With a view to commit more funds for a digital asset management platform Karvy Fintech, the private equity firm General Atlantic has committed to invest a minimum of $100 million in Hyderabad-based Karvy Fintech, reported Inc42.
“General Atlantic has a commitment to the company in the form of a line of $100 Mn, which Karvy can draw upon, if and when required, both for investing in capital expenditure (capex) and for making acquisitions,” Shantanu Rastogi, managing director of General Atlantic, said.
Earlier in November 2018, the private equity firm General Atlantic had already bought a majority stake in Karvy Fintech.
Karvy Fintech is a global fintech company with services ranging across mutual funds, stock trading, corporate registry, and national pension system among others. The company is also said to be working on expanding into insurance, and alternate funds space.
“We are also willing to put in far more if a large acquisition opportunity comes about,” Rastogi added.
“While mutual funds will remain one of the important components of the business, there will be several other components such as global business and global fund services and back-office services for pension funds, private retirement schemes and employee provident funds, which will also form a significant share of our sales,” Ganesh V, managing director and chief executive, Karvy Fintech, said.
The company Karvy Fintech also claims to process nearly 100 Mn annual transactions for about 100 clients across India and Southeast Asia.