Synopsis : ICICI Prudential AMC has filed for its IPO, setting up one of the year’s largest listings in India’s financial services space. Investors are closely watching whether ICICI Bank can retain its majority control as Prudential Plc plans to offload up to 10% stake.
ICICI Prudential Asset Management Company has filed its Draft Red Herring Prospectus (DRHP) with SEBI for an IPO, preparing for a landmark listing in India’s asset management sector. The IPO will be a pure offer-for-sale (OFS) of up to 17.7 million shares by UK-based Prudential Corporation Holdings Limited, with no fresh capital being raised, ensuring the entire proceeds go to the selling shareholder.
Currently, ICICI Bank owns 51% of the AMC, while Prudential Plc holds the remaining 49%. To offset potential dilution due to stock-based compensation plans, ICICI Bank plans to acquire up to an additional 2% stake before the IPO, ensuring it retains majority control. The bank clarified that the AMC will continue as its subsidiary post-IPO and its classification will remain unchanged.
This IPO marks another milestone for the ICICI Group, positioning ICICI Prudential AMC as the fifth group entity to list after ICICI Bank, ICICI Prudential Life, ICICI Lombard, and ICICI Securities. The AMC will also become the sixth in India to list on the exchanges, following peers like HDFC AMC and Nippon Life India AMC.
According to Bloomberg, the IPO could raise up to Rs 10,000 crore (approximately $1.2 billion), valuing ICICI Prudential AMC at nearly $12 billion. As of March 31, 2025, the AMC reported assets under management of Rs 43.84 billion, a turnover of Rs 49.80 billion for FY2025, and a profit after tax of Rs 26.51 billion.
Shares of ICICI Bank were down 0.72% at Rs 1,431.70 at 10:45 am today, reflecting cautious investor sentiment amid the IPO developments.
Investors and market watchers are now keenly observing how this IPO will influence the AMC’s market standing and whether ICICI Bank can continue leveraging its stronghold in India’s fast-expanding mutual fund industry.
Disclaimer : This article is for informational purposes only and does not constitute investment advice. Please consult a qualified financial advisor before making any investment decisions.
