Almost two-and-half years after filing a draft herring red prospectus (DRHP) for a public issue, Future Ventures, the venture capital arm of Kishore Biyani’s Future Group, has revived its initial public offer (IPO) plans.
However, the group is expected to scale down its IPO target this time, said a source. It would be the second venture capital company to go for an IPO after IL&FS Investment Managers listed on Indian exchanges.
“We are filing the DRHP on Wednesday,’’ said Kishore Biyani, chief executive and founder of Future Group, without divulging the timing and size of the IPO.
In February 2008, Future Ventures filed for an IPO of 3,736.15 million shares to raise as much Rs 3,750 crore from the capital markets. However, weak market conditions forced it to put the IPO plans on the backburner.
According to a person, the group may cut the original IPO target to a third, given current market conditions.
“When they filed the IPO for the first time, we were in boom time. Now we are in the recovery stage. Targeting such amounts is unrealistic now,’’ the person said
Future Capital Holdings is expected to hold a board meeting tomorrow to decide the IPO target and other details of the IPO, the person said.
