SEBI Approves IPOs Of Northern Arc Capital And Shree Tirupati Balajee Agro
The issuance of observation letter means the company can raise funds by launching its IPO within the next one year, as per SEBI.
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The Securities and Exchange Board of India has approved initial public offerings of Northern Arc Capital Ltd. and Shree Tirupati Balajee Agro Ltd. The regulator has issued observation letter to Northern Arc Capital on July 10, and Shree Tirupati Balajee Agro Trading Co. on July 12, according to an update released on Friday.
The issuance of observation letter means the company can raise funds by launching its IPO within the next one year, as per SEBI.
Northern Arc Capital had filed the draft red herring prospectus with the regulator in February this year, while Shree Tirupati Balajee Agro Trading had re-filed the preliminary papers in March this year.
Northern Arc Capital
Non-banking financial services firm Northern Arc Capital's maiden public issue is a combination of fresh issuance of equity shares worth Rs 500 crore, and an offer for sale of 2.1 crore equity shares by investors.
LeapFrog Financial Inclusion India (II), Accion Africa-Asia Investment Co., Augusta Investments II Pte, Eight Roads Investments Mauritius II, Dvara Trust, and 360 ONE Special Opportunities Fund will be selling shares as part of the OFS.
Proceeds from the fresh issue will be used to meet future capital requirements towards onward lending.
Shree Tirupati Balajee Agro Trading
The company's public issue of 2.04 crore shares is a mix of fresh issue equity shares of 1.47 crore, and an offer for sale of 56.9 lakh shares by promoter Binod Kumar Agarwal.
Promoter Agarwal holds 88.38% in the bulk packaging solutions provider, and the remaining shares are owned by public shareholders such as Sachin Mohanlal Kakrecha and Ample Vyapaar.
Out of the net proceeds from the fresh issue, Rs 57.3 crore will be used for repaying debts, Rs 24.24 crore will be allocated for working capital requirements, and the remainder amount will be used for general corporate purposes.