Avanse Financial Set to Raise $250 Million

Company May Postpone Its IPO in Favor of Private Fundraise

- Priyamvada C. & Mansi Verma

Avanse Financial Services Ltd, a non-banking financial company (NBFC) backed by Kedaara Capital and Warburg Pincus, is looking to raise $200-250 million in a private round in which some of its existing investors will sell part of their stakes, three people with knowledge of the development said.

The new round will be largely secondary, and will include a small primary component as the company is well capitalized following a capital infusion by Kedaara Capital (₹200 crore), Mubadala Investment Company (₹1900 crore through its affiliate Alpha Investment Company LLC), Avendus PE Investment Advisors Pvt. Ltd (₹100 crore via its Avendus Future Leaders Fund II), and internal accruals in FY24.