Aditya Birla Sun Life AMC has fixed a price band of Rs 695-712 per share for its over Rs 2,768-crore initial public offering (IPO).
The share sale will open for subscription on September 29 and end on October 1, the company said in a virtual press conference.
The IPO is entirely an offer for sale, that will see two promoters — Aditya Birla Capital and Sun Life (India) AMC Investments — divesting their stake in the asset management firm.
The offering of up to 3.88 crore equity shares comprises an offer for sale of up to 28.51 lakh equity shares by Aditya Birla Capital and up to 3.6 crore equity shares by Sun Life AMC.
At the upper end of the price band, the initial share-sale is expected to fetch Rs 2,768.25 crore.
At present, asset management firms like Nippon Life India Asset Management, HDFC AMC and UTI AMC are listed on the bourses.
Aditya Birla Sun Life AMC, the investment manager of Aditya Birla Sun Life Mutual Fund, is a joint venture between the Aditya Birla Group and the Sun Life Financial Inc of Canada.
The company is the country’s fourth largest fund house and it had an average asset under management of Rs 2.93 lakh crore in the June quarter.
At present, it manages 118 schemes. Since its inception in 1994, the fund house has established a geographically diversified pan-India distribution presence covering 284 locations spread over 27 states and six union territories.
Investors can bid for a minimum of 20 equity shares and in multiples of 20 equity shares for the IPO.
Half of the issue size has been reserved for qualified institutional buyers, 35 per cent for retail investors and the remaining 15 per cent for non-institutional investors.
Kotak Mahindra Capital, BofA Securities, Citigroup Global Markets India, Axis Capital, HDFC Bank, ICICI Securities, IIFL Securities, JM Financial, Motilal Oswal Investment Advisors , SBI Capital Markets and YES Securities (India) are the merchant bankers to the issue.
