IPO of HDFC AMC put on hold

Indian stock market regulator SEBI has kept HDFC AMC's IPO in abeyance to examine past violations committed by the company.

The regulator has not revealed any specific details on the violation committed by the company.

The leading financial institution, HDFC Limited had filed preliminary paper with the SEBI seeking permission for the IPO in March 2018. The company was planning for a Rs. 30,000 crore IPO, which was expected to debut in the stock market in May.

HDFC Asset Management Company (AMC) is a joint venture between HDFC Limited and Standard Life Investments. The company is one of the largest mutual fund houses in the country.

According to news reports, the AMC had in its IPO papers requested SEBI to allow a special quota of 2.8 per cent for its empaneled distribution partners, which the regulator seems to have disliked.

At 14:47 hours on Friday, the stock of HDFC Limited was trading at Rs. 1908.50 per share, down by 0.75 per cent.