The Centre is looking to raise up to ₹6,000 crore through the follow-on public offer of the second tranche of Bharat-22 exchange-traded fund. The ETF will be launched on June 19.
ICICI Prudential AMC proposes to raise up to ₹6,000 crore in this FFO with an option to retain oversubscription, subject to approval of the Centre, the fund house said in a release.
The government had in November last year launched Bharat-22 ETF comprising shares of 22 companies, including PSUs such as ONGC, IOC, BPCL, Coal India and Nalco; public sector banks (SBI, Indian Bank and Bank of Baroda); and ITC, Axis Bank and L&T. The issue had a strong response from investors and the Centre had mopped up ₹14,500 crore.
The current issue will open for anchor investors on June 19, while other investors will be allowed to participate from June 20.
The follow-on offer will remain open till June 22 for institutional and retail investors.
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 per cent.
The Bharat-22 ETF closed at ₹35.92 on Wednesday.
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