Computer Age Management Services (CAMS), a leading technology-driven financial infrastructure and services provider, has announced a strategic investment of ₹4.00 crores in its wholly-owned subsidiary, CAMS Financial Information Services Private Limited (CAMS FIS). This move, disclosed in a regulatory filing, is aimed at bolstering the subsidiary's financial position and ensuring compliance with regulatory requirements.

Investment Details

The investment falls within a pre-approved limit of ₹8.00 crores, as sanctioned by the CAMS board during its meeting. This capital infusion is primarily intended to maintain the minimum net worth of ₹2.00 crores required at all times for CAMS FIS, in accordance with Account Aggregator regulations.

About CAMS Financial Information Services

CAMS FIS operates in the NBFC - Account Aggregator sector, offering a platform service that facilitates the sharing of consenting customers' financial asset data between Financial Information Providers (FIPs) and authorized Financial Information Users (FIUs). The subsidiary has shown significant growth in recent years, with its turnover increasing from ₹2.66 lakhs to ₹148.14 lakhs.

Transaction Details

The investment transaction is classified as a related party transaction, given that CAMS FIS is a wholly-owned subsidiary of Computer Age Management Services. The company has confirmed that the transaction is conducted at arm's length. The shares are being acquired at face value, with CAMS maintaining its 100% shareholding in CAMS FIS post-investment.

Regulatory Compliance

This strategic move by CAMS aligns with its commitment to regulatory compliance and strengthening its subsidiary's financial foundation. The investment not only ensures that CAMS FIS meets the regulatory net worth requirements but also positions it for potential growth opportunities in the evolving financial services landscape.

Computer Age Management Services continues to demonstrate its commitment to supporting its subsidiaries and maintaining a strong presence in the financial infrastructure and services sector. This investment in CAMS FIS underscores the company's focus on regulatory compliance and strategic growth initiatives within its group companies.

Computer Age Management Services Limited (CAMS), a key player in the Indian financial services sector, has seen a significant change in its shareholding structure. FMR LLC and FIL Limited, along with their subsidiaries, have reduced their stake in the company from 10.077% to 8.07%.

Stake Reduction Details

The reduction in shareholding occurred through a combination of open market transactions and inter-se transfers:

• Total shares sold: 959,623
• Open market transactions: 868,156 shares
• Inter-se transfers: 91,467 shares

The disposal resulted in a decrease of the companies' total shareholding from 4,952,082 shares to 3,992,459 shares.

Fund-wise Breakdown

The holdings are managed through various funds, with Fidelity Emerging Markets Fund maintaining the largest portion at 2.79%. Here's a breakdown of the top holdings:

Regulatory Compliance

The transaction was reported in accordance with regulation 29(2) of SEBI (Substantial Acquisition of Shares and Takeovers) Regulation 2011. The regulatory filing was submitted to both the National Stock Exchange of India and BSE Limited, where CAMS is listed.

Impact on Share Capital

Following this transaction, the equity share capital of Computer Age Management Services Limited stands at 49,474,767 shares, as per the latest filing to the Stock Exchange under Clause 35 of the listing Agreement.

This move by FMR LLC and FIL Limited represents a significant shift in the ownership structure of CAMS, potentially impacting the company's investor composition and market perception.