UTI AMC to sell 8.25% stake through IPO

India's oldest mutual fund UTI AMC will sell up to 8.25 per cent stake via initial public offer  (IPO) route as it looks to divest the stake held by State Bank of India (SBI).

1,04,59,949 equity shares  of UTI AMC will be on offer under the IPO route.

"Pursuant to the applicable provision on the SEBI Regulation, we advise that the Executive Committee of the Central Board of Directors (ECCB) of the Bank at its meeting held today has accorded final approval, for divestment of SBI stake in UTI AMC up to 8.25% through IPO by way of offer for sale of up to 1,04,59,949 equity shares (the "Offered Shares"), subject to the approval of the Securities and Exchange Board of India ('SEBI'), and/or such other concerned authorities and departments," SBI said in a release.

UTI AMC's four domestic shareholders LIC, State Bank of India (SBI), Punjab National Bank (PNB) and Bank of Baroda (BoB) own 18.5 per cent stake each and also have their own AMCs.