Reliance Nippon AMC makes smart mkt debut; shares end 13% up

Shares of Reliance Nippon Life Asset Management (RNAM) today made a smart debut at the bourses, listing with an over 17 per cent premium against the issue price of Rs 252.
The Anil Ambani Group controlled RNAM's scrip finally ended nearly 13 per cent higher.
The stock debuted at Rs 294, registering a sharp gain of 16.66 per cent against the issue price on BSE. During the day, it touched a high of Rs 298.70, up 18.53 per cent. The stock finally ended with a gain of 12.69 per cent at Rs 284.
At NSE, shares of the company zoomed 12.85 per cent to close at Rs 284.40.

In terms of equity volume, 64.73 lakh shares of the company were traded on BSE and over 4 crore shares changed hands at NSE during the day.
The company's market valuation stood at Rs 17,380.80 crore at close of trade.

"We are happy with the kind of response we have got for the IPO and the listing. Going forward, we see enormous opportunities to grow our business.
"Our focus will be first to grow organically, because we believe at scale and size and to grow organically is far cheaper. However, we are open to any opportunity that is available on the inorganic side," RNAM executive director and chief executive Sundeep Sikka told reporters after the listing.

The company's IPO was oversubscribed 81.54 times during October 25-27, data available with the NSE showed.
Noting that the equity market has been doing well for the past three years, he said, "Our focus will remain on profitable growth as the mutual fund industry has high percentage of institutional and money market. We will continue to focus on retail investors and categories, where there is lot of profitability for shareholders."
Sikka said RNAM has large cap, mid and small-cap products in its portfolio and going forward it will launch more products.
The Rs 1,540-crore offering saw healthy demand in all three investor categories. The portion meant for qualified institutional buyers (QIBs) was oversubscribed 118.40 times, non institutional investors 209.44 times and retail investors 5.65 times, as per NSE data.

The company, which is the first mutual fund listing on Indian stock exchanges, had fixed the price band at Rs 247-252 per share.
Commenting on shareholding pattern post-IPO, Sikka said both the promoters are holding equal share.
This was also the first IPO from the Reliance group after Reliance Power in 2008. Other listed firms of the group include Reliance Capital, Reliance Home Finance, Reliance Communications, Reliance Naval and Engineering and Reliance Infra.