New Delhi, Dec. 17 -- Japan-based Mizuho Securities on Wednesday announced that it is buying a majority stake in KKR-backed Indian investment bank Avendus for up to 81 billion yen, or $523 million.

Redpoint Investments Pte Ltd., an affiliate of US-based KKR is selling the stake to Mizuho Securities, a subsidiary of Japan's third-largest banking group Mizuho Financial Group. Ranu Vohra, co-founder and executive vice chairman of Avendus, will also be liquidating his stake as part of the deal.

Mizuho Securities said in a statement that the 81 billion yen deal will represent 61.6% to 78.3% of Avendus shares, with which it plans to make the financial services firm a consolidated subsidiary.

The buyout adds to Japanese financial institutions...