ICICI Prudential AMC IPO Day 3 Highlights: Issue booked 39.17x; all eyes on allotment now — GMP remains firm

ICICI Prudential IPO was subscribed 39.17 times at the end of the third and final day of bidding on Tuesday. The issue received bids for 1,37,14,88,316 shares as against 3,50,15,691 shares on offer.

The QIB portion received the most bids at 123.87 times. Meanwhile, the NII portion was subscribed 22.04 times and the retail segment 2.53 times. The portion reserved for shareholders was booked 9.75 times.

The company has established an extensive and geographically diversified pan-India distribution network comprising 272 offices across 23 states and four union territories. Its distribution network includes 1,10,719 institutional and individual MFDs, 213 national distributors, and 67 banks (including ICICI Bank) as of September 30, 2025. The company leverages the extensive distribution network of ICICI Bank, one of its promoters and a registered MFD.

India’s mutual fund industry continues to demonstrate strong structural momentum, with QAAUM rising from ₹54.1 trillion in March 2024 to ₹67.4 trillion in March 2025, and further to ₹77.1 trillion by September 2025, reflecting sustained market depth and investor participation. The industry delivered an 18.4% CAGR over FY2019–FY2025 and is projected to grow at 16–18% through FY2030, supported by the rising financialisation of savings and expanding retail adoption.

Growth remains broad-based, supported by strong equity and hybrid flows, deeper B30 penetration, and rising SIP adoption. With 16.5% year-on-year growth in H1 FY2026 and favourable structural drivers, the sector offers solid long-term visibility for scaled players like ICICI Prudential AMC.

ICICI Prudential AMC prioritizes organic expansion by enhancing investment track records and expanding reach through digital direct channels and distributor partnerships. It aims to scale its high-potential alternatives segment (PMS/AIFs) through targeted mergers, exemplified by the pending Business Transfer Agreement for acquiring Category II AIF schemes.

International expansion plans include a GIFT City IFSC presence and explorations in the DIFC. These initiatives align with India’s rising equity penetration and household financialisation trends.

Valuation: Premium multiples reflect ICICI Prudential AMC's AUM leadership, operational excellence, and strong FY25 RoE of 82.8%, which outpaces peers. Subscribe for its fortified growth runway in a rapidly expanding asset management landscape.

— Views by Deven Choksey Research

• To carry out an OFS of up to 48,972,994 Equity Shares with a face value of ₹1 each, by the promoter selling shareholder.
• To achieve the benefits of listing the Equity Shares on the stock exchanges.

ICICI Prudential AMC IPO was booked 38.76 times so far as it received bids for 1,35,73,37,238 shares as against 3,50,15,691 shares on offer. The QIB segment was booked 122.71 times, the NII segment was subscribed 21.96 times and the retail quota was subscribed 2.39 times.

Market Risks: Volatility can reduce AUM and trigger redemptions, with mark-to-market (MTM) losses occurring if asset values decline.

Regulatory Risks: Non-compliance may lead to fines, tax disputes, and regulatory changes, such as yield compression from TER adjustments, impacting profitability.

Operational Risks: High employee attrition, dependence on third-party distributors, brand reliance, third-party issues, and cybersecurity threats.

ICICI AMC is one of the most profitable asset management companies in India, with total income growing by 20.0% in H1 FY26 and PAT increasing by 29.3% from FY24 to FY25. The company achieved an exceptional RoE of 86.8% in H1 FY26, reflecting outstanding capital efficiency. Its zero external borrowings and low-capex operating model ensure the ability to sustain high profitability and maintain an exceptional RoE.

Arun Kejriwal, Founder at Kejriwal Research & Investment Services, is bullish on the ICICI Prudential AMC IPO, citing its attractive valuations relative to its market size compared with its biggest listed peer, HDFC AMC.

“Even though HDFC AMC ranks third, its P/E multiple is higher than ICICI Pru’s, indicating potential upside. While allotment may be difficult, there is money on the table."

By 2:45 pm on Day 3 of bidding, the public issue had been subscribed 17.86 times, the retail portion of the public issue had been booked 2.09 times, the NII segment had been subscribed 20.05 times, whereas the QIB portion had been filled 46.23 times. Meanwhile, the shareholders quota was bid 8.71 times

The company has received bids for 62.54 crore shares against 3.50 crore shares on offer.

