Mizuho Financial’s Avendus Capital Deal Could Net Founders $35 Million Each

Since 1999, Avendus Capital has provided advice on hundreds of transactions, and it has recently emerged as one of India's fastest-growing dealmakers by assisting up-and-coming IT tycoons in raising capital. The founders, Gaurav Deepak, Kaushal Aggarwal, and Ranu Vohra are now millionaires.

Mizuho Financial Group Inc. announced on December 17 that it will buy KKR & Co.'s over 60% share in the Mumbai-based investment bank. It is now requesting permission from other shareholders to raise that to 78.3%, for a total of 47 billion rupees ($520 million). Based on their 5.5% stakes, the three founders would each own stock worth around $35 million at that price, according to filings examined by the Bloomberg Billionaires Index, which is assessing their holdings for the first time.

The Deal Showcases the Strong Performance of India’s Financial Sector

The transaction demonstrates how Indian finance entrepreneurs are becoming wealthy as a result of the industry's explosive expansion, which has led to a number of mergers and stock listings. Other examples include the creators of India's leading broker, Groww, which went public last month, and private banker Karan Bhagat, whose 360 One WAM Ltd signed a partnership with Switzerland's largest wealth manager, UBS Group AG, in April. Japanese capital has flooded into India's financial services industry in recent months. According to sources familiar with the situation, Nomura Holdings Inc. and Carlyle Group Inc. expressed interest in the Avendus bidding process.

Vohra, a former banker with Communications Equity Associates in Tampa, and investment bankers Aggarwal from Kotak Mahindra Bank Ltd and Deepak from ICICI Bank Ltd formed Avendus. Vohra is selling his share in the bank and will leave after the deal is finalised, while Deepak and Aggarwal will continue to be stockholders.

How Avendus Capital Gained Popularity?

Avendus primarily provided merger and acquisition and private equity advice for the first 20 years after its foundation. According to an email from data firm Venture Intelligence, Avendus led India in private equity and merger and acquisition transactions in 2024 with 31 agreements totalling more than $6.4 billion. It has completed 26 private transactions this year totalling about $3 billion. However, the company's equity capital market sector has advanced since the pandemic, taking on wealthy clients and investment banking behemoths.

These include Lenskart Solutions Ltd. and Swiggy Ltd., which are supported by SoftBank Group Corp., and their initial public offerings. Since 2022, Avendus has completed 41 public equity transactions totalling around $9.1 billion, a company representative said. According to the representative, it closed 12 $4 billion public equity acquisitions this year.