The US-based State Street Investment Management, the world’s fourth-largest leading asset manager with $51.70 trillion in assets under custody and administration, has picked up 23% stake in Groww’s asset management business for $65 million (Rs 580 crore).
Billionbrains Garage Ventures, the parent entity, has secured the major investment for its asset management subsidiary. The deal involves 23% dilution through primary and secondary transactions, though State Street’s voting power is limited to 4.99%.
Groww AMC, incorporated in 2008, serves as the investment manager for Groww Mutual Fund, which manages assets of over Rs ₹3,600 crore, across 30 schemes, including debt and equity funds. The growth in assets has been complemented by robust topline growth, with revenues rising from Rs 3.22 crore in FY23 to Rs 16.94 crore in FY25.
Beyond the financial investment, the AMC is also expected to enter into a strategic relationship agreement with State Street Global Advisors, on a mutually agreed date. This partnership is expected to enhance Groww’s asset management capabilities and market reach.
On completion of the transaction, Groww AMC will remain just a subsidiary instead of a wholly-owned subsidiary of Billionbrains Garage Ventures. The AMC has a net worth of Rs 177.13 crores as of March 2025.
The transaction represents a significant milestone for Groww’s asset management business, providing both capital for growth and strategic partnership with a global financial services leader. The deal structure maintains Groww’s control while bringing in expertise and resources from State Street’s extensive asset management platform.
The transaction comes against a boom in the fund industry with AUM surging from Rs 12.75 lakh crore in 2015 to Rs 80.23 lakh crore in 2025, an over six-fold increase in a decade.
As far as the broking business is concerned, Groww’s total transacting user base crossed the 2 crore customer mark as of December 2025. Nearly half of the active user base of 8 million are on multiple products. Groww’s market share in stocks has expanded from 21.6% in Q3FY25 to 28.8% in Q3FY26, while its market share in equity derivatives has jumped from 12.2% to 18.1% during this period.
Even in mutual funds, where Groww’s market share increased only marginally from 12.3% to 13.7%, Groww’s SIP inflows increased by 30% from Rs 9,476 crore in Q3FY25 to Rs 12,328 crore in Q3FY26.
On the credit side, Groww CreditServ’s NBFC loan book grew 7% to 1390 crore on a QoQ basis. The loan book of Loans against securities also doubled in this quarter.