Reliance Nippon Life AMC IPO to mop up Rs 1,542-cr

Reliance Nippon Life Asset Management today fixed a price band of Rs 247-252 per equity share for its initial public offering, through which it expects to raise Rs 1,542 crore.

The issue will be open for public subscription between October 25-27, Reliance Capital said in a regulatory filing to the stock exchanges.

Anil Ambani-led Reliance Group firm's IPO would be the first by an asset management company (AMC) in India though smaller rival UTI Mutual Fund's offer plans have also been in the works for a long time.

The public issue comprises fresh issuance of 2.45 crore shares, besides an offer for sale of 3.67 crore shares by Reliance Capital and Nippon Life Insurance Company.

The IPO size would be around 10 per cent of the post issue paid-up capital of the company.

At the upper end of the price band, the IPO will garner Rs 1,542.42 crore.

The company "plans to open its IPO on Wednesday, October 25, and close on Friday, October 27 with a price band of Rs 247-252 per equity share," the filing noted.

Jointly owned by Japan's Nippon Life and Reliance Capital, the firm is the asset manager to Reliance Mutual Fund.

JM Financial, CLSA, Nomura and Axis Capital are the global coordinators and book running lead managers for the initial share sale.

Earlier this week, group firm Reliance General Insurance filed draft papers with Sebi for an IPO. Reliance Power and Reliance Communications are among the companies of Anil Ambani group that are already listed on stock exchanges.

(This article has not been edited by Zeebiz editorial team and is auto-generated from an agency feed.)