ICICI Prudential IPO Closes Today: Is the GMP Rally Enough to Bid?

The ICICI Prudential AMC IPO closes today, subscribed 2.03 times overall. Strong demand comes from institutional investors, while retail participation is subdued.

The initial public offering (IPO) of ICICI Prudential Asset Management Company is in its final hours, and investor interest is picking up steadily. With the grey market premium moving higher and subscription numbers improving, many investors are now debating whether to place a bid on the last day or stay cautious amid ongoing market volatility.

Subscription Status So Far

As of the end of Day 2, the IPO was subscribed 2.03 times overall, reflecting healthy demand. Non-institutional investors showed the strongest interest, subscribing their portion 3.36 times, followed by qualified institutional buyers at 2.91 times.

Retail participation has been relatively subdued so far, with the retail category subscribed 0.83 times, suggesting that many small investors may be waiting until the final day to make a decision.

IPO Structure and Important Dates

The ICICI Prudential AMC IPO is a book-built issue worth Rs 10,602.65 crore and is entirely an offer for sale of 4.90 crore shares. This means the company will not receive any fresh capital from the issue, as existing shareholders are offloading part of their stake.

The IPO opened for subscription on December 12, 2025, and closes today, December 16. Share allotment is expected to be finalised on December 17, while the stock is slated to debut on the BSE and NSE on December 19.

The price band has been fixed at Rs 2,061 to Rs 2,165 per share. Retail investors need to apply for a minimum of one lot of six shares, requiring an investment of Rs 12,990 at the upper end of the price band.

Grey Market Signals Listing Gains

The grey market premium (GMP) for the IPO has strengthened over the past few days, signalling growing optimism about listing gains. As of the morning of December 16, the GMP stood at Rs 302.

Based on this premium, the stock is expected to list around Rs 2,467 per share, indicating a potential upside of nearly 14 per cent over the issue price. While GMP is not an official indicator, it often reflects short-term market sentiment.

What Analysts Are Saying

Market experts have largely maintained a positive stance on the IPO, particularly for investors with a medium- to long-term horizon.

Rajan Shinde, Research Analyst at Mehta Equities Ltd, said the valuation appears reasonable when compared with peers. "Based on FY26 annualised earnings, the company is asking for a PE of 33 times and a market cap-to-AUM ratio of 10.55 per cent, which seems fairly priced," he said.

He added that the strong backing of ICICI Bank and Prudential, along with increasing digital adoption and low concentration risk, could help the company command premium valuations over time. Mehta Equities has recommended a 'subscribe' rating for long-term investors.

Sharekhan also struck a similar note, saying the IPO's valuation of around 40 times FY25 earnings at the upper price band is fair compared with leading asset management peers. The brokerage highlighted the company's strong market share, profitability and consistent performance.

Should You Bid on the Last Day?

For investors eyeing short-term listing gains, the rising grey market premium may offer some comfort. Long-term investors, on the other hand, may focus on the company's strong brand, stable assets under management and its position among India's top asset managers.

That said, experts caution that since the IPO is entirely an offer for sale, post-listing returns will depend largely on market conditions and investor sentiment rather than fresh capital being deployed into the business.