The parent of the asset management arm, Edelweiss Financial Services Ltd (EFSL), said the transaction values the mutual fund business at 57 times FY25 earnings, in line with the industry’s benchmark of 30 to 60 times. The deal is subject to approvals from the Securities and Exchange Board of India (Sebi) and the Competition Commission of India (CCI).
Growth momentum
Edelweiss MF, one of India’s fastest-growing asset managers, reported profit after tax of Rs 53 crore in FY25 and Rs 28 crore in the first quarter of FY26. Its assets under management climbed to Rs 1,52,200 crore as of June 30, 2025, growing at a compound annual rate of 44% over the past five years.Equity AUM alone has risen 53% in the period to Rs 72,600 crore, helping Edelweiss move from the 36th to the 13th rank among Indian mutual funds in a decade.
Strategic partnership
Radhika Gupta, Managing Director of Edelweiss MF, said WestBridge Capital’s strategic insights and ecosystem will accelerate Edelweiss MF’s next phase of growth.”The mutual fund opportunity in India is just taking off and we are confident that we can build Edelweiss MF into one of India’s most admired asset managers,” said Gupta.”We believe financialization of savings is a massive industry tailwind and strongly believe Edelweiss MF is very well placed to benefit from the same. We look forward to supporting the team in scaling the business further,” said Deepak Ramineedi, Partner at WestBridge Capital.Nomura Financial Advisory and Securities (India) acted as the exclusive financial advisor to EFSL. Khaitan & Co. advised EFSL and Edelweiss MF, while Trilegal acted as legal counsel to WestBridge.
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