Valuation for stake-sale in UTI AMC attractive, says BoB

MUMBAI: State-owned lender Bank of Baroda, today said it is diluting its 6.5 per cent stake in UTI AMC and UTI Trustee Company and that the valuation was attractive.

"We are disinvesting 6.5 per cent in UTI AMC out of the 25 per cent we are holding. The valuation is quite attractive at this point of time," BoB's Chairman and Managing Director, M D Mallya, told reporters here.

The value of the 6.5 per cent stake sold by the bank is around Rs 163-crore, he said.

Three shareholders of UTI Assest Management Company and UTI Trustee Company-State Bank of India, Punjab National Bank and Bank of Baroda today agreed on divesting 6.5 per cent in both the entities to T Rowe Price.

Each of the three institutions at present holds 25 per cent stake in UTI Asset Management Company as well as UTI Trustee Company and pursuant to the said transaction, their shareholding would drop to 18.5 per cent.