Aditya Birla AMC
Mainboard₹2,768 Cr issue
0.00%
Listing gain over issue price
Issue size
₹2,768 Cr
1 lot at cut-off
₹14,240
Lot size
20shares
Open
29 Sep 2021
Close
01 Oct 2021
Allotment
06 Oct 2021
Listing
11 Oct 2021
Listing performance
Issue price
₹712
Listed at
₹712
Listing-day close
₹699.65
Latest price
₹889.05
Close on 23 Oct 2026
Listing gain
0.00%
Return since issue
+24.87%
Scheduled dates
Tentative timetable — a past date is not confirmation the step completed
Issue details
- IPO date
- 29 Sep 2021 – 01 Oct 2021
- Listing date
- 11 Oct 2021
- Face value
- ₹5 per share
- Issue price
- ₹712 per share
- Lot size
- 20 shares
- Total issue size
- ₹2,768 Cr
- Market cap at offer price
- ₹20,506 Cr
- Promoter holding
- 100.00% → 86.50% pre-issue → post-issue
- ISIN
- INE404A01024
- Registrar
- Kfin Technologies Ltd.
- Lead managers
- Axis Capital Ltd.
- Registered office
- One World Center, Tower-1, 17th Floor, Jupiter Mills Compound, 841, S.B.Marg, Elphinstone Road, Maharashtra
Reservation and application size
How the issue is split between investor categories, and what each may bid
| Investor category | Shares | % of net | % of total |
|---|---|---|---|
| Anchor investor · within QIB | 1,10,80,800 | — | — |
| Market maker | 0 | — | — |
Application size
Minimum 20 shares per lot, in multiples, at ₹712
| Application | Lots | Shares | Amount |
|---|---|---|---|
| Retail (min) | 1 | 20 | ₹14,240 |
| Retail (max) | 14 | 280 | ₹1,99,360 |
| S-HNI (min) | 15 | 300 | ₹2,13,600 |
| S-HNI (max) | 70 | 1,400 | ₹9,96,800 |
| B-HNI (min) | 71 | 1,420 | ₹10,11,040 |
Category limits
| Category | Bid size | Cut-off |
|---|---|---|
| Retail (RII) | Up to ₹2 lakh | Yes |
| Small HNI (sNII) | ₹2 lakh – ₹10 lakh | No |
| Big HNI (bNII) | Above ₹10 lakh | No |
| Employee | Up to ₹5 lakh | Yes |
Bidding at cut-off means accepting the final issue price without naming one. Only retail and employee applicants may do so.
Anchor investors
Institutional allocation placed a day before the issue opens, carved out of the QIB portion and locked in after listing.
Shares allocated
1,10,80,800
Anchor portion
₹789 Cr
at ₹712 per share
Valuation and performance
Valuation at offer price
₹712 per share
| Metric | Pre-issue | Post-issue |
|---|---|---|
| Market cap | — | ₹20,506 Cr |
About Aditya Birla AMC
Aditya Birla Sun Life AMC Limited (ABSLAMC) is ranked as the largest non-bank affiliated AMC in India by QAAUM since March 31, 2018, and among the four largest AMCs in India since September 30, 2011. Originally incorporated as 'Birla Capital International AMC Limited' in 1994, the company has evolved through multiple name changes to its current identity. As of June 30, 2021, it managed total AUM of ₹2,936.42 billion under mutual funds (excluding domestic FoFs), portfolio management services, offshore and real estate offerings. The company operates a geographically diversified pan-India distribution network covering 284 locations across 27 states and six union territories, with 194 branches in India and three outside India, supplemented by 90 EMs. Since inception, it has established a multi-channeled distribution presence comprising over 66,000 KYD-compliant mutual fund distributors, over 240 national distributors, and over 100 banks/financial intermediaries.
Company Analysis
from RHPAditya Birla Sun Life AMC Limited is a large independent asset management company in India that manages mutual funds, portfolio management services, and alternative investments across equity, debt, and hybrid asset classes.
