CAMS has no direct listed peers (except CDSL who performs one of the function similar to CAMS), hence company will get first mover advantage, said Manali Bhatia.
The Rs 2,244-crore public offer of Computer Age Management Services (CAMS) is subscribed 82.5 percent, so far, on the first day of the issue.
The IPO has received bids for 1.05 crore equity shares against offer size of over 1.28 crore equity shares (excluding anchor book), the data available on exchanges showed.
The company, which provides technology-driven financial infrastructure and services to mutual funds and other financial institutions, has fixed price band at Rs 1,229-1,230 per share for its maiden public issue which will remain opened till September 23.
The portion set aside for retail investors witnessed 1.4 times subscription and the non-institutional investors segment saw 29.88 percent subscription so far, while the qualified institutional buyers' portion has subscribed 24.76 percent.
The public issue consists an offer for sale of 1,82,46,600 equity shares by NSE Investments, the subsidiary of National Stock Exchange which has been asked by Sebi to divest its entire stake in CAMS in the current IPO.
CAMS also reserved some portion for its employees which has been subscribed 24.3 percent so far.
Incorporated in 1988 by Great Terrain Investment (an affiliate of US-based private equity firm Warburg Pincus), CAMS is the largest registrar and transfer agent of mutual funds in India, with an aggregate market share of approximately 70 percent based on mutual fund average assets under management (AAUM) managed by its clients and serviced by them during July 2020.
Its mutual fund clients include 4 of the 5 largest mutual funds as well as 9 of the 15 largest mutual funds based on AAUM during July 2020.