Reliance Nippon Life Asset Management Limited (formerly Reliance Capital Asset Management Limited), incorporated on February 24, 1995, is an RBI registered non-banking finance company with business interests ranging from asset management and mutual funds, life, health and general insurance, commercial and home finance to stock broking, wealth management services, distribution of financial products, asset reconstruction and proprietary investments.
Reliance Nippon Life Asset Management Limited or Reliance Nippon is one of the largest asset management companies in India, managing a total AUM of Rs. 3,62,550 crore as of June 30, 2017.
Reliance Nippon has a pan India network of 171 branches and approximately 58,000 distributors including banks, financial institutions, national distributors and independent financial advisors (IFAs), as of June 30, 2017.
Reliance Nippon manages their offshore funds through subsidiaries in Singapore and Mauritius and has a representative office in Dubai, which allows them to cater to investors across Asia, Middle East, UK, US, and Europe. As of June 30, 2017, they managed a total AUM of Rs. 2,207 Crore as a part of their offshore fund management portfolio and Rs. 5,277 Crore from their international advisory mandates.
- Rs. 1512-1,542 crore
- 59 equity shares and in multiples thereafter
- QIB - 50% NIB - 15% Retail - 35%
- Rs. 10
- ASBA mandatory (No cheques will be accepted)
- Proposed to be listed on BSE and NSE
- JM Financial Institutional Securities Ltd, CLSA India Pvt. Ltd,
Nomura Financial Advisory and Securities (India) Pvt. Ltd, Axis Capital Ltd - Edelweiss Financial Services Ltd, IIFL Holdings Ltd, SBI Capital Markets Ltd, YES Securities (India) Ltd.
- Karvy Computershare Private Ltd
Note :Please note that as per the new SEBI regulations, all initial public offerings (IPOs) after January 1, 2016 need to be subscribed to through the application supported block amount (ASBA) route only. These changes have altered the existing seamless online bidding process. We are striving to make this process completely online for you again. We seek your kind support in the interim.
- Leading asset management company with strong growth credentials
- Multi channel distribution network
- Comprehensive suite of products with a distinguished investment track record
- A customer centric focus centred towards processes and innovation
- Experienced management team
- Fresh Issue
- Offer for Sale
Reliance Nippon proposes to utilise the net proceeds from the fresh issue towards:
(i) Setting up new branches and relocating certain existing branches
(ii) Upgrading the IT system
(iii) Advertising, marketing and brand building activities
(iv) Lending to their subsidiary, Reliance AIF for investment in the new AIF schemes managed by Reliance AIF
(v) Investing towards company's continuing interest in their new mutual fund schemes
(vi) Funding inorganic growth and other strategic initiatives
(vii) Meeting expenses towards general corporate purposes
The promoter selling shareholders propose to sell an aggregate of up to 36,720,000 equity shares held by them, aggregating up to Rs. 9069.84* to Rs. 9253.44^ million after deducting their proportion of offer related expenses.
Note: * Based on lower price band of issue
An initial public offering (IPO)/public issue is when an unlisted company makes either a fresh issue of securities or an offer for sale of its existing securities or both for the first time to the public. This paves the way for listing and trading of the issuer’s securities.
The shares are initially issued in the primary market at an offering price determined by the lead manager(s)/the merchant banker(s) to the IPO.
The primary market consists of a syndicate of investment banks and broker dealers that the lead managers assemble and that allocate shares to institutional, high net worth individuals (HNI) and individual/retail investors.
As far as IPOs are concerned, a price band is a value-setting method whereby a seller indicates an upper and lower cost range, between which the buyers/investors are able to place their bids. The price band's floor and cap provide guidance to the buyers.
It is up to the company to decide on the IPO price or the price band, in consultation with the lead managers.
The basis of IPO price is disclosed in the offer document. The issuer is required to disclose in detail about the qualitative and quantitative factors justifying the IPO price.
The IPO price is normally based on such factors as the company’s financials, products and services, income stream as well as the demand for the shares and current market conditions.
The lead managers must determine a fair offering price, which takes into consideration the need for the company to raise capital while offering the new issue at a price which represents a fair value of the shares.
A Red Herring Prospectus (RHP) is a document submitted by a company (issuer) as part of a public offering or an IPO of securities (either stocks or bonds).
A retail individual investor means an investor who applies or bids for securities of or for a value of not more than Rs 2,00,000.
Yes. He can bid in a book-built IPO for a value not more than Rs 2,00,000. Any bid made in excess of this will be considered in the HNI category.
Yes. Investors can change or revise the quantity or price in the bid using the form for changing/revising the bid that is available along with the application form. However, the entire process of changing or revising the bids shall be completed before the IPO closes.
In case of fixed price issues, investors are intimated about the CAN/Refund order within 10 days of the closure of the IPO.
In case of book built IPOs, the basis of allotment is finalised by the book-running lead managers within two weeks from the closure of the issue. The registrar then ensures that the demat credit or refund as applicable is completed within 6 working days of the closure of the issue.
In the case of book-built issues, the exchanges (Bombay Stock Exchange/National Stock Exchange) display the data regarding the bids obtained (on a consolidated basis between both these exchanges).
The data regarding the bids is also available category-wise.
Investors are entitled to receive a Confirmatory Allotment Note (CAN) in case they have been allotted shares within 6 working days from the closure of a book Built issue. The registrar has to ensure that the demat credit or refund as applicable is completed within 6 working days of the closure of the book-built issue.
The lead managers also publish an advertisement at least in an English national daily with wide circulation, one Hindi national paper and a regional language daily circulated at the place where registered office of the issuer company is situated.
The listing on the stock exchanges is done within seven days from the finalisation of the issue.
Ideally, it would be around three weeks after the closure of the book-built issue.
In case of fixed price issue, it would be around 10 days after closure of the issue.