Computer Age Management Services (CAMS), the financial infrastructure and services provider to the mutual fund industry, has filed its draft red herring prospectus (DRHP) with capital markets regulator Securities and Exchange Board of India (SEBI) for its initial public offering (IPO) on January 9.
The public issue consists an offer for sale (OFS) of 1,21,64,400 equity shares by the Great Terrain Investment Ltd (an affiliate of Warburg Pincus), NSE Investments, Acsys Investments, HDFC and HDB Employees Welfare Trust.
The issue includes an eligible employee reservation of up to 1.5 percent of the post-offer paid-up equity share capital.
Moneycontrol reported earlier in August 2019 that CAMS had shortlisted merchant bankers and started preparing for IPO.
Merchant bankers’ sources told Moneycontrol that the IPO size could be anywhere between Rs 1,500-1,600 crore.
The net offer will have a 50 percent allocation for qualified institutional buyers, 15 percent for non- institutional investors and rest 35 percent for retail investors.
CAMS served AAUM of Rs 18.7 lakh crore as on November 2019, which is 69.4 percent of total mutual fund assets held by 16 mutual funds.
The AUM of equity mutual funds serviced by CAMS grew from Rs 2,18,000 crore as of March 31, 2015 to Rs 6,64,300 crore as of March 31, 2019, at a CAGR of 32.1 percent, and as of September 30, 2019 was Rs 6,70,100 crore.
The book running lead managers to the offer are Kotak Mahindra Capital Company, HDFC Bank, ICICI Securities and Nomura Financial Advisory and Securities (India)
News Source:- Moneycontrol