Standard Chartered Bank has completed the acquisition of 25.1% stake it didn’t own in Standard Chartered-STCI Capital Markets (formerly UTI Securities) from Stock Trading Corporation (STCI).
StanChart had acquired 49% of UTI Securities Limited from STCI in January 2008 and bought an additional 25.9% stake in December the same year. With the latest transaction, the company that offers retail and institutional broking services, has become a wholly owned subsidiary of the British bank. StanChart is expected to soon rebrand the company.
Standard Chartered-STCI Capital Markets currently offers retail and institutional broking, wealth management products and investment banking services. It services over 150,000 retail customers from 112 locations across India. As of June 30, 2010, Standard Chartered-STCI Capital Markets had gross assets of $23.5 million.
Jaspal Bindra, group executive director & CEO Asia, Standard Chartered, said in a statement: "Standard Chartered plans to provide additional capital of $45 million to the company by January 2012, of which $20 million has already been injected in October."
The company had been on the expansion mode and to ramp up capabilities in institutional equity research, sales and equity capital market, it had hired several senior level personnel last quarter.
This included Ratnesh Kumar who was appointed as an Additional Director and Managing Director on the board of Standard Chartered –STCI Capital Markets Limited on July 30, 2010. A BITS Pilani graduate who went on to take a management degree from FMS (Delhi), he was roped in from Anand Rathi Financial Services where he was serving as the CEO – Institutional Equities since February 2008.