Aditya Birla Sun Life AMC IPO Subscription Day 2: Bids received for 80% till 1 pm; retail portion oversubscribed

Almost after an hour of its open on the second day, the initial public offer of Aditya Birla Sun Life Asset Management Company (AMC) has been subscribed 80 per cent, with retail investors queuing up most to bid for the issue, as the category has been subscribed by 1.55 times by 12:50 pm today.

The three-day IPO of Aditya Birla AMC had opened yesterday September 29 and will remain active till October 1, 2021. The share sale has an issue size of Rs 2,768.26 crore, with a price band of Rs 695-712 per share. 

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The offer has so far received bids for 2,22,67,760 equity shares as compared to 2,77,99,200 equity shares offered, as per the data available on the BSE. The issue size had been reduced to 2.77 crore shares from 3.88 crore shares earlier, post raising Rs 789 crore from anchor investors on Tuesday. 

Followed by retail investors, the portion reserved for shareholders has been subscribed most by 41 per cent, while non-institutional investors category has subscribed 22 per cent, while quota kept aside for the qualified institutional investors (QIBs) is showing zero response to IPO on the BSE. 

Zee Business Managing Editor and the Market Guru Anil Singhvi in Aditya Birla AMC IPO preview has recommended long-term investors to apply, while short-term investors can avoid subscribing as its unlikely to give listing gains.  

The initial share-sale is entirely an offer for sale, wherein two promoters -- Aditya Birla Capital and Sun Life (India) AMC Investments -- will divest their stake in the asset management firm. 

ICICI Prudential Mutual Fund (MF), SBI MF, SBI Life Insurance Co Ltd, Axis MF, UTI MF BNP Paribas Arbitrage, Max Life Insurance Company and HSBC Global Investment Funds are among the anchor investors. 

Aditya Birla Sun Life AMC, the investment manager of Aditya Birla Sun Life Mutual Fund, is a joint venture between the Aditya Birla Group and the Sun Life Financial Inc of Canada.