UTI Mutual Fund open to acquisition of domestic fund house

The country's fourth-largest asset manager, UTI Asset Management Company, today said it is open to acquisition if some good opportunity is available. 

"We can do it ... We are not averse to acquisition," UTI AMC Chairman and Managing Director U K Sinha told PTI.      

The fund house can actively pursue if some good opportunity come up, he said, adding "we have done in past we can do it even today if something good comes up."      

In 2004, he said, UTI acquired IL&FS Mutual Fund which resulted in transfer of Asset Under Management over Rs 1,800 crore.      

The fund house has comfortable liquidity. There is no immediate need to raise capital, he said.      

In April, UTI AMC's average asset under management increased by Rs 4,616.77 crore to Rs 54,489.99 crore.      

Sinha said the current fiscal would be a difficult year for the industry and there would be consolidation.      

Fresh money is not coming in a big way in the market as people are sceptical and cautious, he said.      

However, thing would start looking up after the first half, he added.      

On stake sale, Sinha said it will divest 26 per cent stake to a strategic partner by August this year.