EAAA Alternatives, which is the alternative investment subsidiary of Edelweiss Financial Services, has filed its draft papers with Securities and Exchange Board of India (SEBI) for an initial public offering.
According to the draft papers, the promoter Edelweiss Securities will sell shares worth up to $177 million or Rs 1,500 crore. Currently, Edelweiss Securities holds a 90.1% stake in the company.
In December 2023, Edelweiss had disclosed that it is looking to offload a 10-20% stake in EAAA, or the erstwhile Edelweiss Alternatives Asset Advisors.
According to the draft papers, all the proceeds from the listing will be received by the promoter Edelweiss Securities. While EAAA will not receive any proceeds, the listing of the its shares is expected to enhance visibility and brand image, in addition to providing liquidity.
EAAA is set to be the second such alternative fund manager after IL&FS Investment Managers to go public. Similarly, Mumbai-based alternative investment management firm Nisus Finance is gearing up for its IPO, which is set to open for retail investors on Wednesday.
EAAA handles an asset under management of nearly $7 billion as on 30 September. It manages performing credit, special situations, and infrastructure yield funds. The company specialises in private debt in India, and launched its first $230 million private debt fund in 2010.
The company counts investors like global pension funds, insurance companies across US, Canada, Europe, Australia, besides domestic institutions and endowments, family offices, high net worth individuals as limited partners in its funds.