Angel Broking, a full-service retail broking house, has filed a draft red herring prospectus (DRHP) with markets regulator Securities and Exchange Board of India (Sebi) to float its initial public offering (IPO).
The IPO comprises fresh issuance of shares worth Rs 300 crore and an offer for sale worth Rs 300 crore.
The company plans to use the net proceeds of the fresh issue to meet working capital requirements and general corporate purposes.
The company provides broking and advisory services, margin funding, loans against shares through one of its subsidiaries, AFPL and financial products distribution under the brand “Angel Broking”. The company’s stockbroking services are offered through its online and digital platforms, and its network of more than 11,000 sub-brokers, as of June 30, 2018. According to its DRHP, the company has more than 8,50,000 downloads of its Angel Broking mobile app and more than 4,50,000 downloads of our Angel BEE app as of June 30, 2018.
The company has a presence across 1,800 cities and towns, as of June 30, 2018, and managed `11,302 crore in client assets and over 1.11 million active broking accounts.
According to DRHP, the company posted a net profit of Rs 25.5 crore for the quarter ended June 2018.
The company posted a net profit of Rs 107.9 crore during the year ended March 2018, against a net profit of Rs 31 crore during the year ended March 2017.
In April 2018, ICICI Securities, the stockbroking and investment banking arm of ICICI Bank, got listed. In 2018 so far, 21 companies raised `28,508.23 crore through IPOs.