M Vinod Kumar, co-founder of Veda Corporate Advisors Pvt. Ltd, has left the firm to set up his own entity, ending his 25-year-old association with C Venkat Subramanyam, the other co-founder of the Chennai-based mid-market investment banking firm.
Kumar and Subramanyam confirmed the development to VCCircle. Kumar said the separation was amicable.
Three other executives of Veda Corporate Advisors will be joining Kumar in his new venture, which will be named within a few days, he said.
Veda was founded by Subramanyam and Kumar in 2003. Srikanth Narasimhan, another co-founder and director, joined the firm in 2005. Subsequently, Shivraj Shekar and Vijay Kaushik also joined the firm and are now part of the firm's board.
Kumar and Subramanyam jointly hold a 75% stake in Veda. Others in the firm’s leadership team, including Narasimhan, own the remaining stake.
Both Kumar and Subramanyam declined to comment on how the shareholding structure will change.
“We have not discussed the modalities,†Kumar said. “There is going to be a requirement to buy me out,†he added.
The development was earlier reported by Mint and The Times of India.
Prior to founding Veda, Subramanyam and Kumar had co-founded Mantra Consultants in 1998. In 2001, Mantra was acquired by global consulting firm Ernst & Young, which is now known as EY. Both Subramanyam and Kumar were associate directors at EY before founding Veda.
In the last 12 years, the firm has closed more than 100 transactions worth $3.5 billion, according to its website.
Since January this year, Veda has closed five transactions involving private equity fund infusions in Vijaya Diagnostics Centre, Dr Mohan’s Diabetes Specialities Centre, Kauvery Hospital, CreditMantri and Updater Services.
Earlier this month, associate director Abhishek Gupta left Veda to join Equirus Capital.