Afcons Infrastructure, part of Shapoorji Pallonji Group, has done a Rs 3,000-crore pre-IPO placement with global and domestic investors, and cut its offer size to Rs 5,400 crore, according to sources in the know.
The total IPO size will be Rs 8,400 crore now, 20% more than Rs 7,000 crore earlier planned, said the sources. “After they filed the DRHP and conducted road shows, there was a lot of demand from investors. This was behind the decision,” a source said.
The fresh issue will be of Rs 1,250 crore and the remaining amount will be offered for sale by promoters. The money raised will be used for debt repayment by promoters and other purposes.
Sources said the IPO will happen this month and the firm is expecting to list next month. “All approvals have come, including that from bondholders,” a source said.
This offering is crucial for promoter Goswami Infratech (GIPL), a firm within SP Group, to fulfil its commitments to bondholders. GIPL has pledged Afcons shares to its lenders.