run Bank of India, according to a media report.

Avendus Group, a financial services firm backed by private equity major KKR, has shown interest in picking up a majority stake in BOI AXA Mutual Fund, The Economic Times reported, citing two people aware of the development.

AXA Investment Managers had assets under management of 759 billion euros as of June-end 2018.

In 2012, Bank of India had acquired a 51% stake in the then Bharti AXA Investment Managers.

Under the deal, Bank of India had acquired 25 % stake from Bharti Enterprises and another 26% from AXA Investment Managers Asia Holdings.

Following this deal, Bharti AXA Investment Managers was renamed as BOI AXA Investment Managers.

As on November-end 2018,  BOI AXA Mutual Fund had Rs 4,090 crore of assets under management.

Avendus was earlier in the fray to acquire IDFC Mutual Fund but a valuation mismatch proved a stumbling block, according to media reports.

The assets managed by the Indian mutual fund industry have grown from Rs 22.73 trillion in November 2017 to Rs 23.59 trillion in November 2018, according to the Association of Mutual Funds in India (Amfi).

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