New Delhi, June 30 -- Public listed Wealth First Portfolio Managers Limited (WFPML), an independent financial advisor and a registered portfolio management service, has acquired Mumbai-based Wealth First Advisors Pvt. Ltd (WFAPL), a wealth management and distribution firm, for a total consideration of Rs 109 crore (around $11.5 million) through a two-phase transaction, the listed company said in a statement. In the first phase, WFPML will acquire a 51 per cent stake in WFAPL for Rs 52.1 crore, comprising Rs 40 crore in cash and Rs 12.1 crore through a share swap, valuing WFAPL at an equity valuation of Rs 102.15 crore. In the second phase, the remaining 49 per cent stake will be acquired based on WFAPL's valuation as of March 2029, with the consideration to be paid entirely through a 100 per cent share swap. The company believes that Wealth First's acquisition of WFAPL will take its assets under advice and management to nearly Rs 9,000 crore. The combined organisation aims to double assets under advice and management to approximately Rs 20,000 crore in the next five years.
Wealth First, anchored in wealth and asset management, is steadily building an integrated financial services platform, according to the statement. "Earlier this year we entered asset management; today we are strengthening our advisory franchise," said Ashish Shah, chairman & managing director, Wealth First Portfolio Managers Limited. Earlier this year, Wealth First entered asset management through its sponsorship of Lakshya Asset Management. With the WFAPL acquisition, Wealth First expands its advisory and distribution franchise. "Together, these mark Wealth First's steady evolution into a broader financial services institution," added Shah. India's wealth management industry is undergoing a structural transformation. A recent PwC report projects that India's asset and wealth management industry will nearly double to $1.7 trillion by 2030, driven by increasing household financialisation, rising participation in capital markets, rapid growth in affluent and high-net-worth investors, and one of the world's largest intergenerational wealth transfers. Headquartered in Ahmedabad, Wealth First Portfolio Managers Limited claims to be India's first listed IFA practice. The firm has built its business over more than three decades through advice-led client relationships, combining organic growth with entrepreneurial partnerships.
Published by HT Digital Content Services with permission from VC Circle.