Aditya Birla Sun Life AMC Limited (ABSLAMC) is ranked as the largest non-bank affiliated AMC in India by QAAUM since March 31, 2018, and among the four largest AMCs in India since September 30, 2011. Originally incorporated as 'Birla Capital International AMC Limited' in 1994, the company has evolved through multiple name changes to its current identity. As of June 30, 2021, it managed total AUM of ₹2,936.42 billion under mutual funds (excluding domestic FoFs), portfolio management services, offshore and real estate offerings. The company operates a geographically diversified pan-India distribution network covering 284 locations across 27 states and six union territories, with 194 branches in India and three outside India, supplemented by 90 EMs. Since inception, it has established a multi-channeled distribution presence comprising over 66,000 KYD-compliant mutual fund distributors, over 240 national distributors, and over 100 banks/financial intermediaries.
asset managementmutual fundsportfolio management servicesalternative investments
Objects of the Issue
- Achieve the benefits of listing the Equity Shares on the Stock Exchanges p.18
- Carry out the Offer for Sale of Equity Shares by the Selling Shareholders p.18
- Offer for Sale by the Selling Shareholders (no proceeds to the company) Up to ₹[●] million (representing up to 38,880,000 Equity Shares) p.56
Issue Structure
- Total Issue
- Up to 38,880,000 Equity Shares
- Offer for Sale
- Up to 38,880,000 Equity Shares comprising up to 2,850,880 Equity Shares by ABCL and up to 36,029,120 Equity Shares by Sun Life AMC
- Price Band
- ₹[●] per Equity Share (to be determined)
- Lot Size
- [●] Equity Shares and in multiples of [●] Equity Shares (to be determined)
- Face Value
- ₹5 each
Business Model
The company earns revenue primarily through management fees charged on assets under management (AUM). As of June 30, 2021, management fees constituted 90.16% of total income. The company manages 118 schemes comprising 37 equity schemes, 68 debt schemes, two liquid schemes, five ETFs, and six domestic FoFs. Revenue is calculated as a percentage of AUM managed, with fee levels varying by fund type; equity and hybrid funds generally charge higher fees than debt and liquid funds.
Business Segments
Manages equity-oriented mutual fund schemes investing in Indian equity markets and equity-related instruments
Manages debt-oriented mutual fund schemes investing in fixed income securities and money market instruments
Manages liquid fund schemes offering high liquidity and stable returns
Manages ETFs that track specific indices or investment strategies
Manages domestic fund of funds schemes investing in other mutual fund schemes
Provides discretionary and advisory portfolio management services to individual and institutional clients
Revenue from asset management fees, mutual fund management services, and investment advisory services
Gains from fair value changes in investments held by the company
Manages equity-oriented mutual fund schemes including diversified, tax saving, hybrid and sector schemes. Equity-oriented MAAUM grew at a CAGR of 24.94% from ₹323.45 billion as of March 31, 2016 to ₹1,080.44 billion as of June 30, 2021.
Manages debt-oriented mutual fund schemes including ultra short-duration, short-duration and fixed-maturity schemes. Debt schemes are typically lower margin products compared to equity schemes but provide stable returns.
Manages liquid funds and money market schemes providing short-term liquidity and stability to investors. Includes Aditya Birla Sun Life Liquid Fund (first scheme launched in liquid scheme category) and Overnight Fund.
Manages passively managed ETF schemes that replicate or track particular indices. ETFs represented the fastest growing category in the industry with 43.22% CAGR since March 2012.
Offers customized discretionary, non-discretionary and advisory investment services to high net worth individuals (HNIs) with minimum ticket sizes. Managed AUM of ₹115.15 billion as of June 30, 2021.
Manages fund of fund schemes that invest in other mutual fund schemes. These are simplified investment vehicles for retail investors.
