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  • Writer's pictureShernel Thielman

BPEA EQT-Led Consortium Acquires HDFC Credila: Unlocking Educational Opportunities for India's Youth

**Title: BPEA EQT-Led Consortium Acquires HDFC Credila: Unlocking Educational Opportunities for India's Youth**



*Disclaimer: The following blog post contains information about an investment transaction and is intended for informational purposes only. It does not constitute financial advice or a recommendation to invest. Investing in financial markets involves risks, and readers are encouraged to conduct their own research and consult with a qualified financial advisor before making any investment decisions.*


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India's rapidly growing young population has long sought access to quality higher education, and now, a significant development promises to empower countless aspiring students. BPEA EQT, in collaboration with ChrysCapital, has announced the acquisition of a 90 percent stake in HDFC Credila, India's largest non-bank education loan specialist. This landmark investment transaction, valued at INR 103.5 billion, will enable HDFC Credila to further support the educational dreams of India's youth.


HDFC Credila, headquartered in Mumbai, is a trailblazer in tailored financing solutions for students pursuing academic studies within India and abroad. Since its establishment in 2006, HDFC Credila has assisted over 124,000 students in gaining admission to approximately 4,100 academic institutions across 59 countries. With a particular emphasis on STEM courses, HDFC Credila has played a vital role in bridging the gap between the growing demand for higher education and the limited options available in India.


India's expanding middle class, comprising approximately a third of the country's 1.4 billion population, has been increasingly looking beyond national borders for higher education opportunities. Fueled by favorable immigration policies in developed countries and the need for diverse talent, the outflow of Indian students is projected to rise by around 10 percent annually. HDFC Credila's mission aligns perfectly with this trend, offering vital financial support to students as they pursue their dreams globally.


The BPEA EQT-led consortium plans to infuse INR 20 billion of primary capital into HDFC Credila, reinforcing the company's commitment to funding postgraduate studies for Indian students. This investment will fuel the company's next phase of growth while also driving its digital transformation. Leveraging EQT's expertise in cybersecurity, credit underwriting, and go-to-market strategies, HDFC Credila aims to enhance its digital capabilities and expand its presence in existing and potential markets.


BPEA EQT brings extensive experience in the education sector to the table. Notably, the consortium has successfully supported Nord Anglia Education, an international education provider, in expanding across 33 countries over the past 15 years. Additionally, BPEA EQT recently acquired IMG Academy, a renowned sports education institution in the United States. These achievements highlight BPEA EQT's commitment to promoting educational opportunities globally.


The acquisition of HDFC Credila represents the largest-ever private equity buyout transaction in India's financial services sector. The deal signifies the trust and confidence placed in HDFC Credila's capabilities and its vision for the future. The parent company, Housing Development Finance Corporation Ltd. (HDFC), will retain a 9.99 percent stake in HDFC Credila, further solidifying their commitment to the company's success.


Jimmy Mahtani, Partner and Head of BPEA EQT India, expressed his excitement about partnering with HDFC Credila and their shared goal of meeting the growing demand for higher education in India. Arijit Sanyal, CEO of HDFC Credila, expressed his enthusiasm for the company's future, emphasizing the positive impact the investment would have on their journey.


Education plays a pivotal role in shaping individuals and societies. BPEA EQT is proud to contribute to HDFC Cred


ila's mission of empowering aspiring students to achieve their academic dreams. This investment aligns with EQT's overarching purpose of making a positive impact through its investments.


Please note that the information provided in this blog post is solely for informational purposes and does not constitute financial advice or a recommendation to invest. Investing in financial markets involves risks, and readers are encouraged to conduct their own research and consult with a qualified financial advisor before making any investment decisions.


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**Investments Disclaimer:**


*The information provided in this blog post is for informational purposes only and does not constitute financial advice or a recommendation to invest. Investing in financial markets involves risks, including the potential loss of principal. Readers are advised to conduct their own research and consult with a qualified financial advisor before making any investment decisions. The author and the website hosting this blog post shall not be held responsible for any losses or damages incurred as a result of the information provided herein.*

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