Avanse Financial Services files DRHP with SEBI for ₹3500 crore IPO
Avanse Financial Services files DRHP with SEBI for ₹3500 crore IPO
Non-banking financial company Avanse Financial Services has filed draft papers with the Securities and Exchange Board of India (SEBI) to raise up to ₹3500 crore by initial public offering. The proposed IPO includes a fresh issue of equity shares amounting to ₹1000 crore and an offer for sale (OFS) of up to ₹2500 crore by existing shareholders.
The selling shareholders involved in the OFS include Olive Vine Investment Ltd, International Finance Corporation (IFC), and Kedaara Capital Growth Fund III LLP. Olive Vine Investment Ltd is the Promoter of Avanse Financial Services.
The IPO proceeds will bolster Avanse's capital base to support future business growth and asset expansion initiatives.
The book-running lead managers for the issue include Kotak Mahindra Capital Company, Avendus Capital Private, J.P. Morgan India Private, Nomura Financial Advisory and Securities (India) Private, Nuvama Wealth Management (formerly known as Edelweiss Securities Limited), and SBI Capital Markets.
The NBFC specialises in education financing in India. As per the CRISIL Report, Avanse Financial Services is the second largest education-focused NBFC in India by assets under management (AUM) as of March 31, 2024. The company has also secured the second-highest disbursements during the Financial Year 2023 and recorded substantial profits in the Financial Year 2024 among peers in the education financing sector.