UTI MUTUAL FUND TO RAISE USD 300 MILLION IN DUBLIN NEXT MONTH

UTI mutual fund is set to launch a second offshore equity fund to raise USD 300 million in Dublin next month, shortly after mopping up USD 300 million through a similar fund last year which tapped vast European investments.

UTI mutual fund has already raised USD 300 million through a similar fund launched in Dublin in December 2014, which tapped the vast European investments.
The managing director of UTI also estimated USD 2 to 3 billion investment flow into India’s insurance sector in the next six to 12 months after the Upper House of Parliament approved a bill increasing foreign investor participation in the sector up to 49 per cent from 26 per cent previously.

They also expect consolidated Foreign Portfolio Investment (FPI) in India to double on the year in the current fiscal year 2015-16, given the strong economic fundamentals and the government’s plans to disinvest from the public sector units.
The government’s plan to disinvest PSU for Rs 70,000 crores (over USD 11 billion) as well as an anticipated initial public offers (IPOs) by some of the leading Indian companies, especially those in the infrastructure sector. The disinvestment would attract 30-50 per cent investment. There is an expectation of increasing number of local IPOs in the future though such fund raising exercises have been slower in the recent years.