As many as 10 companies, including Gemini Edibles & Fats India, defense supplier Data Patterns (India) Ltd, and digital mapping company MapMyIndia have received markets regulator Sebi’s go-ahead to raise funds through IPOs.
The other firms that received the approval to float the initial public offerings (IPOs) are — AGS Transact Technologies, Electronics Mart India, India1 Payments, Healthium Medtech, VLCC Health Care, Metro Brands, and Godavari Biorefineries.
These 10 companies, which filed their preliminary IPO papers with Sebi between August and September, obtained observations letter from the regulator during November 22-26, an update with the markets watchdog showed on Monday. In Sebi parlance, the issuance of an observations letter implies its go-ahead for the IPO.
Going by the draft papers, edible oil company Gemini Edibles & Fats India is looking to raise Rs 2,500 crore through its IPO, which is entirely an offer for sale (OFS) by the company’s promoter and existing shareholders.
The IPO of Data Patterns (India), which supplies electronic systems to defense and aerospace sector, comprises a fresh issue of Rs 300 crore and OFS of 60,70,675 equity shares by promoters and individual selling shareholders.
As per market sources, the initial public offering (IPO) is expected to raise Rs 600-700 crore. The company intends to utilise net proceeds from the fresh issue for repayment of the debt, funding its working capital, and upgradation and expansion of its existing facilities besides general corporate purposes.
The IPO of MapMyIndia, which powers Apple maps, is entirely an offer for sale of up to 75,47,959 equity shares by existing shareholders and promoter.
MapMyIndia, also known as CE Info Systems, is backed by global wireless technologies company Qualcomm and Japanese digital mapping Zenrin. Payment solutions provider. AGS Transact Technologies plans to raise Rs 800 crore through its initial share-sale, which is purely an OFS of equity shares by the promoter and other selling shareholders.
Consumer durables retail chain Electronics Mart India’s IPO comprises the sale of equity shares to the tune of Rs 500 crore. The company intends to utilise the net proceeds to fund its capital expenditure and incremental working capital requirements, debt payment, and general corporate purposes.
The initial share-sale of India1 Payments Limited (formerly known as BTI Payments) comprises fresh issuance of equity shares worth Rs 150 crore and an OFS of 10,305,180 equity shares by promoters and investors. Proceeds from the fresh issue worth will be utilised to repay debt, funding capital expenditure requirements of the company for setting up ATMs in India, and for general corporate purposes.
Healthium Medtech’s IPO comprises fresh issuance of equity shares worth Rs 390 crore and an offer of sale of 3.91 crore equity shares by the promoter and existing shareholder. Proceeds from the fresh issue to the tune of Rs 50.09 crore will be utilised to repay debt, Rs179.46 crore will be invested into its subsidiaries Sironix, Clinisupplies, and Quality Needles, and Rs 58 crore will be used for acquisition and other strategic initiatives.
VLCC Health Care’s IPO comprises fresh issuance of equity shares worth Rs 300 crore and an offer of sale of 89.22 lakh equity shares by the promoter and existing shareholders. Funds raised through the fresh issuance of shares will be used for setting up VLCC Wellness Clinics in India as well as Gulf Cooperation Council (GCC) region, and VLCC Institutes in India.
In addition, proceeds would be utilised for the refurbishment of certain existing VLCC Wellness Clinics in India and the GCC region, funds will be used for brand development, investment in digital and information technology infrastructure, and payment of debt.
Footwear retailer Metro Brands Ltd’s IPO consists of fresh issuance of equity shares worth Rs 250 crore and an offer of sale of 21,900,100 equity shares by selling shareholders. Proceeds of the fresh issue will be used towards expenditure for opening new stores of the company, under the “Metro”, “Mochi”, “Walkway” and “Crocs” brands and for general corporate purposes.
The company-backed by ace investor Rakesh Jhunjhunwala, is an Indian footwear retailer targeting the economy, mid and premium segments in the footwear market.
Godavari Biorefineries’ IPO consists of fresh issuance of equity shares worth Rs 370 crore and OFS of 65,58,278 equity shares by promoters and investors, Proceeds from the fresh issue will be used for payment of a debt, to fund capital expenditure for sugarcane crushing expansion, to support capital expenditure for the potash unit, and for general corporate purposes.
The equity shares of these 10 companies will be listed on the BSE and NSE.