Prudent Corporate Advisory Services Limited, founded in 2003, specialises in retail wealth management. Mutual Funds, Life and General Insurance, Stock Broking, SIP with Insurance, Gold Accumulation Plan, Asset Allocation, and Trading Platforms are all available through the organisation.FundzBazar, PrudentConnect, Policyworld, WiseBasket, and CreditBasket are among the company’s digital wealth management (DWM) systems.Prudent Corporate Advisory Services provides investment and financial services platforms for the online and offline distribution of financial goods. As of FY21, Prudent Corporate Advisory Services is one of the top ten mutual fund distributors in terms of average assets under management (AUM).
Prudent Corporate Advisory Services offers wealth management services to 13,51,274 unique retail investors through 23,262 channel partners on the B2B2C network, which is located over 110 branches in 20 Indian states, as of December 31, 2021. The company also works with 42 AMCs as a distributor.
Prudent Corporate Advisory Services Limited is one of India’s largest and fastest-growing independent financial services companies. The business has grown to serve 16,356 PIN numbers across the country. As of December 31, 2021, Prudent Corporate Advisory Services had 1,067 workers, 35.05 lakhs live folios, and 15.25 lakhs live SIPs.
Prudent Corporate Advisory Services IPO Timeline
Prudent Corporate Advisory Services IPO opens on May 10, 2022, and closes on May 12, 2022. The Prudent Corporate Advisory Services IPO bid date is from May 10, 2022 10.00 A.M. to May 12, 2022 5.00 P.M. The Cut-off time for UPI Mandate confirmation is 12 P.M. on the next day of issue closing day.
|Prudent Corporate Advisory Services IPO Opening Date||May 10, 2022|
|Prudent Corporate Advisory Services IPO Closing Date||May 12, 2022|
|Basis of Allotment||May 18, 2022|
|Initiation of Refunds||May 19, 2022|
|Credit of Shares to Demat||May 20, 2022|
|Prudent Corporate Advisory Services IPO Listing Date||May 23, 2022|
Prudent Corporate Advisory Services IPO Listing Date Detail
|Prudent Corporate Advisory Services IPO Date||May 10, 2022 to May 12, 2022|
|Prudent Corporate Advisory Services IPO Face Value||₹5 per share|
|Prudent Corporate Advisory Services IPO Price||₹595 to ₹630 per share|
|Prudent Corporate Advisory Services IPO Lot Size||23 Shares|
|Issue Size||8,549,340 shares of ₹5|
(aggregating up to ₹538.61 Cr)
|Offer for Sale||8,549,340 shares of ₹5|
(aggregating up to ₹[.] Cr)
|Employee Discount||Rs 59 per share|
|Issue Type||Book Built Issue IPO|
|Listing At||BSE, NSE|
|QIB Shares Offered||Not more than 50% of the Net Offer|
|Retail Shares Offered||Not less than 35% of the Net Offer|
|NII (HNI) Shares Offered||Not less than 15% of the Net Offer|
|Company Promoters||Sanjay Shah is the company promoter.|
- The company operates in an underserved asset management market in India, which has grown at a CAGR of more than 20%.
- Independent financial product distribution platforms are expanding.
- The firm has a granular retail AUM with a skewed mix of high-yield equities AUM.
- Increased participation and a long-term relationship with MFDs have resulted from the value offer.
- The organisation has a history of using technology and innovation to improve the investor and partner experience.
- A varied distribution network across India with the potential to develop into underserved B-30 markets.
Prudent Corporate IPO review
PCASL is in the retail wealth management services business; it operates in a highly competitive segment; and the issue is fully priced based on its super earnings.
• The future prospects of this company are dependent on market conditions.
• A reasonable investment may appeal to risk seekers and cash surplus investors.
ABOUT THE COMPANY: Prudent Corporate Advisory Services Ltd. (PCASL) is an independent retail wealth management services group based in India. It is one of the top mutual fund distributors in terms of AAUM and commission collected (Source: CRISIL Report). It provides a technology-enabled, comprehensive investment and financial services platform that includes end-to-end solutions for financial product distribution and visibility across both online and offline channels.
For the five-year period ending in Fiscal 2021, PCASL expanded faster than national distributors (among the top 10 mutual fund distributors) in terms of commission and AAUM, with a CAGR of 34.4 percent and 32.5 percent, respectively (Source: CRISIL Report). It is affiliated as a distributor with 42 AMCs as of December 31, 2021.
As of December 31, 2021, it had branches in 110 locations across 20 states in India, providing wealth management services to 13,51,274 unique retail investors through 23,262 MFDs on the business-to-business-to-consumer (“B2B2C”) platform. It employs 1067 people and has 13.51 lakh customers as of the same date. As of December 31, 2021, it is an independent platform with no single AMC contributing more than 15% of its AUM. As of the same day, the mutual fund distribution business’ assets under management (“AUM”) were Rs. 48411.47 crore, with equity-oriented mutual funds accounting for 92.14 percent of total AUM. PCASL’s AUM has expanded at a CAGR of 32.83 percent from Rs. 16667.75 crore in March 2018 to Rs. 48411.47 crore as of December 31, 2021, with equity-oriented AUM expanding at a CAGR of 36.49 percent from Rs. 13865.79 crore to Rs. 44605.91 crore during the same period. On a commission received basis, its market share among national distributors has climbed from roughly 4% in Fiscal 2015 to around 12% in Fiscal 2021. As of December 31, 2021, PCASL’s equity AUM of Rs. 44605.91 crore constituted 2.39 percent of the mutual fund industry’s total equity AUM.
Prudent Corporate Advisory Services IPO Lot Size
The Prudent Corporate Advisory Services IPO lot size is 23 shares. A retail-individual investor can apply for up to 13 lots (299 shares or ₹188,370).
Prudent Corporate Advisory Services IPO Promoter Holding
|Pre Issue Share Holding||56.78%|
|Post Issue Share Holding||56.78%|
Prudent Corporate Advisory Services IPO Subscription Details
Prudent Corporate Advisory Services IPO Details
|Issue Open||May 10, 2022|
|Issue Close||May 12, 2022|
|IPO Price||₹595 – ₹630|
|IPO Size||₹508.69 – 538.61 Cr|
|Listing At||BSE, NSE|
|IPO Lot Size||23|