UTI Asset Management Company (AMC) on Thursday fixed a price band of Rs 552-554 per share for its initial public offering (IPO) that will open for public subscription on September 29 and close on October 1.

The bidding for anchor investors would open on September 28.

The issue comprises the sale of 3.8 crore equity shares, or a 30.75 per cent stake, held by existing shareholders.

State Bank of India (SBI), Life Insurance Corporation and Bank of Baroda (BoB) are offering to sell about 1.04 crore shares each, while Punjab National Bank (PNB) and T Rowe Price International are offloading around 38 lakh shares each.

SBI, LIC, PNB and BoB hold 18.24 per cent stake each in UTI AMC. US-based T Rowe Price owns 26 per cent stake in the company. The fund house has also reserved two lakh equity shares for its eligible employees. Bids can be made for a minimum of 27 equity shares and in multiples of 27 equity shares thereafter.

Sebi norms

The offer for sale will comply with Sebi norms which stipulate a shareholder or a sponsor owning at least 10 per cent stake in an asset management company is not allowed to have 10 per cent or more stake in another mutual fund house operating in the country.

In August, the market regulator had imposed a penalty of Rs 10 lakh each on SBI, LIC and BoB for not complying with the regulations.