The transaction is still subject to regulatory approval, but the firm said in a statement that it could add some Rs1,100 crore ($200 million) to Birla Sun Life AM's assets under management, in addition to around 75,000 new customers.

"While we remain committed to building retail penetration for mutual funds, the acquisition also helps enhance our alternate assets with new offerings in portfolio management services, adding to our high net worth individual investor base," said A Balasubramanian, chief executive. 

Financial terms of the deal were not disclosed.

ING's decision to sell its local assets is in line with its exit strategy in Asia. In 2013, the Dutch banking group sold its 26 per cent stake in Vysya Life Insurance to Exide Industries. Early this year, the bank sold its Taiwanese asset management arm to Nomura, while in February it announced that it looking to shut down its asset management operations in the Middle East.