Mumbai, Jul 31: US-based Private Equity major Warburg Pincus on Wednesday announced that it has acquired controlling equity stake (almost 80 percent ) in Avanse Financial Services Limited (Avanse), the education finance arm owned by Wadhawan Global Capital.
Additionally, as part of this transaction, Warburg and the existing shareholder 'International Finance Corporation (IFC)' would infuse Rs 300 crore in Avanse to further strengthen its market position and provide growth impetus. Avanse is a new age, fast-growing education focused Non-Bank Finance Company (NBFC) with a vision to build a customer centric, digitally agile NBFC focused on profitable growth with leadership position in education financing.
Avanse started its journey in 2013 and since then has been able to fulfill education dreams of over 30,000 academic aspirants across 6,500 courses in over 2,000 institutes across 45 countries. Avanse has also provided growth and working capital to 315 educational institutes benefitting over 8 lakh students. The company has assets under management in excess of Rs 2700 crore.
Mr Amit Gainda, CEO, Avanse said, 'At Avanse, we are excited to partner with Warburg Pincus. Our Association with a long term and committed partner like Warburg Pincus, allows Avanse to create a positive impact in the ever evolving education financing market. We are committed to make education financing seamless and affordable for every deserving Indian student.'
Mr Narendra Ostawal, Managing Director, Warburg Pincus said, 'We believe that specialised education financing players, like Avanse, will play a strong role in helping meet aspirations of young Indians. Warburg Pincus has a deep history in backing talented management teams and looks forward to working with Amit and the management team. The primary capital infusion will meaningfully expand the company's net worth. We expect the company’s stakeholders, including lenders and rating agencies, to welcome the ownership transition to a long term, well capitalised and patient investor in Warburg Pincus.' (UNI)