The Hindujas have acquired 40 percent stake in Chennai-based stockbroking company, Paterson Investment and Consultancy Services (Patco). The stakes have been picked up by the Switzerland-based transnational bank of the Hinduja Group, Amas Bank for an undisclosed amount. The acquisition of Patco stakes will enable the Hinduja Group to expand its reach in India's financial services sectors.

 

The largest stockbroking firm in south India, Patco has incurred considerable reduction in its market share after the introduction of electronic trading system in the country in late 1990s. Chennai-based stockbroking company claims to have more than 20 retail branches across India, majority of which are in the South.

Under the new agreement, Ivan Schouker, chief executive officer (CEO), Amas Bank, Christophe Morvan, managing director, Amas Bank, and K Muralidharan of Amas Bank will join the Patco board.

 

The Hinduja Group will have access to explore the non-banking finance and asset management businesses in India with the acquisition of the stakes. The group, headed by London-based Srichand Hinduja, has been trying to get into asset management, stockbroking and NBFC segments for quite some time.