📷 Image Credits: Moneycontrol
Avanse Financial Services, a prominent player in the education-focused NBFC sector in India, has recently filed for an initial public offering (IPO) worth Rs 3,500 crore. The IPO comprises a fresh issue of Rs 1,000 crore and an offer for sale of up to Rs 2,500 crore by key stakeholders.
The company, backed by Warburg Pincus, Kedaara Capital, and IFC, has seen tremendous growth in recent years, positioning itself as the second largest education-focused NBFC in the country by assets under management as of March 31, 2024.
Avanse’s financial performance has been robust, with a significant increase in its assets under management, total income, and net profit over the past few years. The firm’s commitment to providing loans across various segments such as student loans, loans for professionals, and institution loans has contributed to its strong market position.
With plans to utilize the proceeds from the IPO to enhance its capital base and meet future growth requirements, Avanse aims to further solidify its presence in the education financing sector. The involvement of premier investment banks such as Kotak Mahindra Capital, Nomura, JP Morgan, Avendus Capital, Nuvama, and SBI Capital in the IPO underlines the confidence in Avanse’s business model and growth prospects.
Overall, Avanse Financial Services’ IPO filing signifies a significant milestone for the education financing industry in India, showcasing the sector’s resilience and potential for further expansion.
