Construction firm RPP Infra Projects has received market regulator Sebi's nod for the proposed initial public offer.
The Karur-based company proposes to enter the capital markets with a public issue of 65 lakh equity shares of Rs 10 each through a book building process, a statement here said.
The IPO comprises a fresh issue of 61 lakh equity shares by RPP Infra Projects and an offer for sale of four lakh equity shares by the promoters, it said.
The issue would constitute 28.76 per cent of the post issue paid-up capital of the company and the net issue would constitute 26.99 per cent of the post issue paid-up capital of the company, it said.
The company proposes to deploy the net proceeds of the issue for investment in special purpose vehicles for projects of build operate and transfer(BOT) mode, meeting capital expenditure requirement, funding margin requirement for working capital and meeting general corporate expenses.
The company has diversified into SEZ Development, Water Management, Irrigation and Power Projects. It has operations in Karnataka, Andhra Pradesh, Tamil Nadu and in Andaman and Nicobar Islands. Recently it entered the Sri Lankan market and is currently executing projects in the Railway sector, the statement added.
