Finance Ministry expected to give in-principle nod for UTI MF IPO soon

UTI Mutual Fund may revive its initial public offer (IPO) plan after Finance Ministry’s nod which is expected soon, reported PTI.

“There is proposal for IPO of UTI Mutual Fund and the Finance Ministry is looking at it. The Ministry after consideration can give in-principle approval for public offer,” sources said.

In 2008, UTI Asset Management Company deferred its IPO owning to uncertain market conditions. The fund house had proposed to sell 4.8 crore equity shares through IPO.

“The IPO would not be a revenue raising measure but it is governance measure,” sources said as per the PTI report, adding, IPO will make UTI AMC as market based mutual fund.