Edelweiss Financial Services Limited (EFSL) has announced that WestBridge Capital, a global investment firm with over $7 billion in assets under management, will acquire a 15% stake in Edelweiss Asset Management Limited (the asset manager of Edelweiss Mutual Fund) for a consideration of Rs 450 crore.
The deal values Edelweiss Mutual Fund (Edelweiss MF) at 57x price-to-earnings, broadly in line with the industry valuation range of 30x to 60x.
Taking to the social media platform X, Radhika Gupta, Managing Director and CEO of Edelweiss MF, said: I am delighted to share that Westbridge Capital is acquiring a 15% stake in Edelweiss MF. This is a special milestone – a vote of confidence in both what we have built and the dreams we have for the future. Thank you all for your love and support over so many years to team @EdelweissMF.”
.Edelweiss MF, one of EFSL’s key businesses, has emerged as one of India’s fastest-growing asset management companies. As of June 30, 2025, the fund house managed a total assets under management (AUM) of Rs 1,52,200 crore, registering a compounded annual growth rate (CAGR) of 44% over the past five years. Its equity AUM alone stands at Rs 72,600 crore, up 53% during the same period. The mutual fund reported a profit after tax (PAT) of Rs 28 crore in the first quarter of FY26, building on its FY25 PAT of ₹53 crore, underscoring strong momentum and operating leverage.
Over the past decade, Edelweiss MF has climbed from 36th to 13th position among Indian mutual fund houses, signaling its transformation into a credible, scaled, and competitive player in the industry. The latest transaction comes at an opportune time, as the AMC looks to consolidate its market presence and accelerate growth.
For EFSL, the deal represents a significant step in its broader objective of value creation and value unlocking within its financial services businesses. For Edelweiss MF, the entry of WestBridge Capital marks a strengthening of its growth trajectory and its evolution into a more institutionalized, independent asset management business. Meanwhile, WestBridge Capital gains a strategic entry into India’s high-growth mutual fund sector, which continues to benefit from the rising financialization of household savings.
Gupta added: “Edelweiss MF has scaled rapidly through focused execution – consistent fund performance, product innovation, and widening distribution strength. We are delighted to partner with WestBridge Capital – a likeminded and long-term partner – whose strategic insights and ecosystem will accelerate our 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.”
Deepak Ramineedi, Partner at WestBridge Capital, said: “Under Radhika’s leadership, Edelweiss MF has demonstrated excellent execution with a sharp focus on innovation. 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.”
The transaction remains subject to approvals from the Securities and Exchange Board of India (SEBI), the Competition Commission of India (CCI), and other customary clearances. Nomura Financial Advisory and Securities (India) Private Limited acted as the exclusive financial advisor to EFSL. Legal advisors on the deal included Khaitan & Co. for EFSL and Edelweiss MF, and Trilegal for WestBridge Capital.
NRIs in focus
Earlier this week, Edelweiss Asset Management Company (AMC) has inaugurated a branch at Gujarat International Finance Tec-City (GIFT City) alongside the launch of its Edelweiss India Multimanager Equity Fund – Series I. Structured as a Category III Alternative Investment Fund, the product blends 60% flexicap and 40% midcap strategies, curated through multiple managers to enhance diversification and risk-adjusted returns. Targeted at NRIs and global investors, the fund aims to tap India’s growing equity markets. Industry analysts view Edelweiss’s move as timely, leveraging GIFT City’s favourable tax, regulatory framework, and strategic positioning to expand its investor base and align with global capital flows.