UTI Asset Management Co. Ltd (UTI AMC) is likely to sell shares worth around Rs.2,000 crore through an initial public offering and a subsequent offer for sale by March. UTI AMC has been valued at Rs.7,000-8,000 crore, said one of the two company officials cited above. A total of up to 26% of UTI AMC (worth around Rs.2,000 crore) will be sold through a combination of primary and secondary market issuances, this person said. Since UTI AMC’s promoters also have their own asset management companies, they would have to eventually exit from UTI Asset Management to comply with the Sebi norm. Following parliamentary approval for The Unit Trust of India (Transfer of Undertaking and Repeal) Act, 2002, UTI was bifurcated into Specified Undertaking of Unit Trust of India and UTI AMC.

Source: Mint September 04, 2016 18:45 UTC