InvestorQ : Has the Birla Sun Life Mutual Fund IPO been finally approved by the SEBI?
Katherine Gonsalves made post

Has the Birla Sun Life Mutual Fund IPO been finally approved by the SEBI?

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rhea Babu answered.
4 months ago
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After being refused approval in the first round, the Birla Sun Life AMC IPO has finally been approved by SEBI. However, Birla is yet to confirm on the time frame for the launch of the IPO. The IPO is expected to be around Rs.2,000 crore and it will value the AMC at around Rs.15,000 crore valuation. The fund had already filed its draft red herring prospectus or DRHP with SEBI way back in April.

At that point, the offer document had been put in abeyance due to alleged violations by a group company. With the go ahead given, Birla will become the fourth AMC to list after Nippon Asset Management, HDFC AMC and UTI AMC. Currently, Aditya Birla Capital holds 51% in the AMC while Sun Life holds 49%. The IPO will be an offer for sale or OFS which will reduce the promoter stake to 86.5%. The issue is expected to happen later this year.

Birla Sun Life AMC is India’s fourth-largest fund house after SBI MF, ICICI Pru MF and HDFC MF with a total AUM of Rs.3.00 trillion. It has a strong retail franchise with nearly 7.2 million folios and Rs.1.33 trillion of retail AUM. The AMC had posted PAT of Rs.155 crore in first quarter, a growth of 59% yoy on the back of rapid growth in AUM.

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