Edelweiss Financial shares gain 4% on JP Morgan MF deal

Shares of Edelweiss Financial Services rose by nearly 4 per cent today as its subsidiary Edelweiss Asset Management announced the acquisition of bigger rival JP Morgan's mutual fund business in India.
The stock climbed 3.87 per cent to Rs 60.30 on BSE.
At NSE, shares of the company went up 3.86 per cent to Rs 60.40.
Edelweiss Asset Management yesterday announced the acquisition of JP Morgan's mutual fund business in India, which has assets worth over Rs 7,000 crore, making the American fund house 11th foreign major to exit the over Rs 13 lakh-crore industry in the last eight years.

Though the companies did not reveal the deal size, citing confidentiality, market sources said the Wall Street major netted around Rs 110 crore from the deal.
Edelweiss will acquire all onshore fund schemes managed by JP Morgan AMC India including country-based onshore mutual fund business and the international fund of funds.