Equity schemes invest primarily in equity securities with the main objective of providing capital appreciation over the medium-to long-term investment horizon
Debt schemes invest primarily in rated debt or fixed income securities such as corporate bonds, debentures, government securities, commercial paper and other money market instruments
Provides discretionary, non-discretionary and advisory services primarily to HNI individuals; includes benchmark agnostic and concentrated portfolios, offshore fund offerings, and alternative investments offerings
Invest in highly liquid money market instruments and provide easy liquidity; predominantly invest in liquid instruments and debt securities with maturity profiles not exceeding 91 days
Acts as investment manager to Aditya Birla Sun Life Mutual Fund and manages investment portfolios of schemes under SEBI (Mutual Funds) Regulations, 1996
Provides portfolio management services and investment advisory services to offshore funds and high net worth investors under SEBI (Portfolio Managers) Regulations, 1993
Acts as investment manager for two Alternative Investment Funds — one under Category III and another under Category II — with trustee arrangement
Management fees from mutual fund schemes and advisory services
Fees from portfolio management services
Fees from other service offerings
Equity-focused investment schemes managed as part of the mutual fund offerings
Fixed income and debt-focused investment schemes
Liquid and short-term investment schemes
Exchange-traded funds
SWOT Analysis
Strengths
- • Largest non-bank affiliated AMC by QAAUM since March 2018(p.18)
- • Significant AUM base with diversified scheme portfolio(p.18)
- • Established geographically diversified distribution network(p.18)
- • Strong consistent historical growth trajectory(p.32)
- • Largest non-bank affiliated AMC in India and among the four largest by QAAUM(p.85)
- • Strong systematic flows and B-30 penetration driving individual investor customer base(p.85)
- • Well-recognized brand with experienced Promoters(p.85)
- • Diverse product portfolio with research-driven investment philosophy and disciplined risk management(p.85)
- • Pan-India diversified distribution network(p.85)
- • Long-term track record of technology innovation(p.85)
- • Largest non-bank affiliated AMC in India with strong market position(p.139)
- • Diversified pan-India distribution network with extensive physical and digital presence(p.143)
- • Strong equity AUM growth exceeding industry growth rates(p.139)
- • Growing individual investor base with strong systematic transaction growth(p.141)
- • Strong B-30 cities penetration providing growth advantage(p.141)
- • Diverse product portfolio with superior fund performance(p.141)
- • Strong brand and experienced promoters with global scale(p.140)
- • Advanced digital capabilities with high digital transaction penetration(p.143)
- • Leadership scale in major equity and debt fund categories(p.145)
- • Largest AUM in ultra-short duration debt category(p.150)
- • Largest non-bank affiliated AMC position maintained since 2018(p.146)
- • Strong scheme performance vs peers across time horizons(p.152)
- • Diversified geographic reach with 194 branches across 27 states and six union territories(p.146)
- • Extensive distribution network with 66,000+ MFDs and 240+ national distributors(p.156)
- • Experienced promoter group with strong industry presence(p.201)
- • Seasoned management with deep asset management expertise(p.189)
- • Strong and profitable operational track record(p.223)
- • Diversified revenue streams across mutual funds, portfolio management services, and alternative investment funds(p.226)
- • Strong balance sheet with substantial asset base(p.222)
- • Largest non-bank affiliated AMC in India by QAAUM since March 31, 2018(p.273)
- • Extensive pan-India distribution network across multiple channels(p.273)
- • Strong growth in individual investor MAAUM and high B-30 city penetration(p.274)
- • Significant SIP traction with 2.80 million outstanding SIPs as of June 30, 2021(p.274)
- • Superior digital capabilities with high proportion of digital transactions(p.274)
- • Strong backing from Aditya Birla group and Sun Life Financial Inc.(p.274)
- • Improved equity-oriented scheme mix driving higher profitability(p.274)
- • Strong AUM growth and equity scheme expansion(p.279)
- • High digital transaction adoption providing competitive advantage(p.278)
- • Digital enablement of distribution network(p.278)
- • Increasing digital transaction penetration(p.280)
- • Profitability growth despite market challenges(p.287)
- • Governance structure provides proportionate representation and rights to both shareholder groups(p.374)
- • Clear founder continuity with Chairman nominated by Aditya Birla(p.381)
- • Minimum 26% shareholding protection for foreign investor(p.374)
Weaknesses
- • High dependence on limited AUM base for revenue(p.31)
- • Significant portfolio concentration in top schemes(p.36)
- • Underperformance of schemes relative to benchmarks(p.31)
- • Exposure to credit risks in debt portfolio(p.32)
- • Dependence on key investment professionals(p.37)
- • Dependence on third-party service providers for critical operations(p.42)
- • High operational risk from internal process failures and fraud(p.42)
