Standard Life Investments, the promoter of the company, told exchanges that it has proposed to sell up to 4.75 million equity shares through offer for sale (representing 2.23 percent of the total paid-up equity share capital) of HDFC AMC, with an option to additionally sell up to 3.85 million equity shares (representing 1.81 percent).
Standard Life Investments intimated the exchanges of its intention to exercise the oversubscription option in the offer to the extent of 1.83 million shares (representing 0.86 per cent of the total paid-up share capital) in addition to 4.75 million equity shares forming part of the base offer size.
The stake-sale conducted on the BSE and NSE on Wednesday, December 4, was for institutional investors and today, December 5, for retail investors. The floor price for the sale has been set at Rs 3,170 per equity share. The share-sale is being undertaken by the promoter for achieving the minimum public shareholding in the company, as prescribed under markets
regulator Sebi's norm.
As of September 2019, Standard Life held 29.94 per cent stake in the mutual fund house, while HDFC owned 52.76 per cent. Total promoter holding in the company stood at 82.70 per cent.
However, despite of recent fall in market price, thus far in the calendar year 2019, the stock has more than doubled from a level of Rs 1,510 on the BSE. In comparison, the S&P BSE Sensex was up 13 per cent during the year.