KFin Technologies claims to be the market leader in providing registry and transfer agent services to mutual funds in India. Besides asset management firms, it also provides similar solutions for alternative investment funds, wealth managers and corporates. Private sector lender Kotak Mahindra Bank has agreed to acquire a 9.98% stake in KFin Technologies. KFin serves 25 of the 44 asset management firms in India, and services 23 mutual fund and pension managers across Asia, including Malaysia, Philippines, Singapore, and Hong Kong. It also serves over 300 AIFs schemes launched by over 100 fund managers, along with over 550 listed and more than 3,700 unlisted corporates with over eight crore folios in India.
AIFs are privately pooled investment vehicles established or incorporated in India, which collect funds from Indian and/or foreign investors. These include private equity funds, venture funds, social funds and debt funds operating in the country. Besides, the company is also one of the two central record keeping agencies under the National Pension System in India and is expanding in insurance transaction processing and fund administration. The development comes as American private equity fund General Atlantic, which currently holds 83.25% stake in KFin Technologies (formerly Karvy Fintech), plans to cut down its holding to almost half.