Abu Dhabi’s sovereign wealth fund Mubadala Investment Company will be part of a group of entities deploying Rs 11 billion ($132.71 million) into US private equity investor Warburg Pincus-backed Avanse Financial Services, Economic Times, an Indian financial daily reported, citing informed sources.

Other investors include Kotak Pre-IPO Opportunities Fund and Avendus Future Leaders Fund, the newspaper said.

The proposed deal will value the second-largest domestic private sector non-banking financial company (NBFC) in the education loan segment at Rs 8 billion.  

Founded in 2012, Avanse is reported to have an asset under management (AUM) at nearly INR 8,000 crore as of December 2022.

In the first nine months of 2023, loan disbursement stood at about INR 4,850 Cr, growing almost three times year-on-year.
Avanse has financed over 400,000 students across 4,000 institutes and 30,000 courses in 50 countries, the report said.
Last month, Abu Dhabi-registered Seventy Second Investment Company, a wholly owned unit of Mubadala’s Mamoura Diversified Global Holding, received clearance from India’s fair-trade regulator to buy a stake in one of India’s biggest healthcare facilities, Manipal Health Enterprises.

In December 2023, Mubadala was among the companies that submitted bids to buy the Canada Pension Plan Investment Board’s 50% stake in India-based IndoSpace Core.

(Editing by Seban Scaria seban.scaria@lseg.com )