Canara Bank Gives Nod To Float Canara Robeco AMC IPO

Canara Bank gave an 'in-principle' approval for the listing of its mutual fund subsidiary, Canara Robeco Asset Management Co., on exchanges via an initial public offering.

The lender has approved to initiate the process of listing mutual fund subsidiary Canara Robeco AMC on the stock exchanges, the company said in its exchange filing on Wednesday.

The issue will be subject to due diligence and the modalities of listing will be decided in due course, it said.

Formally known as the Canbank Mutual Fund, the AMC came into existence in 1993. Canara Bank entered into a joint venture with the Robeco Group in 2007 to rename the fund Canara Robeco Mutual Fund.

Shares of Canara Bank closed 1.61% higher at Rs 432.50 apiece on the NSE, as compared with a 1% advance on the benchmark Nifty 50.