Retail wealth management firm Prudent Corporate Advisory Services on Thursday set a price band of Rs 595-630 per share for its Rs 539-crore initial public offering (IPO).
The three-day initial share-sale will open for public subscription on May 10 and the bidding for anchor investors will open on May 9, according to the company.
The initial share-sale of 85,49,340 equity shares comprises an offer for sale of 82,81,340 equity shares by Wagner Ltd and up to 2,68,000 equity shares by Shirish Patel.
At present, investor Wagner owns 39.91 per cent shareholding, and Shirish Patel, a Whole-time Director and Chief Executive Officer of the company, has 3.15 per cent stake.
At the upper end of the price band, the firm will raise around Rs 538.61 crore via IPO.
Prudent Corporate Advisory Services is one of the leading independent retail wealth management services group (excluding banks) in India and is amongst the top mutual fund distributors in terms of average assets under management and commission received. It offers a technology enabled, comprehensive investment and financial services platform with end-to-end solutions critical for financial products distribution and has presence across both online and offline channels.
Half of the issue size has been reserved for qualified institutional buyers (QIBs), 15 per cent for non-institutional investors and 35 per cent for retail investors. Besides, equity shares worth up to Rs 6.5 crore have been reserved for employees.
Investors can bid for a minimum of 23 shares and in multiples thereof.
As of December 31, 2021, the company's assets under management (AUM) from the mutual fund distribution business stood at Rs 48,411.5 crore with 92.14 per cent of their total AUM being equity oriented.
The company provides wealth management services to 1,351,274 unique retail investors through 23,262 mutual fund distributors on their business-to-business-to-consumer (B2B2C) platform and are spread across 110 locations in 20 states.
The number of AMFI Registration Number (ARN) holders empanelled with them stands at 23,262, representing 18.46 per cent of the industry.
ICICI Securities, Axis Capital and Equirus Capital are the book running lead managers to the issue.