Edelweiss Financial Services has engaged Nomura Holdings to assist in selling a minority stake in its mutual fund business. The Mumbai-based financial group is reportedly exploring the sale of a 25-35% stake in the unit, aiming for a valuation of $700-800 million for the entire business, as per sources familiar with the matter.
The company’s mutual fund arm manages assets worth approximately Rs 1.42 lakh crore (around $16.8 billion) as of October 2024. Edelweiss has achieved this scale through organic growth and acquisitions, including its 2016 acquisition of JPMorgan Chase’s mutual fund schemes in India.
These may also include global asset management firms, though even the stake size and valuation might be subject to change. The chief executive of Edelweiss Mutual Fund, Radhika Gupta, said that the firm is open to bring in strategic minority investors whose values and vision are similar to that of the company.
Edelweiss Financial Services’ products range from loans and asset management to insurance. Its shares have gained 36% this year, valuing the group at about $1.2 billion.
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Source: Moneycontrol
News Desk
