Earlier, the scrip indexed at 11.51 % down at Rs 490.25 in opposition to the issue worth.
With this, UTI changed into the 3rd AMC to get indexed on inventory exchanges after Nippon Life India Asset Management (NAM) and HDFC AMC.
The Rs 2,160 crore issue, offered within the Rs 552-554 worth band between September 29 to October 1, had won bids for stocks 2.31 instances of what was once on be offering, but the subscription stage was once one of the vital lowest in recent years. Grey marketplace call for the unlisted stocks was once additionally tepid because the HNI quota of the IPO remained undersubscribed.
On NSE, the scrip closed 13.08 % down at Rs 481.50 in opposition to the issue worth of Rs 554. Shares of the corporate at Rs 500 at the alternate.
UTI AMC’s HNI portion noticed a 93 % subscription, whilst the quotes for QIB and retail parts have been subscribed to 3.three times and a pair of. three times, respectively. Overall, the issue had won bids for six,31,02,348 stocks in opposition to 2,73,50,957 on are offering. Analysts monitoring the unlisted stocks of UTI AMC have been anticipating a Rs 5-11 % listing cut price to the issue worth.
UTI AMC manages the mutual finances of the UTI Mutual Fund and gives portfolio control services and products to institutional shoppers and HNIs. It additionally manages retirement finances, offshore finances, and choice funding finances.
The corporate has been energetic within the AMC business for over 55 years. Nearly 92. Three % of general AUM is invested in UTI’s six core fairness methods, that have outperformed their respective benchmark indices (through a median of one.Three % in line with annum) for a median go back of 9.6 % in line with annum in 10-year length ended June 30, 2020.
At the issue worth, the inventory demanded a valuation of 25.four instances FY20 profits, 5.25 % of June quarter’s moderate property beneath control, and a Rs 7,024 crore market-cap. Listed peer HDFC AMC trades round 35 instances FY20 profits and Nippon AMC at 37 instances.
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