India-based Sundaram Business Services (‘SBS’) and BNP Paribas Securities Services have signed a joint-venture agreement to provide securities services in India. The new joint-venture will be called Sundaram BNP Paribas Securities Services.
The joint venture, which is 49% owned by BNP Paribas Securities Services and 51% owned by SBS, continues a partnership between the two groups established in 2005.
Sundaram BNP Paribas Securities Services will be headquartered in Chennai and will be provide securities services, including fund accounting and transfer agency to both domestic and off-shoreinvestors in India. In addition, BNP Paribas Securities Services will be the provider of banking services to the new entity. Subject to relevant regulatory approvals, the transaction is expected to be completed in the first quarter of 2009.
SBS is the business process outsourcing (‘BPO’) arm of Sundaram Finance, engaged in providing transaction processing services primarily to the financial services industry. SBS provides accounting services, auto and consumer loans, deposits and insurance related processing, accounts payable and payroll processing services. SBS has a presence in the domestic BPO market in the banking, financial services and insurance verticals.
SBS has, in the last few years, established a client base in Australia, where it provides back office support in the areas of accounting and compliance and administration of self-managed superannuation funds. In addition to continuing to focus on the Australian BPO market, SBS is also expanding its presence in the UK, Singapore and the Middle East.
D.C.