BAJAJ Finserv (BFS), the financial services arm of the Bajaj Group is likely to start its mutual fund company by December 2010. "The application is still with Sebi. The asset management company should be operational by the end of this calendar year," Bajaj Finserv managing director Sanjiv Bajaj said.
Allianz Global Investors and Bajaj Finserv will hold a 51% and 49% stake, respectively, in the equally managed proposed venture, he said.
Bajaj Finserv already has a partnership with the Allianz Group of Germany for its life insurance and general insurance businesses.
Besides, the financial services firm is into vehicle finance through its subsidiary Bajaj Auto Finance. For the third quarter ended December 2009, Bajaj Finserv posted a nearly threefold jump in net profit at Rs 34.88 crore against Rs 12 crore in the same quarter a year ago.
Income from operations rose to Rs 119.25 crore for the third quarter, against Rs 85.85 crore in the same period last fiscal.
Among verticals, life insurance business of Bajaj Finserv posted Rs 154 crore profit in the third quarter against Rs 30 crore in the same quarter a year ago, registering over five-old increase. At the same time, vehicle finance arm Bajaj Auto Finance posted a 145% surge in net profit at Rs 27 crore compared with Rs 11 crore in the same quarter the previous fiscal.
