ICICI Prudential AMC's ₹10,602-cr IPO to Open on Dec 12; Price Band at ₹2,061-2,165/Share

ICICI Prudential Asset Management Company (AMC), a subsidiary of ICICI Bank, on Monday announced a price band of ₹2,061 to ₹2,165 per share for its upcoming initial public offering (IPO), valuing the company at ₹1.07 lakh crore (around $11.86 billion).

The company's ₹10,602-crore maiden public offering will open on December 12 and conclude on December 16. The bidding for anchor investors will take place on December 11.

The issue is an entirely Offer-for-Sale (OFS) of over 4.89 crore equity shares by promoter — UK-based Prudential Corporation Holdings, with no fresh issue component, according to a public announcement made by ICICI Prudential AMC.

Since the issue is entirely an OFS, the company will not receive any capital from the offer, and the proceeds will go to the selling shareholder.

At present, ICICI Bank holds a 51% stake in the asset management company, while the remaining 49% is held by its joint venture partner, Prudential Corporation Holdings.

On June 28, ICICI Bank stated that its board approved an additional 2% increase in stake in ICICI Prudential AMC.

This purchase will primarily be used to maintain the bank's majority shareholding in the event of the company granting stock-based compensation, the private sector bank has stated.

In February, the bank announced its intention to retain a majority holding in ICICI Prudential AMC even though its joint venture partner planned a listing and partial divestment of its stake in the fund house.

This would be the fifth asset management firm to list on the exchanges, following HDFC AMC, UTI AMC, Aditya Birla Sun Life AMC, Shriram AMC and Nippon Life India Asset Management.

Moreover, this would be the fifth entity from the ICICI Group to be listed, after ICICI Bank, ICICI Prudential Life Insurance Company, ICICI Lombard General Insurance Company, and ICICI Securities.

ICICI Prudential AMC will make its stock market debut on December 19.

The company said that half of the issue size has been reserved for qualified institutional buyers, 35% for retail investors and the remaining 15% for non-institutional investors.