Canara Robeco Asset Management Company on Wednesday said it has mobilised Rs 398 crore from anchor investors, just a day before its initial share-sale opening for public subscription.
The anchor book received participation from institutional investors including SBI Mutual Funds (MF), ICICI Prudential MF, Nippon India MF, Kotak Mahindra MF, Franklin India MF, HSBC MF, Motilal Oswal MF, PineBridge Global Funds, Kotak Mahindra Life Insurance, Aditya Birla Sun Life Insurance, and Bajaj Allianz Life Insurance, according to a circular uploaded on BSE’s website.
Canara Robeco has allotted 1.49 crore equity shares to 25 funds at Rs 266 per share, the circular showed.
The asset management company’s Rs 1,326 crore initial public offering (IPO) would open for subscription on October 9 and conclude on October 13. The firm has a price band of Rs 253 to Rs 266 per share for its upcoming offering, giving a valuation of roughly around Rs 5,300 crore at the upper end.
The IPO is completely an offer for sale (OFS) of 4.98 crore equity shares with no fresh issue component.
Under the OFS, promoters — Canara Bank and ORIX Corporation Europe N.V (previously known as Robeco Groep N.V.) — will offload 2.59 crore shares and 2.39 crore shares, respectively.
Canara Bank owns 51 per cent stake in Canara Robeco while Orix Corporation holding has the remaining stake in the AMC.
Related Content
Related Content
Since the IPO is entirely an OFS, the company will not receive any funds from the public issue and the proceeds will go to the selling shareholders.
Canara Robeco’s primary activities include managing mutual funds and providing investment advice on Indian equities. It is the country’s second oldest asset manager. The state-run lender had floated the company in 1993, partnering with Robeco, now part of Orix, in 2007.
Canara Robeco operates in a competitive space alongside listed players such as HDFC Asset Management Company, Nippon Life India Asset Management, and UTI Asset Management Company.
In terms of issue allocation, 50 per cent of the IPO is reserved for qualified institutional buyers (QIBs), 35 per cent for retail investors, and the remaining 15 per cent for non-institutional investors.
Shares of Canara Robeco are expected to list on the bourses on October 16.
