Groww announces acquisition of Mutual Funds Business of Indiabulls Housing Finance

Investment platform, Groww, has signed a definitive agreement with Indiabulls Housing Finance Ltd (IBHFL) to acquire Indiabulls AMC and Trustee Company for consideration of ₹175 crores (including cash and cash equivalent of ₹100 crores). The transaction is subject to SEBI and other regulatory approvals, as applicable. Further, this sale is only limited to the Mutual Fund part of the business. The company aims to demerge the Alternate Investment Fund (AIF) and Portfolio Management Service (PMS) businesses from the existing IBAMC structure.

Moreover, with this acquisition, Groww will become one of the first fintech companies to enter the asset management space. Speaking on the acquisition, Lalit Keshre CEO, and co-founder, Groww, said, “We continue to remain focused on democratising investing in India. Over the last 5 years, we have made investing simple and transparent for a retail investor across the length and breadth of the country. We have experienced the power of technology in enabling the access of financial services to even those who do not live in metros or who are not HNIs. With the capability to create products, we plan to make mutual funds even more accessible; by making them simpler, more transparent, and by lowering the cost further.”

Gagan Banga, Vice Chairman and MD, Indiabulls Housing Finance further added, “We have decided to divest our interest in the retail mutual fund business to be able to consolidate capital and provide greater focus in building the company’s real estate asset management business by way of Alternate Investment Fund, in line with the company’s asset-light strategy. Indiabulls Housing Finance will continue to build on its pedigree as a leading lender in the market and our AIF-driven Real Estate Asset Management business will complement our core business perfectly.”

About Groww

Lalit Keshre, Harsh Jain, Neeraj Singh, and Ishan Bansal founded Groww as an investment platform that offers a simple and easy way to invest. Tiger Global, Sequoia Capital India, Y Combinator and Ribbit Capital have backed the company. Very recently, the company joined the Unicorn club with Meesho and Cred.

L to R: Neeraj Singh, Harsh Jain, Lalit Keshre and Ishan Bansal

Over 1.5 Crore users across 900+ cities in India trust Groww for their investment needs.