Retail wealth management firm Prudent Corporate Advisory Services has raised 159.43 crore from 24 anchor investors prior to its initial public offering (IPO).
In a stock exchange filing on Monday, Prudent Corporate Advisory Services said it has finalized the allotment of 25,30,651 equity shares to 24 anchor investors. 630 per share.
The company has fixed the price band of 595-630 per share for this 539 crore IPO.
The three-day initial share sale will open for public subscription tomorrow and bidding for anchor investors will open on Monday.
Anchor investors are institutional investors who are allotted shares before the IPO opens but have to commit to holding their shares for a certain period of time after listing.
Marquee investors who have shown interest in the firm through Anchor Book are – HSBC, Kuber India Fund, Societe Generale, DSP Mutual Fund, Axis Mutual Fund, Nippon Life, L&T Mutual Fund, Quantum Mutual Fund, Motilal Oswal Mutual Fund, UTI MF, Aditya Birla Sun Life Trustee, and Kotak Mutual Fund.
ICICI Securities, Axis Capital and Equirus Capital are the book running lead managers of the issue.
The initial share-sale of 85,49,340 equity shares comprises an offer for sale of 82,81,340 equity shares by Wagner Limited and 2,68,000 equity shares by Shirish Patel.
At present, investor Wagner holds a 39.91% shareholding, and the company’s whole-time director and CEO Shirish Patel holds 3.15%.
At the upper end of the price band, the firm will increase approx. 538.61 crore through IPO.
Prudent Corporate Advisory Services is one of the leading independent retail wealth management services group (excluding banks) in India and one of the top mutual fund distributors in terms of average assets under management and commission received.
It provides a technology enabled, comprehensive investment and financial services platform with critical end-to-end solutions for the distribution of financial products and has a presence in both online and offline channels.
Half of the issue size is reserved for Qualified Institutional Buyers (QIBs), 15 percent for non-institutional investors and 35 percent for retail investors. In addition, equity shares up to 6.5 crores have been reserved for the employees.
Investors can bid for a minimum of 23 shares and multiples thereof.
As on 31st December last year, the assets under management (AUM) of the firm from the mutual fund distribution business was 48,411.5 crores with 92.14% of their total AUM being equity oriented.
The firm provides asset management services to 1,351,274 unique retail investors through 23,262 mutual fund distributors on their business-to-business-to-consumer (B2B2C) platform and is spread across 110 locations in 20 states.
The number of AMFI Registration Number (ARN) holders listed with them is 23,262, representing 18.46% of the industry.