Singapore-based financial services group PhillipCapital is acquiring MF Global Sify Securities India, a joint venture between Indian Internet & IT firm Sify Technologies and bankrupt US broker MF Global Holdings, in an all-cash deal. MF Global India is a broking joint venture firm engaged in providing online and offline equity and derivatives trading for retail clients besides other clearing services for financial institutions.
Earlier, Sify announced it is selling its entire holding in an all cash deal. Sify holds 29.85 per cent of stake in the joint venture with MF Global. in November 2011 owing to bad bets on Eurozone debt. This means PhillipCapital Group would in effect buyout the entire stake of the Indian financial services firm as MF Global.PhillipCapital services includes fund management, unit trusts, hedge funds, insurance planning, investment research and broking in bonds, securities, futures, foreign exchange, precious metals and commodities.
Financial details of the transaction were not disclosed. But Sify spokesperson said the deal could take anywhere from 3-4 months to complete.
Earlier, Refco Inc was the JV partner of Sify in the Indian JV. MF Global came on board after Refco went bankrupt around six years ago.