ICICI Prudential AMC files DRHP with Sebi to launch IPO; check details

ICICI Prudential Asset Management Company, the second largest asset management company (AMC) in India, has filed its draft red herring prospectus (DRHP) with the Securities and Exchange Board of India (Sebi) on July 8, 2025, to initiate its initial public offering (IPO). The IPO is structured as an offer-for-sale, where 1.76 crore equity shares will be sold by the foreign partner, Prudential Corporation Holdings. Notably, there will be no fresh issue components, implying that the proceeds will entirely benefit the selling shareholder, with the company not receiving any funds from the sale.

The joint venture between ICICI Bank and Prudential Corporation Holdings, based in London, operates with a 51:49 shareholding since its inception in 1998. ICICI Prudential AMC serves as a leading player in the asset management sector, boasting a quarterly average assets under management (QAAUM) market share of 13% as of March 2025, and catering to 14.6 million customers.

A successful IPO would mark the company as the fifth entity from the ICICI Group to list on the stock exchanges, following ICICI Bank, ICICI Prudential Life Insurance Company, ICICI Lombard General Insurance Company, and ICICI Securities. It would also become the fifth asset management company to be listed, joining the likes of HDFC Asset Management Company, UTI AMC, Shriram AMC, Nippon Life India Asset Management, and Aditya Birla Sun Life AMC.

Under the leadership of Managing Director and CEO Nimesh Vipinbabu Shah, and Executive Director and Chief Investment Officer Sankaran Naren, ICICI Prudential AMC has displayed strong financial performance. In fiscal year 2025, it achieved a profit growth of 29.3% to [2,650.7 crore and a revenue increase of 38.7% to [4,682.8 crore. These figures reflect the company's robust financial health and strategic management.

The IPO is notable for being managed by an unprecedented total of 18 merchant bankers, marking a first in Indian primary market history. The lead managers include prominent names such as Citigroup Global Markets India, Morgan Stanley India Company, and BofA Securities India, amongst others.

ICICI Bank, in a board meeting on June 27, approved the acquisition of an additional 2% shareholding in ICICI Prudential AMC. "This purchase will primarily be towards maintaining the banks majority shareholding in the event of grant of stock-based compensation by the company," stated the bank.

In February earlier this year, Prudential PLC announced its intent for a potential listing and partial divestment of its stake in ICICI Prudential AMC. Concurrently, ICICI Bank reaffirmed its strategy to retain a majority stake, underscoring its long-term commitment.

ICICI Prudential AMC offers a diverse range of investment products across multiple financial asset classes. As of March 31, 2025, it manages the largest number of schemes in the Indian mutual fund industry, encompassing 135 schemes, including 42 equity and equity-oriented schemes.

As of the same date, the company reported total assets of [4,384 crore, an annual turnover of [4,980 crore, and a profit after tax (PAT) of [26.51 crore for fiscal 2024-25.

If successful, the listing could significantly enhance the visibility and attractiveness of ICICI Prudential AMC in the financial markets, while providing an opportunity for investors to gain exposure to one of India's leading AMCs.