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The initial public offer of Aditya Birla Sun Life AMC priced at ₹695-₹712 a share will open next Wednesday (September 29) and close on October 1. The bid lot has been fixed at 20 equity shares and in multiples of 20.
The overall issue of 38,880,000 equity shares is an offer of sale by existing promoters. While Aditya Birla Capital will offload 2,850,880 equity shares, Sun Life (India) AMC Investments will sell 36,029,120 equity shares. It has reserved 19.44 lakh share for Aditya Birla Capital shareholders.
Listing benefits
The offer and the net offer shall constitute 13.50 per cent and 12.83 per cent of the post-offer paid up equity share capital of the company, respectively.
The objects of the offer is to achieve the benefits of listing on the stock exchanges. No fresh funds will flow into the company as the entire issue is an offer for sale by the promoters.
A Balasubramanian, Managing Director, Aditya Birla Sun Life AMC, said despite having one of the highest gross saving rate of 30 per cent the penetration of mutual fund remains low at 15 per cent of GDP against 140 per cent in the US and 98 per cent in France. The equity asset of mutual funds is low at 6 per cent of market capitalisation in India against 55 per in the US and 33 per cent in Japan, he said.
Balasubramanian said the fund house has a net worth of ₹1,800 crore and generated net profit of ₹523 crore last year which provides enough headroom to raise growth capital, if need be.
4th MF to be listed
The equity shares will be listed on BSE and NSE. Birla Mutual Fund will become the fourth fund house to list on stocks exchange after HDFC MF, Nippon India MF and UTI MF.
The fourth largest fund house has an asset under management of ₹2.94 lakh crore with equity AUM of ₹1.07 lakh crore and debt asset of ₹1.75 lakh crore while alternate asset AUM was at ₹11,500 crore.