Aditya Birla Sun Life AMC IPO subscribed 5.2x, mops up Rs 10,374 cr

Institutional investor portion subscribed 10.4 times, HNI 4.4 times and retail portion was subscribed 3.22 times

Aditya Birla Sun Life AMC’s IPO received modest subscription of just 5.2 times with bids totalling Rs 10,374 crore. The institutional investor portion of the issue was subscribed 10.4 times, high networth individual (HNI) portion was subscribed 4.4 times and retail portion was subscribed 3.22 times. The price band for the IPO is Rs 695 to Rs 712 per share. At the upper band, the mutual fund house will be valued at Rs 20,500 crore.

The IPO will entirely be a secondary share sale by promoters Aditya Birla Capital (ABCL) and Sun Life AMC. The domestic partner sold 2.85 million shares–less than 1 per cent of its stake–for about Rs 203 crore. Meanwhile, Canadian firm Sun Life divested 12.56 per cent holding, or 36 million shares, for Rs 2,565 crore.

At present, ABCL holds a 51 per cent stake, while Sun Life holds the remaining 49 per cent. Following the IPO, the total promoter stake in the fund house will fall from 100 per cent at present to 86.5 per cent.

Aditya Birla AMC is the country’s largest non-bank affiliated fund house in terms of assets under management (AUM) and fourth overall.