Erode-based RPP Infra Projects Limited, a construction company, has received the approval of the Securities and Exchange Board of India (Sebi) for its proposed Initial Public Offering (IPO). The company plans to raise Rs 65 crore through the issue.
The company proposes to enter the capital markets with a public issue of 6.5 million equity shares of Rs 10 each through a book building process. The issue consists of a fresh issue of 6.1 million equity shares by RPP Infra Projects Ltd and an offer for sale of 400,000 equity shares by the promoters, according to a company release.
The issue will constitute 28.76 percent of the post-issue paid-up capital of the company and the net issue will constitute 26.99 percent of its post-issue paid-up capital. Kolkata-based VC Corporate Advisors Private Limited is the Book Running Lead Manager (BRLM) to the issue.
The company would deploy the net proceeds of the issue for investment in special purpose vehicles (SPVs) for BOT projects, meeting capital expenditure requirement, funding margin requirement for working capital and meeting general corporate expenses.
