Mizuho’s $800 Million Bet: Why This Japanese Bank Wants Avendus

Japan’s Mizuho Financial Group is about to make a big move in India. The bank is close to buying a majority stake in Avendus Capital, one of India’s top investment banks. If this deal goes through, it could be worth around $800 million and would give Mizuho a strong foothold in the Indian financial market.

 

What’s happening?

 

Mizuho is negotiating to buy KKR’s 63% stake in Avendus. There’s talk that Mizuho might also pick up shares from other investors, which could push its ownership closer to 70%. This isn’t just a random buy—Mizuho has been looking to grow outside Japan, and Avendus gives them access to India’s fast-growing market for investment banking, wealth management, and mergers and acquisitions.

 

Why Avendus?

 

Avendus has built a solid reputation since it started in 1999. In the first nine months of the last financial year, it pulled in over Rs 1,000 crore in revenue and posted a healthy profit. KKR, the current main owner, has been with Avendus since 2015 and is set to make a nice profit on the sale.

 

Why does this matter?

 

This deal isn’t happening in a vacuum. Japanese banks have been showing more interest in India lately. Just recently, Sumitomo Mitsui bought a chunk of Yes Bank. If Mizuho’s deal goes through, it could open the door for more international investment in India’s financial sector.

 

Sources: Times of India, Economic Times, Asia Nikkei