CAMS garners over Rs 666 crore from anchor investors ahead of IPO

Warburg Pincus-backed CAMS has raised a little over Rs 666 crore from anchor investors ahead of its initial share sale that opens for public subscription on Monday.

The company has finalised the allocation of 54,19,230 shares at Rs 1,230 apiece to 35 anchor investors, CAMS, which acts as a registrar and transfer agent (RTA) for mutual funds, said in a filing to stock exchanges.

At this price, the company garnered Rs 666.56 crore.

Of the 35 anchor investors, 17 foreign portfolio investors, 13 mutual fund through 30 schemes, three insurance companies and two alternative investment funds subscribed shares.

Some of the anchor investors are SmallCap World Fund, HSBC, Abu Dhabi Investment Authority, Caisse de Depot et Placement First State Investments, Eastspring Investments, Fidelity Investment Trust, Goldman Sachs, Government of Singapore, Nomura Funds Ireland Public Ltd.

The offer will see sale of 1,82,46,600 equity shares or 37.4 per cent stake by NSE Investments, a subsidiary of National Stock Exchange (NSE).

The entire quantum of shares being sold to investors is NSE's holding and there will not be any new issue of shares which may see money coming into the company.

The issue will open on September 21 and closes on September 23.

The price band has been set at Rs 1,229-1,230 per share and the company will raise Rs 2,242 crore at the upper end of the band.

Computer Age Management Services (CAMS) is a technology-driven financial infrastructure and services provider to mutual funds and other financial institutions.

Headquartered in Chennai, CAMS is co-owned by NSE Investments, Warburg Pincus, Faering Capital ACSYS Investments and HDFC Group.

The company claims to be India's largest registrar and transfer agent of mutual funds with a market share of nearly 70 per cent, based on mutual fund average assets under management (AAUM), as of November 2019.

The issue is being managed by Kotak Mahindra Capital Co Ltd, HDFC Bank Ltd, ICICI Securities Ltd and Nomura Financial Advisory and Securities (India) Pvt Ltd.