As a first initial public offering (IPO) from a mutual fund company, Reliance Nippon Asset Management Ltd, went to the market on 25 October. The Rs1,542 crore IPO comprised fresh issue of shares worth Rs617 crore and offer for sale. After the IPO, Reliance Capital Ltd and Nippon Life Insurance Co. will each hold close to 43% stake each, in the asset management company (AMC).
Markets have reacted positively to the IPO as it was subscribed 81.45 times on the last day of the IPO. Kazuhide Toda, head Asia-Pacific, Nippon Life Insurance, was in India recently. In an email interaction, he told Mint about his view on the mutual fund and insurance markets in India. Nippon Life also has a joint venture with Reliance Capital Ltd in the life insurance sector.