New Delhi, March 16 – Three companies – travel technology firm Travelstack Tech, Learnfluence Education (which operates the 'Lakshya' coaching centers), and tea cafe chain Tea Post – have received approval from Sebi to raise funds through Initial Public Offerings (IPOs), according to an update from the market regulator on Monday.
Meanwhile, Rays Power Infra, Madhur Iron & Steel, and Arjun Jewellers saw their documents "withdrawn or returned" between March 9-13, the update showed.
This development comes at a time when Indian equity markets are under pressure due to the ongoing conflict in West Asia.
So far this year, 12 companies have tapped the IPO market to raise funds. One issue is currently underway, while a few others are expected to hit the market later this month.
According to Sebi data, Travelstack Tech, Learnfluence Education, and Tea Post had filed their preliminary IPO documents between June and December and received the regulator's observations during March 10-11.
In Sebi's terminology, the issuance of observations is equivalent to approval to proceed with the public offering.
Travelstack Tech's proposed IPO comprises a fresh issue of shares worth Rs 250 crore and an Offer For Sale (OFS) of 2,68,52,969 shares by promoters and other shareholders, as per the Draft Red Herring Prospectus (DRHP).
Of the fresh issue proceeds, Rs 135 crore will be used for working capital requirements, Rs 45 crore for debt repayment, and the remaining amount for general corporate purposes.
Learnfluence Education's proposed IPO consists of a fresh issue of equity shares aggregating up to Rs 246 crore and an OFS of up to 40 lakh equity shares.
The company plans to utilize the proceeds for setting up new physical campuses, sales and marketing initiatives, debt repayment, and lease payments for existing identified long-term campuses.
Tea Post's IPO comprises a fresh issue of up to 1.43 crore equity shares and an OFS of up to 1.43 crore equity shares.
The company intends to primarily use the proceeds to set up and open new company-operated tea cafes.