UTI Asset Management Company Limited (the “Company’), the second largest asset management

UTI Asset Management Company Limited

Initial Public Offer of Equity Shares

to open on 29^th September 2020

 ·        Price band fixed at Rs 552 to Rs 554 per equity share

·        Offer to remain open from September 29^th to October 01^st 2020

 UTI Asset Management Company Limited (the “Company’), the second largest asset management company in India in terms of Total AUM[2]  and the eighth largest asset management company in India in terms of mutual fund QAAUM (Quarterly Average Assets Under Management) as of June 30, 2020, according to CRISIL, will open the initial public offer of equity shares of face value bearing Rs 10 each (“Equity Shares” and such initial public offer, the “Offer”) on 29^th September 2020. The Offer is proposed to close on October 1, 2020. The price band of the Offer has been fixed at Rs 552 to Rs 554 per Equity Share.

The Offer consists of an initial public offer of up to 38,987,081 Equity Shares by the Selling Shareholders (defined subsequently) comprising an offer for sale of up to 10,459,949 Equity Shares by State Bank of India (“SBI”), up to 10,459,949 Equity Shares by Life Insurance Corporation of India (“LIC”), up to 10,459,949 Equity Shares by Bank of Baroda (“BOB”), up to 3,803,617 Equity Shares by Punjab National Bank (“PNB”) and up to 3,803,617 Equity Shares by T. Rowe Price International Ltd. (“TRP” and together with SBI, LIC, BOB and PNB, the “Selling Shareholders”). The Offer includes a reservation of up to 200,000 Equity Shares (constituting up to 0.16% of the post-Offer paid-up Equity Share capital of the Company) for purchase by eligible employees (the “Employee Reservation Portion”). The Offer less the Employee Reservation Portion is hereinafter referred to as the “Net Offer”. The Offer and the Net Offer would constitute at least 30.75% and 30.59% of the post-Offer paid-up Equity Share Capital of the Company, respectively.

Bids can be made for a minimum of 27 Equity Shares and in multiples of 27 Equity Shares thereafter.

The Equity Shares offered pursuant to the Offer are proposed to be listed on BSE Limited and National Stock Exchange of India Limited (“NSE”). For the purpose of the Offer, NSE is the designated stock exchange.

Kotak Mahindra Capital Company Limited, Axis Capital Limited, Citigroup Global Markets India Private Limited, DSP Merrill Lynch Limited, ICICI Securities Limited, JM Financial Limited and SBI Capital Markets Limited are the book running lead managers to the Offer (“BRLMs”).

The Offer is being made in terms of Rule 19(2)(b) of the Securities Contracts (Regulation) Rules, 1957, as amended (the “SCRR”) read with Regulation 31 of the Securities and Exchange Board of India (Issue of Capital and Disclosure Requirements) Regulations, 2018, as amended (the “SEBI ICDR Regulations”). The Offer is being made through the Book Building Process and in compliance with Regulation 6(1) of the SEBI ICDR Regulations, wherein not more than 50% of the Net Offer shall be available for allocation on a proportionate basis to Qualified Institutional Buyers (“QIBs”, the “QIB Portion”), provided that the Company and the Selling Shareholders may, in consultation with the BRLMs, allocate up to 60% of the QIB Portion to Anchor Investors on a discretionary basis (the “Anchor Investor Portion”), out of which one-third shall be reserved for domestic mutual funds, subject to valid Bids being received from domestic mutual funds at or above the Anchor Investor Allocation Price, in accordance with the SEBI ICDR Regulations. In the event of under-subscription, or non-allocation in the Anchor Investor Portion, the balance Equity Shares shall be added back to the QIB Portion.

Further, 5% of the QIB Portion (excluding the Anchor Investor Portion) shall be available for allocation on a proportionate basis to domestic mutual funds only, and the Net QIB Portion shall be available for allocation on a proportionate basis to all QIB Bidders (other than Anchor Investors), including domestic Mutual Funds, subject to valid Bids being received at or above the Offer Price. Further, not less than 15% of the Net Offer shall be available for allocation on a proportionate basis to Non-Institutional Bidders and not less than 35% of the Net Offer shall be available for allocation to Retail Individual Bidders (“RIBs”) in accordance with the SEBI ICDR Regulations, subject to valid Bids being received at or above the Offer Price. Further, Equity Shares will be allocated on a proportionate basis to Eligible Employees applying under the Employee Reservation Portion, subject to valid Bids received from them at or above the Offer Price. All Bidders, other than Anchor Investors, are required to mandatorily utilise the Application Supported by Blocked Amount (“ASBA”) process, providing details of their respective bank accounts (including UPI ID in case of RIBs in which the Bid Amount will be blocked by the SCSBs or the Sponsor Bank), as the case may be, to participate in the Offer. Anchor Investors are not permitted to participate in the Offer through the ASBA process.