The Times Of India, 4 Nov 2008, Partha Sinha
"MUMBAI: The recent market turmoil has claimed its first victim. Lotus Mutual Fund, the asset management company floated by Temasek of Singapore and Sabre Capital, is on the block, weighed down by losses in its investments and asset-liability mis-matches in its portfolio, market sources said."
"Interestingly, the deal which was being negotiated till late into Monday night, requires that Temasek and Sabre Capital jointly will guarantee losses worth at least Rs 100 crore to Religare Aegon, post-deal. This is to take care of any future losses while liquidating Lotus MF's assets. So in effect, the deal is being structured in such a way that Religare Aegon MF will get Lotus MF's assets and also get about Rs 100 crore rather than paying any money to Lotus MF's sponsors (shareholders), sources said.
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Related News:
Religare AEGON in talks to buy Lotus MF - Business Standard, 4 Nov 08
Temasek Holdings to Sell Indian Funds Management Unit (Update1) - Bloomberg, 4 Nov 08
