FFO opens on 19th June and closes on 22nd June, 2018
Highlights:
- The FFO is a part of disinvestment program announced by the Department of Investment and Public Asset Management (DIPAM), Ministry of Finance.
- Investors across all categories to get 2.5% discount on the Reference Market Price of underlying constituents on government divested shares.
- Anchor and Non Anchor FFO Period - The FFO is open between June 19 - June 22, 2018, with June 19, 2018 reserved for Anchor investors.
- To raise an initial amount of Rs. 6,000 crores plus the Additional Amount will be subject to Government of India’s approval.
- Allotment Percentages for each Category of Investors
- Anchor Investors - 25%
- Non-Anchor Investors
- Retail Individual Investors - 25%
- Retirement Funds - 25%
- QIB and NII - 25%
Mumbai, June 13, 2018: The Further Fund Offer (FFO) of ICICI Prudential managed Bharat 22 - Exchange Traded Fund (Bharat 22 ETF) was announced today. This FFO is part of the Government of India's overall disinvestment program, announced earlier by the Department of Investment and Public Asset Management (DIPAM), Ministry of Finance, using the ETF route.
ICICI Prudential AMC proposes to raise upto Rs. 6,000 crore in this FFO with an option to retain oversubscription, subject to Government of India’s approval.
"The success of Bharat 22 ETF NFO managed by ICICI Prudential AMC highlighted investor confidence in the India growth story as represented by the industry leading stocks of the ETF. The NFO was oversubscribed by all investor categories including retail investors. With a view to encourage further participation by the existing investors and also bring in new investors we are happy to launch follow on offer of Bharat 22 ETF", said Mr. Atanu Chakraborty, Secretary DIPAM, Ministry of Finance.
"We are delighted to announce the Further Fund Offer of ICICI Prudential managed Bharat 22 ETF. The FFO with the discount offered, is an opportunity to partake in the India growth story by way of a diversified companies spread across several sectors which are available at attractive valuation”, said Mr. Nimesh Shah, MD & CEO, ICICI Prudential AMC.
The dividend yield of S&P BSE Bharat 22 Index which is the underlying of the ICICI Prudential managed BHARAT 22 ETF is approximately 2.6%, further adding to the overall merit of investing in this ETF. In addition, ICICI Prudential managed Bharat 22 ETF has an expense ratio of less than 1 bps, which is among the lowest in the Indian ETF universe.
The FFO is open for all categories of investors including Anchor Investors, Retail Investors, Retirement Funds, QIBs, Non-institutional investors and Foreign Portfolio Investor (FPIs). As part of the FFO, an upfront discount of 2.5 % is being offered to all categories of investors.
Bharat 22 Index - Index constituents
Riskometer:
Disclaimer:
Mutual Fund investments are subject to market risks, read all scheme related documents carefully.
All figures and data given in the document are dated unless stated otherwise. In the preparation of the material contained in this document, the AMC has used information that is publicly available, including information developed in - house. The sector(s)/stock(s) mentioned in this presentation do not constitute any recommendation of the same and ICICI Prudential Asset Management Company may or may not have any future position in these sector(s)/stock(s). Information gathered and material used in this document is believed to be from reliable sources. The Fund however does not warrant the accuracy, reasonableness and/or completeness of any information. For data reference to any third party in this material no such party will assume any liability for the same. All recipients of this material should before dealing and or transacting in any of the products referred to in this material make their own investigation, seek appropriate professional advice and carefully read the scheme information document. We have included statements in this document, which contain words, or phrases such as "will", "expect", "should", "believe" and similar expressions or variations of such expressions that are "forward looking statements". Actual results may differ materially from those suggested by the forward looking statements due to risk or uncertainties associated with our expectations with respect to, but not limited to, exposure to market risks, general economic and political conditions in India and other countries globally, which have an impact on our services and / or investments, the monitory and interest policies of India, inflation, deflation, unanticipated turbulence in interest rates, foreign exchange rates, equity prices or other rates or prices, the performance of the financial markets in India and globally, changes in domestic and foreign laws, regulations and taxes and changes in competition in the industry. All data/information used in the preparation of this material is dated and may or may not be relevant any time after the issuance of this material. The AMC takes no responsibility of updating any data/information in this material from time to time. The AMC (including its affiliates), the Fund and any of its officers directors, personnel and employees, shall not liable for any loss, damage of any nature, including but not limited to direct, indirect, punitive, special, exemplary, consequential, as also any loss of profit in any way arising from the use of this material in any manner. The recipient alone shall be fully responsible/are liable for any decision taken on the basis of this material.
