ICICI Prudential Asset Management Company (AMC) has filed the draft papers for its public issue with the Securities and Exchange Board of India (Sebi). With the filing of its draft papers, ICICI Prudential AMC has joined a long list of companies that are planning to tap the primary market in 2025. ICICI Prudential AMC is slated to be the second biggest public issue from the financial services sector in 2025 after HDB Financial Services’ Rs 12,500 crore fundraise.
The public issue is also the ICICI group's fifth company to list on D-Street. Earlier, ICICI Group companies, such as ICICI Bank, ICICI Prudential Life, ICICI Lombard, and ICICI Securities made their debut on the exchanges.
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Here’s a look at five key things to know about ICICI Prudential AMC’s initial public offering (IPO) on the basis of the company’s draft red herring prospectus (DRHP).
ICICI Prudential AMC IPO OFS
ICICI Prudential AMC IPO consists of an offer-for-sale (OFS) component of 17.6 million shares. Prudential Corporation Holdings is expected to pare its stake in the OFS.
ICICI Prudential AMC: Business
ICICI Prudential AMC is one of the oldest companies in the domestic mutual fund industry, according to its DRHP. The ICICI Bank subsidiary also mentioned in its draft papers that its investment approach involves managing risk first while aiming for long-term returns for its customers. The company added that it is the second largest AMC in India and has a market share of 13 per cent as of March 31, 2025. The company’s customer base comprised 14.6 million customers as of March 31, 2025.
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According to ICICI Prudential AMC’s draft papers, it has the most number of schemes in the mutual fund industry as on March 31, 2025. ICICI Prudential AMC has 135 schemes consisting of 42 equity and equity-orientated schemes, 20 debt-focused schemes, 56 passive schemes, 14 fund-of-fund domestic schemes, one liquid scheme, one overnight scheme, and one arbitrage scheme.
ICICI Prudential AMC IPO: Financial and Key Competitors
According to ICICI Prudential AMC’s DRHP, the company’s total revenue from operations for the fiscal year ending March 31, 2025, grew by over 32 per cent to Rs 4,977.30 crore compared to Rs 3,758.20 crore at the end of the preceding fiscal year. ICICI Prudential AMC’s profit after tax (PAT) for FY 2024-25 stood at Rs 2,650.70 crore, up by over 29 per cent compared to Rs 2,049.70 crore in FY 2023-24.
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The company mentioned in its DRHP that its key competitors include SBI Funds Management, HDFC AMC, Nippon Life AMC, Kotak Mahindra AMC, Aditya Birla Sun Life AMC, and UTI AMC. The company added that it also faces competition from other financial products, such as insurance, bank deposits, pension products, and small savings schemes, among others.
ICICI Prudential AMC IPO: Strengths and Risks
Here’s a look at some of the key strengths of ICICI Prudential AMC according to the company’s DRHP:
ICICI Prudential AMC mentioned in its DRHP that it is the largest asset management company in India in terms of assets across different active mutual fund schemes.
ICICI Prudential AMC also claimed in its DRHP that it has the largest individual investor franchise in terms of mutual fund assets under management.
The company mentioned in the DRHP that as on March 31, 2025, its mutual fund Monthly Average Assets Under Management (MAAUM) from individual investors were Rs 5,658.2 billion, the highest individual investor MAAUM in the domestic mutual fund industry.
The company also mentioned that it has a diversified product portfolio consisting of 135 mutual fund schemes, the highest number of schemes managed by a single AMC in India.
It further said that it has a pan-India, multi-channel and diversified distribution network across both physical and digital platforms. The company added that its network consists of 106,475 institutional and individual mutual fund distributors, 209 national distributors and 64 banks.
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Here’s a look at some of the key risks related to ICICI Prudential AMC’s business according to the company’s DRHP:
It said that several factors are beyond its control, such as adverse market or economic conditions, which can affect its business. The company added that a reduction in its AUM can cause the company’s management fees from mutual fund operations and portfolio management services to reduce as well.
The AMC also mentioned in its draft papers that the underperformance of its investment products can adversely affect the company’s business and results of operations, adding that historical performance is not indicative of its future growth, and if the company fails to implement its growth strategies, its cash flows may be adversely affected.
It further said that it relies on the strength of the brand and reputation of its promoters, as well as other ICICI Group entities and Prudential Group entities. Any harm to the reputation of these entities can also affect ICICI Prudential AMC’s operations.
ICICI Prudential AMC IPO: Objective
The company will not receive any proceeds from the public issue, as it only comprises a stake sale by the Prudential Group. ICICI Prudential AMC also said that it expects that the listing of its shares is likely to enhance the company’s visibility and brand image.
