Centrum to divest stake in money exchange biz to EBIX Inc for Rs 1,200 cr

Financial services player Centrum Group today said it will divest its entire stake in money exchange business Centrum Direct (CDL) to EBIX Inc for Rs 1,200 crore.

Atlanta-based EBIX Inc is an international supplier of on-demand software and e-commerce services.

The entire CDL team and assets will be transferred to EBIX Inc and will become a part of EbixCash, an end-to-end financial exchange, the company said in a statement.

The agreement is subject to its shareholders and other regulatory and commercial approvals.

"With more customers opting for technology enabled platforms, EBIX Inc has the right technological capabilities, a global footprint and a large resource base, to make an ideal home for CDL," Centrum Group Executive Chairman Jaspal Bindra said.

The sale proceeds will provide Centrum Group a significant resource base to strengthen core businesses of wealth management, institutional and retail broking, investment banking, insurance and our lending verticals, the company said.

In 2017, Centrum had divested 18.5 per cent of its stake in CDL to a group of PE investors Jacob Ballas, New York Life and Evolvence.