ICICI Prudential Asset Management Company(ASM) delivered a strong debut on Dalal Street, emerging as the most valuable company within India’s capital market ecosystem after its stock surged sharply on the first day of listing.
The shares jumped over 23 percent during intraday trade, touching a high of ₹2,663, before closing at ₹2,576 nearly 19 percent higher than the IPO price of ₹2,165. The strong close valued the company at approximately ₹1.27 lakh crore, allowing it to overtake HDFC AMC and claim the top position in the sector by market capitalisation.
Investor Confidence in ICICI Prudential AMC Reflects Structural Shift
Market participants attribute the overwhelming response not merely to listing-day momentum, but to a deeper structural trend in Indian investing. With domestic savings steadily moving away from physical assets such as gold and real estate toward equities and mutual funds, asset management companies are increasingly viewed as long-term beneficiaries of India’s financialisation.
The ₹10,602-crore IPO saw exceptional demand, with subscriptions of nearly 40 times and bids worth close to ₹3 lakh crore highlighting strong participation from both institutional and retail investors.
Strong Fundamentals Support Valuation
Asset management companies operate asset-light, high-margin business models, enabling strong profitability and return ratios. In FY25, ICICI Prudential AMC reported revenue of about ₹4,683 crore and a net profit of ₹2,650 crore, supported by a sharp rise in assets under management from ₹6.5 lakh crore to around ₹9.1 lakh crore.
The company also posted one of the strongest return-on-equity profiles in the listed universe, reinforcing its appeal as a long-term compounder rather than a cyclical market play.
The success of the listing highlights how investors are increasingly backing businesses positioned at the core of long-term wealth creation systematic investing, retirement planning, and diversified asset allocation. As mutual fund participation deepens across cities and smaller towns, asset managers are becoming central pillars of India’s evolving financial architecture.
The successful listing underscores investor support for businesses focused on long-term wealth creation, including systematic investing, retirement planning, and diversified asset allocation.
Kaashika is a social media strategist and financial content creator at Lakshmishree. She specialises in simplifying complex IPO and stock market concepts into clear, easy-to-understand content. Having created over 500+ pieces of financial content across reels, blogs, website posts and digital creatives, Kaashika helps audiences connect with the world of finance in a more accessible and engaging way.
