Indian wealth manager White Oak Capital has received approval from the Securities and Exchange Board of India to establish a mutual fund business.

The approval follows the firm’s agreement to buy YES Asset Management from YES Bank in September 2020.

The approval by Indian market regulator allows White Oak Capital’s wholly owned subsidiary GPL Finance and Investments to transfer mutual fund businesses from YES Bank.

GPL will replace the bank as the sponsor of Yes Mutual Fund.

The transaction is expected to be concluded in the next few weeks.

Aashish Somaiyaa will become the CEO of AMC following the transaction.

Somaiyaa said: “We continue to build a seasoned team of industry professionals who will leave no stone unturned to provide best in class investment products to retail investors.

“We will look forward to covering India well beyond the metro cities including B30 locations, to achieve higher inclusivity through omni-channel presence across physical, virtual, and digital channels.”

White Oak Capital offers investment management and advisory services for equity assets.

In addition, it also provides investment services through a range of fund vehicles domiciled in India, Mauritius, Ireland and the UK to individual and institutional investors in India and globally.

Commenting on the development, White Oak Capital founder Prashant Khemka said: “We have instituted a performance-first culture at our firm, earning the confidence of investors globally who have entrusted us with assets of over INR 40,000 crores in the past four years. We are excited about offering our investment expertise to retail investors across the country.”

Recently, Indian mortgage lender Indiabulls Housing Finance secured regulatory approval from the country’s competition commission to offload its mutual fund business.

Earlier this month, The Economic Times reported that the British lender HSBC is in talks to purchase L&T Finance’s mutual fund arm, L&T Mutual Fund, to bolster its asset management business in India.