Shriram Asset Management Company Limited (SAMC) has announced a series of significant changes to its board structure and ownership, marking a new chapter in the company's journey. The asset management firm has completed a preferential allotment of shares to Sanlam Emerging Markets (Mauritius) Limited (SEMML) and executed a Shareholders' Agreement, reshaping its governance and strategic direction.

Preferential Allotment and New Co-Promoter

SAMC has successfully concluded a preferential allotment of 38,88,889 equity shares to SEMML at ₹270.00 per share, raising a total of ₹105.00 crore. This strategic move has resulted in SEMML acquiring a 23% stake in the company, elevating its status to that of a co-promoter alongside Shriram Credit Company Limited (SCCL).

Shareholders' Agreement and Governance Changes

The company's Board of Directors has approved a Shareholders' Agreement between SCCL, SEMML, and SAMC. This agreement outlines the terms governing their relationship and the management of SAMC's business affairs. Key provisions include:

• Board composition of up to 15 directors
• SCCL and SEMML each have the right to nominate two non-executive directors
• Pre-emptive rights for both SCCL and SEMML
• Tag-along rights for SEMML in case of ownership changes

Board Restructuring

In a significant overhaul of its leadership, SAMC has witnessed several changes to its board composition:

Appointments

• Mr. Pragadasan Shanmugam: Appointed as Non-Executive Non-Independent Director
• Ms. Hakkithimmanahalli Krishna Gayathri: Appointed as Non-Executive Independent Director
• Ms. Roopa Venkatkrishnan: Appointed as Non-Executive Independent Director

Resignations

• Mr. Marc Scott Irizarry: Resigned as Independent Director
• Mr. Prem Haroomal Samtani: Resigned as Independent Director
• Mr. Dhruv Lalit Mehta: Resigned as Director

Leadership Continuity

Mr. Kartik Jain has been re-appointed as Managing Director and Chief Executive Officer for a three-year term, from January 09, 2026, to January 08, 2029, ensuring leadership stability during this transition period.

Changes in Senior Management

Ms. Pratima Talwad has been appointed as Head of Institutional Sales, bringing nearly 27 years of experience in sales and institutional business development to the company.

Financial Performance

For the quarter ended June 30, 2025, SAMC reported:

Amendments to Articles of Association

The company has proposed amendments to its Articles of Association, introducing new provisions related to board composition, director appointments, and decision-making processes. These changes are subject to shareholder approval.

Outlook

These strategic moves signal SAMC's intent to strengthen its market position and governance structure. The partnership with Sanlam, a global financial services group, could potentially bring in international expertise and open new avenues for growth in the competitive asset management industry.

As SAMC navigates through these changes, the focus will likely be on leveraging the new partnership to enhance its product offerings, expand its market reach, and improve its financial performance in the coming quarters.

Shriram Asset Management Company has released its financial results for the first quarter, revealing a mixed performance with declining profits but growing revenue and assets under management (AUM).

Financial Performance

UTI AMC reported a consolidated profit after tax of ₹237.00 crore for the first quarter, marking a 6.6% decrease from ₹254.00 crore in the same quarter of the previous year. Despite the profit decline, the company saw a 2.8% increase in revenue from operations, which rose to ₹547.00 crore from ₹529.00 crore year-over-year.

Assets Under Management

The company's total group assets under management stood at ₹21.93 lakh crore. UTI Mutual Funds, a key component of the group, reported a quarterly average asset base of ₹3.61 lakh crore.

Management Commentary

CEO Imtaiyazur Rahman highlighted the company's performance, noting significant AUM growth and steady systematic investment plan (SIP) inflows during the quarter. These positive trends in AUM and SIP inflows suggest continued investor confidence in UTI AMC's fund offerings.

Stock Performance

UTI AMC shares closed 3.6% lower at ₹1,417.00 on the National Stock Exchange (NSE) following the announcement of the quarterly results. Despite this daily decline, the stock has shown resilience, with year-to-date gains of 3.75%. This performance slightly lags behind the benchmark Sensex index, which has posted gains of 4.7% over the same period.

The company's ability to grow its revenue and maintain strong AUM figures in the face of profit pressures demonstrates its resilience in a competitive asset management landscape. Investors and analysts will likely be watching closely to see how UTI AMC navigates the challenges and opportunities in the coming quarters.