ICICI Prudential Asset becomes fourth most subscribed India IPO with $33 billion in bids

By Admin

17 Dec, 2025

India’s primary market witnessed another historic moment as ICICI Prudential Asset Management attracted massive investor interest, emerging as the fourth most subscribed initial public offering (IPO) in the country’s history.

IPO Sees Overwhelming Investor Response

According to Reuters (December 16), ICICI Prudential Asset Management received bids worth nearly 3 trillion rupees (around $33 billion) for its IPO. The $1.2 billion share sale, which closed on Tuesday, recorded the highest subscription levels after landmark IPOs such as Reliance Power in 2007, LG Electronics India earlier this year, and Bajaj Housing Finance in 2024.

This strong response highlights growing investor confidence in India’s capital markets and the asset management sector.

Boost to India’s Record Fundraising Year

The successful IPO has further strengthened India’s position on track for a record year of fundraising. Several major companies have tapped the markets in 2025, including financial sector players like Groww, HDB Financial Services, and Tata Capital. Together, these listings underline the sustained momentum in India’s equity markets.

Strong Pedigree and Industry Outlook

Market experts attribute the overwhelming demand to the company’s strong fundamentals and the positive outlook for India’s mutual fund industry. Kranthi Bathini, Director – Equity Strategy at WealthMills Securities, noted that ICICI Prudential AMC’s strong pedigree, combined with long-term growth prospects in asset management, makes it an attractive investment opportunity.

About ICICI Prudential Asset Management

ICICI Prudential Asset Management is a joint venture between ICICI Bank, India’s second-largest private sector bank, and UK-based insurer Prudential. The IPO was an offer for sale by Prudential. As of the end of September, the firm managed assets worth over 10 trillion rupees (approximately $110 billion), commanding a 13.2% market share.

Institutional Investors Lead the Demand

Institutional investors dominated the bidding process, with their reserved portion subscribed an extraordinary 124 times. Non-institutional investors subscribed their portion 22 times, while retail investors subscribed 2.5 times. The shares reserved for ICICI Bank shareholders were subscribed 9.8 times, reflecting broad-based participation across investor categories.

Pre-IPO Stake Sale to Marquee Investors

Ahead of the IPO, Prudential sold a 4.5% stake in the asset manager for about $545 million to prominent investors, including the Abu Dhabi Investment Authority and the family offices of Azim Premji and Rakesh Jhunjhunwala. This move further boosted market confidence ahead of the public issue.

Listing Ahead

The shares of ICICI Prudential Asset Management are expected to debut on the stock exchanges on Friday, marking another milestone for India’s booming IPO market and reinforcing investor optimism around high-quality financial services companies.

($1 = 90.9210 Indian rupees)