TA Associates Announces Minority Investment in Prudent Corporate Advisory Services

TA Associates, a leading global growth private equity firm, today
announced that it has completed a minority investment in Prudent
Corporate Advisory Services (“Prudent”), an independent distributor of
mutual fund and other wealth products in India. Financial terms of the
transaction were not disclosed.

Founded in 2001, Prudent provides personal and corporate investment
planning services through the distribution of mutual funds, bonds,
broking and insurance products. The company operates through its network
of over 10,000 Independent Financial Advisors (“IFAs”) and has in excess
of 18,000 Cr of assets under management (“AUM”). Prudent provides its
IFA partners with training and development services, technology
platforms to grow and manage their client-base, back-office services,
and sales and marketing support. The company is headquartered in
Ahmedabad, Gujarat and operates a total of 70 branches across 19 states
in India.

“With its IFA-centric business model, multiple service offerings and
robust technology platforms, we believe Prudent represents a unique and
exciting investment opportunity,” said Aditya Sharma, Senior Vice
President, TA Associates Advisory Private Limited, who will join the
Prudent Board of Directors. “We look forward to collaborating with the
entire Prudent team to help take the company to the next level.”

“TA’s investment is a critical milestone for Prudent as we embark on our
next phase of growth and seek to deepen our presence across multiple
states and untapped markets,” said Sanjay Shah, Founder and Managing
Director of Prudent Corporate Advisory Services. “As an active and
respected investor within the financial services vertical, TA has
developed a quality reputation of forming trust-based relationships with
founders and management teams that lend themselves to positive results.
It is evident that TA shares our vision to incorporate additional value
creation for our customers and IFA partners, and we are thrilled to have
them as part of the Prudent family.”

The Indian asset management industry’s AUM has grown at a compounded
annual growth rate (CAGR) of 18% over the last 10 years. As of the end
of March 2018, the industry had a total AUM of approximately $338
billion. Furthermore, according to AMFI, the industry’s AUM is expected
to grow at a 23% CAGR for the next 5 years and reach $936 billion by
2023.

“Due to growing investor awareness and increasing mutual fund
penetration, we anticipate that the Indian asset management space will
experience significant long-term growth,” said Dhiraj Poddar, Country
Head of India at TA Associates Advisory Private Limited, who also will
join the Prudent Board of Directors. “Because of this trend, we have
spent a fair amount of time and resources tracking the Indian asset
management, distribution and allied services space. We believe that
Prudent is well-positioned to capitalize in this large and developing
marketplace and can provide notable benefits to India’s growing wealth
management sector.”

“Since Prudent’s founding, we have strived to provide the highest
quality end-to-end services and training programs for our network of
IFAs to ensure that we are positioning them for success,” said Shirish
Patel, Chief Executive Officer of Prudent Corporate Advisory Services.
“With TA’s investment, we will look to scale the business to meet the
evolving needs and goals of our dedicated client base. We welcome TA as
an investor in Prudent and are eager to begin working with their
talented team of investment and operating professionals.”

DSK Legal provided legal counsel to TA Associates. Shardul Amarchand
Mangaldas & Co. provided legal counsel to Prudent.

About Prudent Corporate Advisory ServicesPrudent Corporate
Advisory Services provides personal and corporate investment planning
services through the distribution of mutual funds, bonds and third-party
products. In addition to having a large pool of its own clients, Prudent
also manages geographically diverse business operations through an
exclusive platform for Independent Financial Advisors (IFAs). Prudent
provides the advisors with the latest training and consultation,
technology, operations, back-office and support for sales and marketing.
Prudent distributes its products to approximately 560,000 retail
investors through its network of over 10,000 IFAs. The company is
headquartered in Ahmedabad, Gujarat and operates a total of 70 branches
across 19 states in India. More information about Prudent can be found
at www.prudentcorporate.com.

About TA AssociatesNow in its 50th year, TA Associates is
one of the largest and most experienced global growth private equity
firms. Focused on five target industries – technology, healthcare,
financial services, consumer and business services – TA invests in
profitable, growing companies with opportunities for sustained growth,
and has invested in nearly 500 companies around the world. Investing as
either a majority or minority investor, TA employs a long-term approach,
utilizing its strategic resources to help management teams build lasting
value in growth companies. TA has raised $24 billion in capital since
its founding in 1968 and is committing to new investments at the pace of
$1.5 to $2 billion per year. The firm’s more than 80 investment
professionals are based in Boston, Menlo Park, London, Mumbai and Hong
Kong. More information about TA Associates can be found at www.ta.com.

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