Avanse Financial Services Raises ₹1,000 Crore Led by Mubadala Investment Company
Avanse Financial Services Ltd. (Avanse), an education-focused non-banking financial company (NBFC), announced that it has raised a primary capital of ₹1,000 crores. This round of funding was led by Mubadala Investment Company (“Mubadala”), an Abu Dhabi-based investment company, with participation from Avendus PE Investment Advisors Private Limited via its fund, Avendus Future Leaders Fund II.
The fund infusion will enable Avanse to strengthen its position in the rapidly evolving education financing segment by focusing on creating unique customer experiences and achieving sustained profitable growth, as per a company statement.
Avanse Financial Services, through its decade-long journey, has fulfilled the educational dreams of Indian academic aspirants across various countries, reads the company statement. As of December 2023, the company’s AUM stands at ₹12,147 crore.
Commenting on this development, Amit Gainda, Managing Director & CEO, Avanse Financial Services, said, “The growth capital will enable us to strengthen our brand proposition, integrate digital solutions, and innovate to build more depth into our product range as we work towards delivering greater stakeholder value.”
He further added, “The influx of capital will assist us in fulfilling a larger number of academic aspirations. Our customer-centric and result-oriented teams are equally passionate about empowering students towards upward mobility.”
Nomura Financial Advisory and Securities (India) Private Limited acted as the exclusive financial advisor to the company; AZB & Partners represented the company; and Warburg Pincus provided legal counsel. Khaitan & Co. and Latham & Watkins LLP acted as legal counsel to Mubadala. JSA acted as legal counsel to Avendus Future Leaders Fund II.
Avanse Financial Services is also planning to go public in 2024, according to a report by Moneycontrol. The company aims to raise Rs 4,000 crore in the IPO. If finalized, this will be the first listing of an education-based NBFC in India.
