Private equity firm PAG is on the hunt for new potential buyers for its significant 54% stake in Nuvama Wealth Management , following unsuccessful negotiations with current bidders. The move comes as PAG looks to divest its majority holding in the wealth management company.

Failed Negotiations Prompt New Search

PAG, which currently holds a controlling interest in Nuvama Wealth Management, has decided to broaden its search for potential buyers after talks with existing bidders reached an impasse. The private equity firm is now actively working to identify alternative purchasers for its 54% stake in the company.

Implications for Nuvama Wealth Management

Nuvama Wealth Management, a prominent player in the wealth management sector, may see a change in its ownership structure if PAG successfully finds a new buyer. The outcome of this search could potentially impact the company's future strategic direction and operations.

Market Dynamics

The development highlights the dynamic nature of private equity investments and the challenges that can arise during the divestment process. It also underscores the importance of finding the right strategic fit when it comes to majority stake sales in the financial services sector.

As PAG embarks on its search for new buyers, market observers will be keenly watching for any developments that could influence the wealth management landscape in India. The eventual sale of this significant stake in Nuvama Wealth Management could potentially reshape competitive dynamics within the industry.

Stakeholders and industry participants will likely be monitoring the situation closely, as the outcome of PAG's new buyer search could have broader implications for the wealth management sector in the region.

Nuvama Wealth Management Limited , one of India's leading wealth management firms, has reported strong financial results for the first quarter of fiscal year 2026 (Q1 FY26), demonstrating robust growth across its business segments.

Financial Highlights

• Operating Profit After Tax (PAT) grew by 19% year-over-year (YoY) to ₹264.00 crore in Q1 FY26.
• Total revenues increased by 15% YoY to ₹770.00 crore.
• Client assets stood at ₹4.60 trillion, marking a 19% YoY growth.
• Return on Equity (RoE) improved to 30.30% in Q1 FY26 from 29.40% in Q1 FY25.

Segment Performance

Wealth Management

• Revenues grew by 18% YoY to ₹377.00 crore in Q1 FY26.
• Profit Before Tax (PBT) increased by 19% YoY to ₹124.00 crore.
• Client assets reached ₹3,23,585.00 crore, up 18% YoY.

Asset Management

• Management fees rose by 37% YoY to ₹18.00 crore in Q1 FY26.
• Assets Under Management (AUM) grew by 54% YoY to ₹11,810.00 crore.
• Fee-paying AUM now represents 93% of closing AUM.

Asset Services and Capital Markets

• Asset Services revenues surged by 46% YoY to ₹193.00 crore.
• Capital Markets revenues decreased by 10% YoY to ₹180.00 crore.
• Combined PBT for these segments grew by 17% YoY to ₹225.00 crore.

Strategic Developments

Nuvama Wealth Management also announced the incorporation of two new wholly-owned subsidiaries:

1. Nuvama Trusteeship Company Limited in India, to carry out corporate trusteeship services and other activities.
2. Nuvama Investment Advisors (UAE) LLC in the United Arab Emirates, to arrange, advise, promote, and service financial products to clients in mainland UAE.

Management Commentary

Ashish Kehair, MD & CEO of Nuvama Group, commented on the performance: "We started the year on a strong footing, delivering broad-based growth across all our business segments. Our ability to scale efficiently, with a cost-to-income ratio at 55% alongside a disciplined and well-governed operating model, translated into meaningful outcomes."

He added, "We remain confident in our differentiated value proposition, positioning us well to capture client interest and deliver sustainable, long-term growth."

The company's focus on expanding its wealth advisory base, scaling its digital platform, and broadening asset management offerings continues to drive growth. With a strong emphasis on high-net-worth client acquisition and cross-selling capabilities, Nuvama Wealth Management is well-positioned to maintain its growth trajectory in the coming quarters.

As India's economy remains resilient, supported by steady consumer demand and improved liquidity, Nuvama Wealth Management's diversified business model and strategic initiatives are expected to contribute to its continued success in the wealth management sector.