Prudential to sell 2% stake in ICICI Prudential AMC worth about $333 million

Business Recorder reported that Prudential Plc, a British insurer, intends to offload as much as 2% of ICICI Prudential Asset Management Company on the open market. The two companies disclosed the plan on Wednesday, saying the goal is to help the asset manager satisfy minimum public shareholding rules. At the last close, the stake on offer was valued at about 31.9 billion rupees ($333.3 million).

India's rules give a large company that lists with public holdings below 15% a five-year timetable to lift its float to 15%, and a 10-year period to reach 25%. Prudential's statement says the divestment aims to back the AMC as it works toward that 15% level, a deadline falling five years after its IPO on December 19, 2025.

Promoters, or controlling shareholders, currently hold 87.6% of the AMC, and the proposed sale would lower that to 85.6%. Prudential AMC itself holds 34.6% of the company.