Standard Life to sell 2.23% stake in HDFC AMC via OFS mechanism

New Delhi, Dec 3 () Standard Life Investments Ltd, one of the promoters of HDFC Asset Management Company, will offload 2.23 per cent stake in the fund house on December 4-5.

In a regulatory filing to stock exchanges, Standard Life has proposed to sell up to 47.5 lakh equity shares, representing 2.23 per cent of the total issued and paid-up equity share capital of HDFC AMC through offer-for-sale mechanism.

Besides, there will be an option to additionally sell up to 38.5 lakh equity shares, amounting to 1 .81 per cent stake of the fund house.

The stake-sale will be conducted on the BSE and NSE on December 4 for institutional investors and December 5 for retail investors.

The floor price for the sale has been set at Rs 3,170 per equity share. At this price, the promoter will fetch Rs 1,505.75 crore.

Shares of HDFC AMC ended at Rs 3,441.45 apiece on the BSE, up 1.34 per cent from the previous close.

The share-sale is being undertaken by the promoter for achieving the minimum public shareholding in the company as prescribed under markets regulator Sebi's norm.

HDFC AMC operates as a joint venture between Housing Development Finance Corporation (HDFC) and Standard Life Investments.

As of September this year, Standard Life held 29.94 per cent stake in the mutual fund house, while HDFC owned 52.76 per cent.

DSP Merrill Lynch is the broker for Standard Life.

In July 2018, HDFC AMC had hit the capital markets to raise an estimated Rs 2,800 crore through its initial public offering. SP MR MR
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(This story has not been edited by Business Insider and is auto-generated from a syndicated feed we subscribe to.)

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