“At the upper price band of ₹2,165, the IPO values ICICI Prudential AMC at a post-issue P/E of 33.07x FY25 earnings, indicating that the issue is fully priced. However, the company’s leadership across active and individual AUM, strong profitability and return ratios, a debt-free balance sheet, and supportive industry tailwinds provide healthy visibility for compounding. We therefore recommend a “Subscribe” rating for Long Term investors,” said Angel One.

The grey market premium (GMP) for the ICICI Prudential AMC IPO stands at ₹345 today. This indicates that ICICI Prudential AMC shares are trading ₹345 above the upper price band of ₹2165. Based on the current GMP, the estimated listing price is around ₹2,510, reflecting a premium of 15.94%.

“We assign a SUBSCRIBE rating to the ICICI Pru AMC IPO. At the midpoint of the price band, ICICI Pru AMC would trade at 39.3x FY25 P/E compared with 46.1/41.4 for HDFCAMC/NAM. The delivered 2-year FY23-25 net profit CAGR for ICICI Pru AMC is 32.0% compared with 31.4%/33.4% for HDFCAMC/NAM,” said Yes Securities.

By 1:40 pm on Day 3 of bidding, the public issue had been subscribed 11.05 times, the retail portion of the public issue had been booked 1.81 times, the NII segment had been subscribed 17.05 times, whereas the QIB portion had been filled 23.65 times. Meanwhile, the shareholders quota was bid 7.42 times

The company has received bids for 38.67 crore shares against 3.50 crore shares on offer.

ICICI Prudential AMC’s financial performance highlights strong operating leverage and remarkable scalability. Revenue rose at a 32% CAGR to ₹4,979.67 crore in FY25, supported by expanding AUM and a growing equity mix. EBITDA margins consistently stayed above 73%, while net profit margins remained in the 53–54% range, translating into an exceptional ROE of 82.8%—well ahead of industry peers. With a zero-debt balance sheet adding to financial strength, the company’s EPS increased to ₹53.6.

The allotment of shares is expected to be finalised on December 17, 2025. Refunds and demat credit of shares are likely to be completed by December 18. The company’s shares are scheduled to list on the National Stock Exchange and the Bombay Stock Exchange on December 19, 2025, subject to approvals.

The grey market premium (GMP) for the ICICI Prudential AMC IPO stands at ₹336 today. This indicates that ICICI Prudential AMC shares are trading ₹336 above the upper price band of ₹2165. Based on the current GMP, the estimated listing price is around ₹2,501, reflecting a premium of 15.52%.

By 12:15 pm on Day 3 of bidding, the public issue had been subscribed 5.37 times, the retail portion of the public issue had been booked 1.45 times, the NII segment had been booked 11.71 times, whereas the QIB portion had been filled 7.40 times.

The company has received bids for 18.81 crore shares against 3.50 crore shares on offer.

The book running lead managers to the issue include Citigroup Global Markets, Morgan Stanley India, BOFA Securities India, Axis Capital, CLSA India, IIFL Capital Services, Kotak Mahindra Capital, Nomura Financial Advisory, SBI Capital Markets, ICICI Securities, Goldman Sachs (India), Avendus Capital, BNP Paribas, HDFC Bank, JM Financial, Motilal Oswal Investment Banking, Nuvama Wealth Management and UBS Securities India.

The ICICI Prudential Asset Management Company IPO is a pure Offer for Sale, with 4.89 crore equity shares being divested—equivalent to about 9.9% of the company's paid-up equity capital. All shares are being offloaded by Prudential Corporation Holdings, and the company will not receive any proceeds from the issue.

As per SBI Securities, ICICI Prudential AMC remains one of India’s leading asset managers, backed by strong parentage and a dominant position in active mutual fund schemes. The company benefits from its association with the ICICI Bank brand and a deeply entrenched pan-India distribution network, both of which reinforce its long-term growth trajectory. Between FY23 and the first half of FY26, its total QAAUM, mutual fund QAAUM and equity QAAUM posted impressive CAGRs of 33%, 33% and 39%, respectively.

