Indian Telephone Industries plans to raise Rs 1,600-crore through FPO

Proceeds of the issue will be utilised towards working capital requirements, repayment of loan taken by the company, and for general corporate purpose

State-owned Indian Telephone Industries (ITI) will have a  Rs 1,600-crore follow-on public offer (FPO) on Friday. The FPO comprises fresh issue of up to 180 million equity shares. An additional issue constituting up to 1.8 million shares will be reserved for employees.
 
The issue will open on Friday, January 24 and close on Tuesday, January 28, the company said in a statement on Monday. The last FPO to hit the market was in 2014 by state-owned Engineers India. Market players said FPO as a fund raising instrument has lost its appeal, as companies these days opt for newer methods