Darashaw buys Tata Share Registry

MUMBAI: Darashaw Holdings has acquired a 51% stake in Tata Share Registry Ltd (TSRL), a share registry and human resources business process outsourcing (BPO) organisation. The new entity will be called TSR Darashaw Ltd (TSRDL) and it hopes to make inroads into the international market.

Darashaw, established in 1926, is one of the oldest broking houses in the country and has played a major role in the development of debt markets. Of late, however, its debt broking business has taken a beating with the advent of screen-based trading and a majority of institutions preferring to deal through the system.

Its other businesses include institutional equities and research, fund management, employee benefits management, investment banking and financial and management consultancy.

The marriage of the two groups is aimed at propelling the new entity to leverage each other’s customer bases and businesses. TSRL has about 150 clients whose accounts it handles. Besides, 25% of its revenue comes from BPO in HR-related activities. Darashaw has had a relationship with the Tata Group in the past. They have acted as services advisors, investment bankers and advisors to the group’s retirement benefit schemes.

“We are confident that TSRDL, apart from strengthening its presence in the chosen BPO verticals of the share registry, payroll and record-keeping, will effectively move into greater value addition areas such as knowledge process outsourcing (KPO). “The combine is also considering mutual fund registry as a future business opportunity,” said Dara K Mehta, who will be the vice-chairman of TSRDL.

K A Chaukar, the current managing director of TSRL, will be the new entity’s chairman. Yusuf Lanewala will join as the chief executive officer.