DMI Finance, a non-banking finance company, today said it has bought 16 per cent equity stake in Alchemist Asset Reconstruction Company.
The investment amount has not been disclosed. It marks the entry of DMI Finance in the asset reconstruction space.
With this investment, DMI Finance is one of the first foreign entities operating in India to become a sponsor-shareholder in an asset reconstruction company.
Established in 2009, DMI Finance was founded by Mr Yuvraj C Singh and Shivashish Chatterjee, both former executives of Citigroup.
The equity investment in Alchemist ARC is a strategic acquisition for the company as it seeks to expand its presence and build a different model for fixed-income focused financial services in India.
Alchemist ARC, which was granted RBI certificate of registration in 2007, is one of the first private sector ARCs in India.