(Reuters) – Singapore-based investment firm Temasek Holdings said on Monday it will invest up to A$300 million (US$198.4 million) in Australian exchange-traded fund manager BetShares.
The funding is expected to expand Betashares' offering in Australia and overseas, it said in a statement.
With this investment, Temasek will own an undisclosed minority stake in Betashares, joining its employees and private equity firm TA Associates as shareholders, it added.
The market value of the Australian ETF industry will reach AU$177.5 billion in 2023, supported by net inflows of AU$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.
“The investment by Temasek will help accelerate the next phase of our journey, both organically and through strategic acquisitions and investments,” said Alex Vinokur, Founder and CEO of Betashares.
Temasek manages S$382 billion (US$282.36 billion) in assets as of 31 March 2023, and its portfolio includes companies such as Ali Baba (NYSE:), DBS Group (OTC:), and Tencent, among others, according to Temasek's website.
($1 = 1.5124 Australian dollars)
($1 = 1.3529 Singapore dollars)