The country's fourth largest mutual fund house, Aditya Birla Sun Life AMC will open its IPO offer for public subscription on September 29, 2021. The issue will run until October 1. In an exchange filing, Aditya Birla Capital said, ".... the Board of Directors of Aditya Birla Capital Limited ('ABCL' / the 'Company') accorded its approval for the initial public offering by way of an offer for sale ('IPO') of Aditya Birla Sun Life AMC Limited ('ABSLAMC'), a material subsidiary of the Company, and had also approved sale of up to 28,50,880 equity shares of face value of Rs. 5 each held by the Company in ABSLAMC out of the paid-up share capital of 28,80,00,000 equity shares of face value of Rs. 5 each of ABSLAMC in the IPO.
The market regulator SEBI gave the clearance to the mutual fund company's IPO that was filed with the watchdog in April on September 23, 2021.
Aditya Birla Sun Life AMC is a joint venture entity between Aditya Birla Capital and Canada based Sun Life AMC. As per the offer document, Sun Life will pare 12.56 percent of its holding in the firm, while Aditya Birla would divest a little below 1 percent.
As of June ended quarter, the company's average AUM stands at Rs. 2.75 billion. The company manages 135 schemes comprising 35 equity, 93 debt, 2 liquid schemes, 5 exchange traded funds (ETFs), and 6 domestic Funds of Funds as of December 31, 2020.
The price band for the IPO has been fixed at Rs. 695 to 712 per equity share of face value of Rs. 5 each of ABSLAMC. The minimum bid lot for the IPO has been fixed at 20 equity shares of face value of Rs. 5 each of ABSLAMC and applications may be made in multiples of 20 equity shares thereafter.
Note Aditya Birla Sun Life will be the fourth AMC to list on the bourses after HDFC AMC, UTI AMC and Nippon Life AMC.