New Delhi, Feb 4 (PTI) – Eight companies, including defence equipment manufacturer SMPP, Brigade Hotel Ventures, and PVC blend-based building material maker Kumar Arch Tech, have received approval from the Securities and Exchange Board of India (SEBI) to launch their initial public offerings (IPOs), collectively aiming to raise over ₹6,500 crore.
According to SEBI's update on Tuesday, other firms securing approval include Solarworld Energy Solutions, Indogulf Cropsciences, Globe Civil Projects, and Prostarm Info Systems. SEBI had received preliminary IPO documents from these firms between October and November and issued its observations between January 28 and 31, signifying the regulator’s clearance to proceed with the public issues.
All these companies plan to list their shares on the Bombay Stock Exchange (BSE) and the National Stock Exchange (NSE).
This development marks a significant push in the Indian capital markets, with firms across diverse sectors leveraging public fundraising to fuel expansion, reduce debt, and strengthen their market presence.
According to SEBI's update on Tuesday, other firms securing approval include Solarworld Energy Solutions, Indogulf Cropsciences, Globe Civil Projects, and Prostarm Info Systems. SEBI had received preliminary IPO documents from these firms between October and November and issued its observations between January 28 and 31, signifying the regulator’s clearance to proceed with the public issues.
Key IPO Details:
SMPP Ltd.
- Total IPO Size: ₹4,000 crore
- Fresh Issue: ₹580 crore
- Offer-for-Sale (OFS): ₹3,420 crore by promoter Shiv Chand Kansal
- Utilization of Funds: ₹437.04 crore for capital expenditure, including building construction, land development, and machinery procurement for an ammunition manufacturing facility through investment in a subsidiary.
Brigade Hotel Ventures
- Total IPO Size: ₹900 crore (Entirely Fresh Issue)
- Utilization of Funds: ₹481 crore for debt repayment, ₹412 crore for the company, and ₹69 crore for subsidiary SRP Prosperita Hotel Ventures Ltd. Additionally, ₹107.52 crore will be allocated for purchasing an undivided share of land from promoter BEL, with the rest supporting acquisitions and strategic initiatives.
Kumar Arch Tech
- Total IPO Size: ₹740 crore
- Fresh Issue: ₹240 crore
- OFS: ₹500 crore by promoters
- Utilization of Funds: ₹182.09 crore to be invested in subsidiary Taylias Industry Pvt Ltd for financing its greenfield project.
Solarworld Energy Solutions
- Total IPO Size: ₹600 crore
- Fresh Issue: ₹550 crore
- OFS: ₹50 crore
- Utilization of Funds: Not explicitly stated.
Indogulf Cropsciences
- Total IPO Size: Not specified (Fresh Issue: ₹200 crore, OFS: 38.55 lakh equity shares)
- Utilization of Funds: Proceeds will be used for working capital, debt repayment, setting up an in-house dry flowable plant in Haryana, and general corporate purposes.
Globe Civil Projects
- IPO Structure: Entirely a fresh issue of 1.9 crore equity shares
- Utilization of Funds: To meet working capital needs, purchase equipment, and for general corporate purposes.
Prostarm Info Systems
- IPO Structure: Entirely a fresh issue of 1.6 crore equity shares
- Utilization of Funds: Working capital, debt repayment, acquisition of further stake in a subsidiary to make it wholly owned, inorganic growth, and corporate purposes.
Viney Corporation Withdraws IPO Plans
Amid these approvals, auto component manufacturer Viney Corporation withdrew its IPO draft papers on January 27, without providing a specific reason. The company had initially filed its documents in October.All these companies plan to list their shares on the Bombay Stock Exchange (BSE) and the National Stock Exchange (NSE).
This development marks a significant push in the Indian capital markets, with firms across diverse sectors leveraging public fundraising to fuel expansion, reduce debt, and strengthen their market presence.
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