Deals

Our horizons are now wider than before and our ambitions have new adrenalin to meet global challenges. We firmly believe that the individually strong brands of SMC and Sanlam, coupled with the expert and experienced teams, will set new standards in the financial services space and contribute enormously to the success of this new venture.
Subash Aggarwal, Managing Director, SMC Global Securities

Completion Date
September 2008

Transaction Type
Management Buyout

Transaction Value
€43 million

Lead Partner
Gopal Agrawal
Telephone + 91 22 6634 6666

Background
SMC is the fourth largest securities brokerage house in the retail category in India and fourth largest in terms of trading terminals. With a pan India network of over 1500 branches and a clientele of 400,000+. SMC is also one of the leading arbitragers in the country.

Sanlam Group is the second largest listed financial services group in South Africa, with a market capitalization of US$8 billion, and total assets under management and administration of US$78 billion. Sanlam Investments comprises 14 specialized investment management businesses each of which is a leader in its area. Key businesses include, Sanlam Investment Management, the group’s asset manager and Sanlam Private Investments, the private client business.

Under the deal both the parties will be set up of two new businesses in India – a Wealth Management Company and an Asset Management Company.

What Difference Did We Make?
Singhi Advisors acted as a exclusive advisor to SMC, provided advice on the deal structuring and find the right partner already presence in Asset Management and Wealth Management space.

Singhi successfully led from the front and carried out negotiations in the areas of valuations and business agreements and hand-held SMC through the entire transaction.

Singhi was able to get the right valuation, structure and partner (read Sanlam) to SMC for their foray into Asset Management and Wealth Management.