Warburg Pincus-Backed Avanse Financial Files Draft Papers For IPO
The Rs 3,500 crore initial public offering will consist of a fresh issue and an offer for sale.
Avanse Financial Services Ltd., backed by private equity major Warburg Pincus, has filed its draft red herring prospectus for its Rs 3,500 crore initial public offering.
The non-banking financial company's IPO consists of a fresh issue worth Rs 1,000 crore and offer-for-sale of up to Rs 2,500 crore, according to preliminary papers filed with the Securities and Exchange Board of India.
As part of the OFS, promoter group Olive Vine Investment Ltd., a Warburg Pincus affiliate, will offload shares worth Rs 1,758 crore. International Finance Corp. and Kedaara Capital Growth Fund III LLP will sell shares worth Rs 342 crore and Rs 400 crore, respectively.
Kotak Mahindra Capital Co., Avendus Capital Pvt., JPMorgan India Pvt., Nomura Financial Advisory and Securities (India) Pvt., Nuvama Wealth Management Ltd. and SBI Capital Markets Ltd. will be the book running lead managers.
Proceeds from the issue will be used to increase the company's capital base for future needs, the draft said.
Avanse offers education loans for students and growth capital for education institutions through education infrastructure loans.
It also provides loans and other value-added services to Indian students and professionals who are admitted to study overseas or in domestic institutions. Collateral-backed financing to private educational institutions in India is also among its offerings.
