Sahara Group to launch Power Fund
Sahara Group is coming out with a mutual fund scheme to invest in equities and equity-linked instruments of power companies.
By PTI |
MUMBAI: Subroto Roy-owned Sahara Group is coming out with a mutual fund scheme to invest in equities and equity-linked instruments of power companies.
The objective of Sahara Power Fund would be to invest "in equities and equity-related securities of companies engaged in the business of generation, transmission, distribution of power or in those companies engaged directly or indirectly in any activity associated with power sector", said the draft document filed with the market regulator SEBI.
The launch of an open-ended Power Fund at this time assumes significance as many power sector companies are proposing extensive investments and the 11th Five-Year Plan (2007-12) has set a capacity addition target of about 78,000 MW.
The mutual fund, being sponsored by the Sahara India Financial Corporation Limited (SIFCL), has fixed the minimum subscription at a low Rs one lakh with the right to retain excess subscription.
As per the proposed offer document, an individual can invest a minimum amount of Rs 5,000 in Sahara Power Fund.
According to the draft document, SFCIL, which is headed by Sahara chief Subrata Roy, has not done well during 2006-07 and reported a decline in profit as well as in net worth.
According to AMFI, Sahara Mutual Fund has a total of Rs 216 crore of asset under management.
The document reveals that SIFCL skipped dividend for 2006-07 as profit dipped to Rs 17.75 crore from Rs 37.61 crore in the previous year and net worth declined to Rs 669.37 crore from Rs 703.95 crore during the same period.
The objective of Sahara Power Fund would be to invest "in equities and equity-related securities of companies engaged in the business of generation, transmission, distribution of power or in those companies engaged directly or indirectly in any activity associated with power sector", said the draft document filed with the market regulator SEBI.
The launch of an open-ended Power Fund at this time assumes significance as many power sector companies are proposing extensive investments and the 11th Five-Year Plan (2007-12) has set a capacity addition target of about 78,000 MW.
The mutual fund, being sponsored by the Sahara India Financial Corporation Limited (SIFCL), has fixed the minimum subscription at a low Rs one lakh with the right to retain excess subscription.
As per the proposed offer document, an individual can invest a minimum amount of Rs 5,000 in Sahara Power Fund.
According to the draft document, SFCIL, which is headed by Sahara chief Subrata Roy, has not done well during 2006-07 and reported a decline in profit as well as in net worth.
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According to AMFI, Sahara Mutual Fund has a total of Rs 216 crore of asset under management.
The document reveals that SIFCL skipped dividend for 2006-07 as profit dipped to Rs 17.75 crore from Rs 37.61 crore in the previous year and net worth declined to Rs 669.37 crore from Rs 703.95 crore during the same period.
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