(Reuters) – Singaporean investment firm Temasek Holdings will invest up to A$300 million ($198.4 million) in Australian exchange-traded fund manager Betashares, the company said on Monday.
The funding is expected to support the expansion of Betashares’ offerings in Australia and overseas, the company said in a statement.
With the investment, Temasek will own an undisclosed minority stake in Betashares, joining its employees and private equity firm TA Associates as shareholders, the company added.
The market capitalization of the Australian ETF industry reached A$177.5 billion in 2023, helped by net inflows of A$15 billion, according to the latest data compiled by Betashares.
Betashares, one of the country’s largest ETF companies, manages more than A$38 billion in assets and serves more than a million investors in Australia, according to its website.
“Temasek’s investment will help accelerate the next phase of our journey, both organically and through acquisitions and strategic investments,” said Betashares founder and CEO Alex Vinokur.
As of March 31, 2023, Temasek manages S$382 billion (US$282.36 billion) in assets and its portfolio includes companies such as Alibaba (NYSE:), DBS Group (OTC:) and Tencent, according to Temasek’s website.
($1 = 1.5124 Australian dollars)
($1 = 1.3529 Singapore dollars)