Market regulator Sebi has given the green light to six firms, including pharmacy retail chain MedPlus Health Services, travel technology services firm RateGain Travel Technologies, and microlender Fusion MicroFinance, to raise capital through initial public offerings (IPO).
Retail wealth management firm Prudent Corporate Advisory Services, private market intelligence platform Tracxn Technologies, and real estate developer Puranik Builders are the other companies that have got approval to float their Initial Public Offerings (IPOs).
According to an update with the markets watchdog on Monday, these six businesses received an observation letter from the regulator between November 16 and 18, after filing their preliminary IPO papers with Sebi between August and September.
The issue of an observation letter denotes the Sebi’s approval of an IPO.
According to the draught documents, MedPlus Health Services’ Rs 1,639-crore IPO will include a 600-crore fresh issuance of equity shares and a Rs 1,038.71-crore Offer For Sale (OFS) of equity shares by the promoters and major shareholders.
Lone Furrow Investments is selling equity shares worth up to Rs 450 crore, PI Opportunities Fund I is selling equity shares worth up to Rs 500 crore, and other selling shareholders are selling equity shares worth up to Rs 88.71 crore.
The proceeds of the new issue will be utilised to pay the company’s subsidiary Optival’s working capital needs.
The original share sale of RateGain Travel Technologies comprises a new issue of equity shares worth up to 400 crore and an OFS by promoters and existing shareholders worth up to 2.26 crore shares.
Wagner Limited is selling 1.71 crore equity shares, Bhanu Chopra is selling up to 40.44 lakh shares, Megha Chopra is selling up to 12.94 lakh shares, and Usha Chopra is selling up to 1.52 lakh shares in the OFS.
The proceeds from the new issuance will be used to pay off debt obtained from Silicon Valley Bank by RateGain UK, one of the company’s subsidiaries.
Additionally, the cash will be used to fund technology advancement, artificial intelligence, and other sustainable growth efforts, as well as the acquisition of data centre capital equipment and general company reasons.
Promoters Neha Singh and Abhishek Goyal will sell up to 76.62 lakh shares each, while Flipkart founders Binny Bansal and Sachin Bansal will sell up to 12.63 lakh shares each, Elevation Capital will sell up to 1.09 crore shares, Accel India IV Mauritius will sell up to 40.2 lakh shares, and SCI Investments V will sell up to 21.81 lakh shares.
The six firms’ equity shares will be issued in BSE and NSE.