HDFC approves OFS for HDFC AMC through IPO

Published On: 30, Nov 2017 | Source:

Leading mutual fund house Company today said it will come out with its initial public offering, wherein and will dilute their holdings.

The listing would unlock the value of the business for the shareholders and give an opportunity to investors to participate in the asset management space.

The board of directors of Company (HDFC AMC) chaired by Deepak Parekh, today approved initiating the process for an IPO, the fund house said in a statement.

This is subject to relevant regulatory and other approvals.

Besides, and Limited (SLI) has, in principle, approved the of the fund house by offering shares to the public in one or more tranches.

Post such dilution in tranches, the shareholding of and SLI in will be at least 50.01 per cent and 24.99 per cent, respectively.

"We believe that the listing would unlock the value of the business for the shareholders and provide investors with an opportunity to participate in the emerging Asset Management space within our group," Parekh, chairman of said.

HDFC AMC, is the second largest fund house after ICICI Prudential AMC, with an asset base of Rs 2.7 lakh crore at the end of September quarter.

"The Indian has seen strong business flows with increasing awareness of mutual fund products. The improving penetration levels of mutual fund products provide an interesting opportunity to channelise investments more productively," Managing Director said.

Earlier this month, Reliance Nippon Life Asset Management got listed on the bourses. Besides, smaller rival UTI Mutual Fund's plans have been in the works for a long time.