Leading text book publisher S Chand and Company has received markets regulator Sebi's approval to float an initial public offering (IPO).
This includes fresh issue of shares worth Rs 300 crore. Besides, the company's existing shareholders, including private equity fund Everstone and International Finance Corporation (IFC), would be offloading 6,023,236 shares through the Offer for Sale (OFS) route.
The company had filed draft red herring prospectus (DRHP) with Sebi in December last year to float an initial public offer. It received Sebi's 'observation' on March 3, 2017, which is necessary for any firm to launch its public offer, as per the latest update.
Proceeds from the issue would be utilised for repayment and prepayment of loans as well as for general corporate purposes. The loan amount includes those taken by its subsidiary for funding the acquisition of Chhaya Prakashani.
The company offers 53 consumer brands across knowledge products and services including S Chand, Vikas, Madhubun, Saraswati, Destination Success and Ignitor.
So far this year, Asia's oldest stock exchange BSE got listed on the rival NSE's platform, while initial share-sale of Music Broadcast Ltd, a Jagran group firm that runs Radio City FM channel, is currently underway.
Further, Avenue Supermarts, that runs supermarket retail chain D-Mart, will come out with its Rs 1,870-crore IPO tomorrow.
Going ahead, many companies such as Shankara Building Product, BSE-promoted CDSL and test-prep player C L Educate have lined up their IPOs.
The year 2016 saw hectic fund-raising activity in the IPO segment as a total of 26 firms collected over Rs 26,000 crore through this route -- making it the best year for public offers since 2010.
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