KKR Sells, Mizuho Buys—Avendus Gets a New Financial Guardian

Strategic Expansion into India’s Financial Sector

Mizuho Financial Group is set to acquire Avendus Capital from KKR in a $700 million transaction, marking its largest investment in India.

The deal will see KKR exit its entire 60% stake, while Mizuho will own up to 70% of Avendus.

Avendus founders Kaushal Aggarwal and Gaurav Deepak will remain invested and continue managing operations.

Avendus’ Growth & Market Position

Avendus operates across financial advisory, capital markets, wealth management, and alternative asset management.

The firm posted a total consolidated income of ₹1,035 crore and a net profit of ₹170 crore for the first nine months of FY25.

Its investment banking division contributed over half of its pre-tax profits, followed by credit solutions and institutional equities.

Mizuho’s India Strategy & Competitive Landscape

The acquisition underscores Japanese financial groups’ increasing interest in India, following SMBC’s recent stake in Yes Bank.

Mizuho aims to strengthen its presence in India’s financial services sector, leveraging Avendus’ strong domestic and international footprint.

The deal follows months of negotiations, with private equity firms like Carlyle and TPG Capital previously showing interest.

KKR’s Exit & Investment Returns

KKR initially acquired its stake in Avendus in 2015 for ₹950-1,000 crore, making a 3.5x return in rupee terms over nine years.

The exit aligns with KKR’s broader strategy of portfolio optimization, shifting focus to new investment opportunities.

Future Outlook & Industry Implications

Mizuho’s entry into India’s financial sector is expected to intensify competition, particularly in investment banking and wealth management.

Avendus’ leadership will retain operational control, ensuring continuity in business strategy and client relationships.

The deal signals India’s growing appeal for global financial institutions, reinforcing its position as a key investment destination.

Sources: Economic Times, World News.