Mumbai, Nov. 29: Man Financial, the brokerage division of Man Group plc, has completed the acquisition of Refco’s 70.15 per cent stake in Refco-Sify Securities India Ltd. Sify will retain its existing 29.85 per cent holding in the joint venture.

Man Financial acquired Refco LLC through an auction initiated under the US bankruptcy process. Simultaneously, it completed certain key stages in acquiring Refco’s stake in Refco-Sify Securities India, including a shareholder agreement with Sify. Under the pact, Sify was to retain its existing share in the joint venture.

Man Financial is awaiting regulatory approvals for acquiring a controlling interest in the company. A Refco-Sify Securities statement said in all other respects, preparations for Man Financial’s foray into India are complete.

“The Indian company will change its name to Man Financial-Sify Securities India Pvt Ltd as soon as the permissions for a change of control are received. A similar approach is being adopted for Refco Capital India Pvt Ltd, which is a wholly owned subsidiary of Refco-Sify Securities and has the second NSE membership,” the statement added.

Man Financial CEO Kevin Davis said: “The company’s successful proposal earlier this month to acquire Refco’s assets included its majority holding in Refco-Sify Securities India. We have since moved forward rapidly to complete the acquisition of this stake with the active co-operation of Sify. We have now reached an important stage where our acquisition of the Indian business is conditional solely on securing formal approvals of the change of ownership from regulatory authorities.”

According to Sify managing director R. Ramaraj, “Man Financial has a global reputation for financial strength and prudence, and are leading players in world’s largest futures and options exchanges. We are delighted to work with Man and look forward to working with them to expand the India business in a fast growing market.”

On the other hand, Refco-Sify Securities managing director Vineet Bhatnagar said the acquisition of Refco assets/companies by Man Financial will create one of the strongest platforms in the global exchange-traded derivatives space and the benefit of such a strength will ensure tremendous value for customers.

Man Financial, which has not provided brokerage services directly in the Indian financial markets, acts as a broker of futures, options and other equity derivatives for both institutional and private clients.