The Securities and Exchange Board of India (SEBI), the capital markets regulator, has approved Fedbank Financial Services, Indian Renewable Energy Development Agency, EPACK Durable, and Suraj Estate Developers to raise capital through an IPO. According to a Monday update with the regulator, these companies, which submitted preliminary IPO papers to SEBI between July and September, received the observation letters from the regulator between October 30 and November 10. According to SEBI, its observations imply that the IPO may be launched.
This year, the primary market saw a surge of activity overall as several IPOs hit the D-Street, keeping investors busy with continuous listings and subscriptions.
Analysts predict that the IPO market would be active following Diwali for two reasons: first, state elections are approaching. In five states, voting has begun. On December 3, the results will be tallied. Companies aim to finish their issues before then. Second, in April and May of 2024, general elections are scheduled. Companies look to complete their IPOs, obtain Securities and Exchange Board of India (SEBI) clearances, and initiate their offerings by the latest in February or March, even though this is still a few months away.
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Gandhar Oil Refinery India Ltd IPO
Gandhar Oil Refinery India IPO opens for subscription on Tuesday, November 21, and closes on Thursday, November 23. The allocation to anchor investors for Gandhar Oil Refinery IPO is scheduled to take place on Monday, November 20, as per reports. Gandhar Oil Refinery IPO’s price band is awaited.
Gandhar Oil Refinery India Ltd IPO comprises a fresh issue of shares of up to ₹357 crore and an offer for sale (OFS) of up 12,036,380 equity shares of face value of ₹2 each by a promoter and others.
According to the Draft Red Herring Prospectus (DRHP), Promoter Ramesh Babulal Parekh, Kailash Parekh, and Gulab Parekh would each sell 2,250,000 equity shares.
Also Read: Diwali 2023: Seven mainboard IPOs expected this year post festive season
The net proceeds from the new issue will be used by the company to finance the following: investing in Texol through a loan to finance the repayment or prepayment of a loan facility that Texol obtained from the Bank of Baroda; capital expenditure through the purchase of equipment and civil work necessary for the expansion of automotive oil capacity at our Silvassa Plant; expanding petroleum jelly capacity and the accompanying cosmetic product division at our Taloja Plant; expanding white oil capacity by installing blending tanks at our Taloja Plant; financing our company’s working capital requirements; and general corporate purposes.
The registrar for the Gandhar Oil Refinery India IPO is Link Intime India Private Ltd, while the book running lead managers are Edelweiss Financial Services Ltd and ICICI Securities Limited.
Indian Renewable Energy Development Agency IPO
IREDA IPO price band has been fixed in the range of ₹30 to ₹32 per equity share of face value of ₹10. IREDA IPO opens for subscription on Tuesday, November 21, and closes on Thursday, November 23. The allocation to anchor investors for Indian Renewable Energy IPO is scheduled to take place on Monday, November 20.
The floor price is 3 times the face value of the equity shares and the cap price is 3.20 times the face value of the equity shares. The price/earnings ratio based on diluted EPS for fiscal 2023 at the floor price is 7.94 times and at the cap price is 8.47 times. IREDA IPO lot size is 460 equity shares and in multiples of 460 equity shares thereafter.
The IPO will comprise a fresh issue of up to 403.16 million shares and an offer for sale (OFS) of up to 268.78 million equity shares by the President of India, acting through the ministry of new and renewable energy. The offer includes a reservation for subscription by employees.
According to the RHP, the proceeds from the fresh issue will be used for augmenting its capital base to meet its future capital requirements and onward lending.
Also Read: IREDA IPO opens on November 21, price band set at ₹30-32 per share
Tata Technologies IPO
Tata Technologies IPO opens for subscription on Wednesday, November 22, and closes on Friday, November 24. Tata Technologies IPO price band is awaited. According to Tata Motor’s exchange filing, Tata Technologies Ltd’s filed its Red herring prospectus (RHP) on Monday, November 13, with the registrar of companies, Maharashtra, Pune.
“This IPO is an Offer For Sale (“Offer”) of up to 60,850,278 equity shares for cash (“Equity Shares”), comprising of an offer for (a) up to 46,275,000 Equity Shares by the Company; (b) up to 9,716,853 Equity Shares by Alpha TC Holdings Pte. Ltd.; and (c) up to 4,858,425 Equity Shares by Tata Capital Growth Fund I, each representing up to 11.41%, 2.40%, and 1.20%, respectively of the paid-up Equity Share Capital of Tata Technologies Limited,” the company informed in an exchange filing on November 13.
Also Read: Tata Technologies IPO to open for subscription on November 22. Details here
A draft red herring prospectus (DRHP) for an IPO was filed by Tata Technologies Limited, a division of Tata Motors Limited, to the Securities and Exchange Board of India on March 9, 2023.
Financial firms like JM Financials, Citi, and BoFA Securities have been chosen by the company to assist with the IPO process.
The company’s listed industry peers are KPIT Technologies Ltd (with P/E of 83.10), L&T Technology Services Ltd (with P/E of 40.92), and L&T Technology Services Ltd (with P/E of 70.67).
Also Read: Diwali 2023: 58 mainboard IPOs, 172 SME IPOs hit the Street since last Deepavali
Fedbank Financial Services Ltd IPO
Fedbank Financial Services Ltd IPO opens for subscription on Wednesday, November 22, and closes on Friday, November 24. The allocation to anchor investors for Fedbank IPO is scheduled to take place on Tuesday, November 21, as per reports. Fedbank Financial IPO’s price band is awaited.
Federal Bank arm Fedfina IPO comprises of fresh issue of equity shares up to the value of ₹750 crore and an offer-for-sale (OFS) of up to 70,323,408 equity shares by the promoters selling shareholders and promoter group make up the offer, which has a face value of ₹10 per equity share.
The Federal Bank, the promoter shareholder, may sell up to 16,497,973 equity shares, and True North Fund VI LLP, the other shareholder, may sell up to 53,825,435 equity shares, of the offer for sale up to 70,323,408 equity shares.
ICICI Securities Ltd, BNP Paribas, Equirus Capital Private Ltd, and JM Financial Ltd are the Book Running Lead Managers (BRLM) to the issue, and Link Intime India Private Ltd is the registrar to the offer.
Federal Bank arm FedFina filed DRHP for an IPO last year.
The company’s listed industry peers are Aptus Value Housing (with P/E of 27.04), IIFL Finance(with P/E of 14.52), Five Star Business Finance (with P/E of 31.73), Manappuram Finance Limited (with P/E of 7.28), and Muthoot Finance Limited (with P/E of 14.29).
Also Read: Federal Bank arm Fedfina files papers with SEBI for IPO
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Updated: 14 Nov 2023, 12:38 PM IST