State Street To Acquire 23% Stake In Groww AMC For INR 580 Cr

SUMMARY

The global asset management firm will infuse INR 580 Cr in Groww AMC in a mix of primary and secondary transactions

State Street Investment Management will invest INR 381 Cr in Groww AMC via secondary share sale, while the AMC will issue fresh shares worth INR 198 Cr to the asset manager

Groww’s AMC business had an AUM of INR 4,118.8 Cr and 12 Lakh unique investors as of December 2025

Global asset manager State Street Investment Management (SSIM) will acquire a 23% stake in Groww’s asset management arm Groww AMC by investing INR 580.02 Cr in a mix of primary and secondary capital.

SSIM is the asset management division of the US-based State Street Corporation and the fourth largest asset manager globally. Its assets under management (AUM) stood at $5.4 Tn as of September 2025.

SSIM will invest INR 381 Cr in Groww AMC via secondary share sale, while the AMC will issue fresh shares worth INR 198 Cr to the asset manager.

Upon completion of the transaction, SSIM will own a maximum 4.99% voting power in Groww AMC. The transaction is subject to regulatory clearances and is expected to be completed by September 2026.

Following the completion of the transactions, Groww AMC will cease to be a wholly owned subsidiary of Groww and will become a subsidiary.

Groww said that its AMC business is at an inflection point and the fresh capital will be allocated toward working capital needs and fund further growth opportunities. The strategic partnership between the two asset managers will also allow Groww to build capabilities in quantitative and index investment management strategies for its Indian users.

The investment will allow SSIM to strengthen its presence in the rapidly growing Indian market and enable the delivery of India-focused investment strategies to its clients globally.

Groww AMC, which is the investment manager of Groww Mutual Fund and manages various funds of Groww Mutual Fund, reported an income of INR 17.09 Cr in the year ended March 31, 2025.

In its Q3 shareholders’ letter today, Groww said that the AMC business had an AUM of INR 4,118.8 Cr and 12 Lakh unique investors as of December 2025.

It is pertinent to note that Groww entered the asset management business following the acquisition of the mutual fund business of Indiabulls Housing Finance for INR 175.6 Cr.

Groww reported a 28% YoY decline in its consolidated profit after tax (PAT) to INR 546.9 Cr in Q3 FY26 due to the impact of a one-time long-term incentive (LTI) provision. Sequentially, PAT grew 16% from INR 471.3 Cr in the previous quarter.