Centrum Group sells forex biz to Ebix for Rs 1,200 crore
Mumbai: Diversified financial services player Centrum Group has decided to exit the forex business under brand name Centrum Direct by selling it to Atlanta-based Ebix Inc for around Rs 1,200 crore.
Nasdaq-listed Ebix has over 50 offices across five continents and offers on-demand software and e-commerce services to insurance, financial and healthcare industries. As part of the deal, the entire Centrum Direct team and assets will be transferred to Ebix and will become a part of EbixCash, an end-to-end financial exchange, the Jaspal Bindra-led company said. The deal, subject to shareholder and regulatory approvals, is expected to be closed in 60 days.
It can be noted that in 2017, Centrum had divested 18.5 per cent of its stake in Centrum Direct to a group of private equity investors including Jacob Ballas, New York Life and Evolvence. City-based Centrum Direct, which handled transactions worth Rs 10,000 crore in FY18, has a customer base of over 3 million and offers services like sale and purchase of forex, overseas remittances, travel cards and travelers cheques.