Prudent Advisory Services files draft IPO papers with SEBI



Retail wealth management firm Prudent Corporate Advisory Services Ltd has filed preliminary papers with capital markets regulator SEBI to raise funds through an initial public offering.

According to the Draft Red Herring Prospectus (DRHP), the public issue is entirely an Offer for Sale (OFS) of 85,49,340 equity shares by the selling shareholders.

As part of the OFS, selling shareholders — Wagner Ltd, an entity of TA Associates, will offload 82,81,340 equity shares and Shirish Patel, whole-time director and chief executive officer of Prudent, will sell up to 2,68,000 equity shares.

Since the initial public offering (IPO) is entirely an OFS, the company will not receive any proceeds from the public issue.

At present, Wagner owns 39.91 per cent shareholding in Prudent while Patel has 3.15 per cent stake.

The company is backed by US-based private equity investor TA Associates.

Prudent is one of the leading independent retail wealth management services groups (excluding banks) in India and among the top mutual fund distributors in terms of average assets under management and commissions received.

Apart from mutual funds, it also distributes financial products like insurance, portfolio management schemes, alternative investment funds, bonds, unlisted equities, stock broking solutions, loans against securities, NPS, among others.

ICICI Securities, Axis Capital and Equirus Capital are the book running lead managers to the issue.

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