Shriram Transport to tap market after a decade, plans Rs 1,500 cr rights

Sources said issue may be launched July-end or first week of August; eight merchant bankers have been shortlisted

Shriram Transport Finance Co Ltd (STFC), the NBFC arm of Shriram Group and leading commercial vehicle lender, has initiated talks with merchant bankers for its proposed Rs 1,500 crore rights issue. The company will be tapping equity markets after a decade.

The money will be utilised for company's growth, to meet capital adequacy ratio (CAR) and for other purposes, said sources.

Sources said that the rights issue may be launched at the end of July or first week of August and that eight merchant bankers, including JP Morgan, ICICI Securities, HSBC, BNP Paribas, Citi, Credit Suisse, SBI Capital and Axis