EAAA India Alternatives Secures ₹360 Crore from Anchor Investors Ahead of IPO

EAAA India Alternatives Ltd, an arm of Edelweiss Financial Services, has raised approximately ₹360 crore from anchor investors ahead of its initial public offering (IPO), which is scheduled to open for subscription on October 26.

According to circulars uploaded with the stock exchanges, the company allocated 21,62,161 equity shares to anchor investors at ₹1,665 apiece, which is the upper end of the established price band.

The anchor book drew participation from 10 mutual funds, including prominent names such as HDFC Mutual Fund, ICICI Prudential Mutual Fund, SBI Mutual Fund, Nippon India Mutual Fund, and Kotak Mahindra Mutual Fund. Together, mutual funds accounted for 61 per cent of the total anchor book.

In addition to domestic mutual funds, global institutional investors participated in the anchor allocation. These included Norway's Government Pension Fund Global and asset manager Schroders. Domestic investment firms like Carnelian, 360 ONE, Unifi, and Nuvama also took part in the round.

The public issue is set to open on October 26 and will close on October 28. The company has fixed a price band of ₹1,585 to ₹1,665 per share, valuing the firm at ₹10,765 crore at the upper end of the valuation range.

The IPO is structured entirely as an Offer for Sale (OFS) by the Edelweiss Group, with no fresh issue component included in the offering. Consequently, EAAA India Alternatives will not receive any proceeds from the public issue, and the selling shareholder will receive the entire amount generated.

The overall issue size has been reduced to ₹1,200 crore from the ₹1,500 crore that was originally proposed in the draft red herring prospectus filed with the Securities and Exchange Board of India (SEBI) in January. Following the closure of the subscription period, the company's shares are expected to list on both the BSE and the NSE on November 2.

Incorporated in 2008, EAAA India Alternatives operates as an alternative investment platform managing long-term capital across multiple asset classes, which include infrastructure, commercial real estate, and private credit. The firm currently maintains operations across Mumbai, New Delhi, GIFT City, and Singapore.

"The successful mobilization of ₹360 crore from prominent mutual funds and global institutional investors demonstrates institutional confidence ahead of the public issue. Because this offering is structured entirely as an Offer for Sale by the Edelweiss Group, it provides an exit route for the existing shareholder while allowing public market investors to take a stake in an established alternative asset platform managing infrastructure and private credit." — Dr. Shishir Gupta, Founder & CEO, StartupLanes