New Delhi, March 9 Edelweiss Financial Services announced on Monday that it has completed the sale of 4.4 per cent of common equity in its subsidiary, EAAA India Alternatives, for ₹375 crore.
The proceeds have been allocated to key Limited Partners and select individual investors, Edelweiss Financial Services said in a filing to stock exchanges.
"While the initial intention was to place around 4 per cent, demand significantly exceeded this, and we chose to restrict the placement to 4.4 per cent," the company said.
The move comes as EAAA prepares for its stock market debut.
EAAA, which filed preliminary papers with the markets regulator, Sebi, in January to raise ₹1,500 crore through an initial public offering (IPO), is awaiting regulatory approval.
The proposed issue will be entirely an offer-for-sale (OFS) by the Edelweiss Group, according to the draft red herring prospectus (DRHP). As a result, the company will not receive any proceeds from the IPO, with the entire amount going to the selling shareholder.
Explaining the rationale for listing, Edelweiss said that as a listed entity, EAAA will be better positioned to pursue growth and further strengthen its institutional character.
"We believe that listing platforms like EAAA will help institutionalize the alternatives segment, enhance transparency, and broaden access to capital for differentiated investment strategies," it added.
Established in 2008, EAAA India Alternatives is among India's leading alternatives platforms, with over 15 years of experience in managing long-term, patient capital.
EAAA has assets under management (AUM) of ₹68,175 crore and fee-paying assets under management at ₹41,920 crore.