At the upper end of the price band, the IPO is valued at an annualised 1HFY26 P/E multiple of 33.1x. The Indian mutual fund industry is projected to grow at a 16–18% CAGR, while SIP AUM is expected to expand at 25–27% between FY25 and FY30P. According to SBI Securities, this structural growth—driven by rising financialisation of household savings and increasing demat penetration—supports a favourable long-term outlook for ICICI Prudential AMC.

The grey market premium (GMP) for the ICICI Prudential AMC IPO stands at ₹315 today. This indicates that ICICI Prudential AMC shares are trading ₹315 above the upper price band of ₹2165. Based on the current GMP, the estimated listing price is around ₹2480, reflecting a premium of 14.55%.

By 10:15 am on Day 3 of bidding, the public issue had been subscribed 2.51 times, the retail portion of the public issue had been booked 0.95 times, the NII segment had been booked 5.21 times, whereas the QIB portion had been filled 2.96 times.

The company has received bids for 3.50 crore shares against 8.79 crore shares on offer.

Master Capital Services has assigned a 'subscribe' tag to the public issue, saying, "With a comprehensive suite of mutual fund offerings, growing alternates business, and leadership in equity-oriented and hybrid segments, ICICI Prudential AMC is well-positioned to capitalize on the continued expansion of India’s equity markets, and sustain its dominance through scale, brand strength, and operational excellence. Investors may consider the IPO as a potential long-term investment opportunity."

ICICI Prudential AMC has built a well-penetrated, nationwide distribution network. As of September 30, 2025, the asset manager operated 272 offices across 23 states and four Union Territories. Its reach is supported by 110,719 mutual fund distributors, 213 national distributors, and 67 banking partners, including promoter ICICI Bank.

Digital channels have emerged as the dominant mode of engagement, with transactions through the i-Invest app and the company’s website accounting for 95.3% of purchase volumes in the first half of FY26.

ICICI Prudential Asset Management Company (ICICI Pru AMC) has mobilised ₹3,021 crore from 149 anchor investors ahead of its initial public offering (IPO). The company allotted 13.96 million shares at ₹2,165 each, the upper limit of the price band.

The anchor book witnessed robust demand, drawing participation from sovereign wealth funds, global long-only investors, mutual funds, pension funds and insurance companies. Major investors included Aranda Investments, Zulia Investments, Life Insurance Corporation of India (LIC) and Capital Group Global. Leading domestic mutual funds — such as HDFC Mutual Fund (through multiple schemes), SBI Mutual Fund, Nippon India Mutual Fund and Kotak Mutual Fund — also received substantial allocations.

Aditya Birla Capital, in its IPO note, highlighted that the offer comprises a complete OFS of ₹10,603 crore. The brokerage said the company benefits from a strong and trusted brand, which positions it well to capitalise on the rapid expansion of the industry. It added that consistent fund performance and steady AUM growth over the years have helped the firm cement its place as one of India’s leading asset-management players.

“At the upper price band, the issue is valued at 38x P/E on a TTM basis. We recommend ‘SUBSCRIBE’ to the issue,” the note stated.

The AMC has declared a price band of ₹2,061 to ₹2,165 apiece for the book-building issue. The asset management company aims to raise ₹10,602.65 crore from this public issue, which is entirely an OFS. A bidder will be able to apply in lots, and one lot of the public issue comprises six company shares.

The most likely ICICI Prudential AMC IPO allotment date is 17 December 2025, and the most likely ICICI Prudential AMC IPO listing date is 19 December 2025.

Sharekhan has assigned a 'subscribe' tag to the public issue, saying, "With a strong market share, the company is among the most profitable AMCs in the industry. IPO is valued at ~40.x PE on FY25 earnings (at upper price band), which are fair when compared to the leading players. Considering the company’s consistent track record and superior financial metrics, the valuations are reasonable. Hence, we recommend subscribing to the IPO from a medium to long-term perspective."

The grey market premium (GMP) for the ICICI Prudential AMC IPO stands at ₹302 today. This indicates that ICICI Prudential AMC shares are trading ₹302 above the upper price band of ₹2165. Based on the current GMP, the estimated listing price is around ₹2467, reflecting a premium of 13.95%.

By the end of second day of bidding, the public issue had been subscribed 2.11 times, the retail portion of the public issue had been booked 0.83 times, the NII segment had been booked 3.79 times, whereas the QIB portion had been filled 2.91 times.