- • Potential KYC and AML compliance failures despite existing systems(p.42)
- • High IT system dependency with cybersecurity vulnerabilities(p.42)
- • Leased premises with renewal risks(p.47)
- • Untraceable secretarial records creating legal exposure(p.48)
- • Joint venture control structure with Promoters retaining significant influence post-IPO(p.47)
- • Related-party transaction risks and potential conflict of interest(p.44)
- • Revenue concentration in top distributors though improving(p.143)
- • Declining ratio of profit before tax to AUM(p.138)
- • Revenue pressure from regulatory margin compression(p.138)
- • Declining SIP count despite rising AUM(p.154)
- • Decline in investor folios despite AUM growth(p.147)
- • Declining alternative assets AUM from prior periods(p.147)
- • High concentration in smaller fund categories(p.148)
- • Limited IPO history and newly established track record in alternative investments(p.146)
- • Heavy reliance on promoter shareholding creates concentration risk(p.203)
- • Dependence on fee-based revenue from managed assets which are subject to market volatility(p.226)
- • Related party transaction exposure with group companies(p.213)
- • Zero outstanding borrowings or debt facility indicating potential financial constraints(p.273)
- • High dependence on household savings and investment preferences in India(p.275)
- • Investment returns sensitive to equity and debt market volatility(p.275)
- • Growing dependence on technology exposing business to IT security risks(p.276)
- • High dependence on single asset manager relationship(p.291)
- • Declining AUM due to market volatility and pandemic impact(p.278)
- • Regulatory-induced compression in fees and commission income(p.278)
- • Revenue decline year-over-year(p.287)
- • Employee litigation involving senior management(p.295)
- • Complex joint venture structure with veto rights for both shareholders may constrain business flexibility(p.385)
- • Extensive list of matters requiring unanimous shareholder approval creates operational bottlenecks(p.391)
- • Founder group has preferential control despite minority-like shareholding constraints(p.381)
Opportunities
- • Significant expansion potential in low-penetration mutual fund market(p.39)
- • Growing retail investor participation driving industry growth(p.18)
- • Expansion into under-penetrated B-30 markets(p.39)
- • Diversified distribution channels enable reach expansion(p.33)
- • Expanding individual investor base through systematic investment plans(p.85)
- • New product development and launch in existing lines of business(p.43)
- • Potential for international expansion through subsidiaries(p.43)
- • Expanding into high-growth B-30 cities and rural markets with low penetration(p.144)
- • Growing equity AUM share towards industry average levels(p.144)
- • Increasing digital platform penetration for customer acquisition(p.144)
- • Developing alternative investments and passive products offerings(p.144)
- • Expanding EM (emerging market) representative network at low cost(p.144)
- • Expected long-term industry AUM growth at 11-13% CAGR(p.108)
- • Rising retail investor participation and SIP adoption(p.118)
- • Expansion in alternative investments targeting HNI and institutional investors(p.146)
- • Offshore equity AUM expansion into new geographies including US, UK, and Europe(p.146)
- • Joint venture in real estate funds with global investor(p.146)
- • Passive investments and ETF market share gains(p.146)
- • Digital distribution expansion with fintech and cross-border partners(p.146)
- • Retail investor penetration in B-30 cities with 143 branches already positioned(p.146)
- • Potential to expand asset management services and grow assets under management(p.226)
- • Growing alternative investment fund business with two established AIFs(p.226)
- • Global expansion through offshore subsidiaries in Singapore, Mauritius and Dubai(p.227)
- • Access to large retail and institutional investor base through parent promoters(p.201)
- • India's high household savings rate and growing proportion of financial assets(p.275)
- • Shift from physical assets to financial assets in household savings(p.275)
- • Growing individual investor participation in mutual fund industry(p.275)
- • Untapped market potential in emerging markets (B-30 cities)(p.276)
- • Expansion of distribution network including national distributors and banks(p.276)
- • Expansion of B-30 cities with additional TER allowance(p.278)
- • E-wallet payment facilitation for broader investor reach(p.278)
- • Growth in systematic investment products awareness(p.279)
- • Stock market gains driving equity scheme expansion(p.277)
- • Building stable systematic transaction pipeline(p.279)
- • IPO pathway with guaranteed founder shareholding retention(p.375)
- • Potential to expand business through professional management(p.384)
- • Scale through subsidiary creation with proportionate governance representation(p.386)
Threats
- • COVID-19 pandemic causing market volatility and fund outflows(p.29)
- • Intense competition from existing and new market participants(p.37)
- • Volatility in Indian equity markets affecting AUM(p.31)
- • Regulatory changes reducing expense limits and compression on fees(p.39)
- • SEBI regulatory scrutiny and inspection risks(p.35)
