Prudent Corporate Advisory Services Ltd, which distributes mutual funds, has filed draft papers for an initial public offering (IPO) that will see US private equity firm TA Associates sell shares.
The IPO is an offer for sale of 8.55 million shares by shareholders and promoters. Wagner, a vehicle of TA Associates, will sell up to 8.28 million shares and Shirish Patel will offload up to 2.68 lakh shares. Wagner holds 39.91% stake while Patel has 3.15% of the firm as of now.
ICICI Securities, Axis Capital and Equirus Capital are the book running lead managers to the issue.
Prudent Corporate Advisory primarily distributes mutual funds. It also distributes other financial products such as insurance, portfolio management schemes, alternative investment funds, and bonds.
The firm offers digital wealth management solutions through FundzBazar, PrudentConnect, Policyworld, WiseBasket, Prubazar and CreditBasket.
As on 31 May, its assets under management (AUM) from the mutual fund distribution business stood at Rs 33,316 crore, 88.63% of it being equity-oriented.
The firm was incorporated in 2003 and provides wealth management services to 772,899 retail investors.
It distributes life and general insurance products in India through its wholly owned subsidiary, Gennext. In fiscal 2021, the firm distributed 86,988 policies across life and non-life insurance segments, with an aggregate premium of Rs 157 crore and total brokerage received amounted to Rs 26.4 crore.
For fiscal 2021, total revenue from operations was Rs 286.5 crore against Rs 234.8 crore a year ago. Net profit for the period stood at Rs 45 crore versus Rs 27.8 crore last year.