The secondary transaction involves promoter shares and signals strong institutional confidence in one of India’s fastest-growing asset management firms, which has compounded its AUM at 70% annually over five years
Avendus Future Leaders Fund III has acquired approximately Rs 140 crore worth of shares in Parag Parikh Financial Advisory Services through a secondary transaction, purchasing stakes from PPFAS Chairman and CEO Neil Parag Parikh and Khushboo Joshi, the company’s President of Wealth Management. The investment marks a vote of confidence in one of India’s most respected independent financial services firms at a time when its assets under management have reached a scale few in the industry anticipated even a few years ago.
Why PPFAS Attracted the Investment
PPFAS was established in the 1992 and deals with mutual funds, wealth management, GIFT City funds, private equity, and the National Pension System. The main product offered by the company is the Parag Parikh Flexi Cap Fund, which managed Rs 1.43 lakh crore as of June 2026, making it one of the largest mutual funds in India. According to Avendus, PPFAS achieved an annualized growth rate of around 70% over the past five years, which indicates both the performance of its investment methodology and its reputation.
What This Means for Avendus FLF III
The PPFAS deal also has some additional significance as a milestone for the fund. With the completion of the deal, Avendus Future Leaders Fund III expects to finalize its closure at approximately Rs 1,800 crore by the end of July. Currently, about 30% of the fund is deployed, and Avendus is expected to make five to six additional deals within the next year to fund high-growth late-stage companies in different industries.