- • Low financial literacy and awareness in Indian market(p.39)
- • Economic slowdown reducing wealth available for investment(p.50)
- • Volatility in Indian securities market affecting stock price and liquidity(p.50)
- • Increased competition and fee pressure from market participants(p.46)
- • Adverse changes in mutual fund taxation regime affecting investor preferences(p.49)
- • Rising inflation reducing savings and investment trends(p.51)
- • Regulatory changes and uncertainties in tax and compliance requirements(p.51)
- • Global financial market instability and geopolitical tensions affecting India(p.50)
- • COVID-19 pandemic increasing cyber-attack risks from electronic transactions(p.42)
- • Low financial literacy limiting mutual fund penetration(p.104)
- • Competition from other financial instruments including insurance products(p.105)
- • High cost of retail expansion in B-30 markets(p.105)
- • Downturn or volatility in mutual funds affecting retail participation(p.104)
- • Stamp duty on mutual fund purchases impacting returns(p.104)
- • Political instability and protectionist measures impacting growth(p.105)
- • Regulatory reduction in total expense ratios reducing profitability(p.105)
- • Intense competition from large AMCs and financial institutions(p.161)
- • Potential industry consolidation increasing competitive disadvantage(p.161)
- • Regulatory compliance burden including SEBI inspection requirements(p.157)
- • Tight expense ratio regulations constraining fee revenue flexibility(p.165)
- • Competition from substitute investment products including insurance, bank deposits and real estate(p.161)
- • Sensitivity to equity market performance and volatility affecting assets under management(p.226)
- • COVID-19 pandemic impact on financial markets and economic activity(p.226)
- • Regulatory changes and evolving compliance requirements in asset management industry(p.215)
- • Competition from other asset managers in the financial services space(p.213)
- • Concentration risk in managed funds affecting revenue stability(p.42)
- • Significant volatility in Indian equity and debt markets affecting AUM(p.275)
- • Rising interest rates may shift investor assets to lower-fee liquid and overnight funds(p.275)
- • COVID-19 pandemic impact on business and operations uncertain and unpredictable(p.275)
- • Sensitivity of debt scheme fees to market conditions and competitive environment(p.276)
- • Regulatory changes impacting cost structure and revenues(p.278)
- • COVID-19 pandemic impact on investment performance and consumer sentiment(p.278)
- • Market volatility and capital markets cyclicality(p.290)
- • Geopolitical risks affecting emerging markets(p.291)
- • Interest rate risk on fixed income scheme valuations(p.291)
- • Credit risk in fixed income investments(p.291)
- • Deadlock risk if founder shareholders cannot resolve dissatisfaction within timeframe(p.371)
- • Buy/Sell rights could force ownership changes if shareholders deadlock(p.372)
- • Regulatory changes could invalidate cornerstone JV agreements at IPO(p.375)
- • Foreign investor exit constrained by mandatory founder shareholding floor(p.374)
Promoters
| Name | Role | Pre-Issue | Post-Issue |
|---|---|---|---|
| Aditya Birla Capital Limited | Promoter | 51.00% | — |
| Sun Life (India) AMC Investments Inc. | Promoter | 49.00% | — |
| ABCL | Promoter | 51.00% | 50.01% |
| Sun Life AMC | Promoter | 49.00% | 36.49% |
| Aditya Birla Group (through ABCL - Aditya Birla Capital Limited) | Promoter | — | — |
| Sun Life Financial Inc. (through Sun Life AMC) | Promoter | — | — |
| Aditya Birla Capital Limited (ABCL) | Promoter | — | — |
| Sun Life AMC | Promoter | — | — |
| Aditya Birla Capital Limited (ABCL) | Promoter | 51% (146,879,680 Equity Shares of the pre-Offer Equity Share capital) | — |
| Sun Life (India) AMC Investments Inc. (Sun Life AMC) | Promoter | 49% (141,120,000 Equity Shares of the pre-Offer Equity Share capital) | — |
| Aditya Birla Capital Limited and its Nominees | Promoter Group/Entity having Joint Control | 51.00% | — |
| Sun Life (India) AMC Investments Inc. | Promoter/Entity having Joint Control | 49.00% | — |
| Aditya Birla Capital Limited | Promoter | — | — |
| Sun Life AMC (Bermuda) Limited | Promoter | — | — |
| Aditya Birla Capital Limited (ABCL) | Promoter Group | — | — |
| Sun Life (India) AMC Investments Inc. (Sun Life India) | Promoter Group | — | — |
Leadership
Kumar Mangalam Birla · Chairman
A Balasubramanian · Managing Director and Chief Executive Officer
Parag Joglekar · Chief Financial Officer
Hemanti Wadhwa · Head - Compliance, Legal and Secretarial, Company Secretary and Compliance Officer
Auto-extracted from the company's RHP using AI, with each fact linked to its source passage (hover any row to see the quote & page). Provided for research only, not investment advice — verify against the official RHP before relying on it.
Aditya Birla AMC IPO FAQs
What is the lot size of Aditya Birla AMC IPO?
The minimum lot size of Aditya Birla AMC IPO is 20 shares. One lot costs ₹14,240 at the cut-off price.
When does Aditya Birla AMC IPO open and close?
Aditya Birla AMC IPO opened for subscription on 29 Sep 2021 and closed on 01 Oct 2021.
What is the listing date of Aditya Birla AMC IPO?
Aditya Birla AMC IPO listed on 11 Oct 2021.