Markets regulator Sebi has approved the initial public offers (IPOs) of two companies -- Numero Uno Clothing and Sadbhav Infrastructure Project-- which have plan to raise at least Rs 490 crore for business expansion and meeting working capital requirements.
With this, the number of firms receiving Sebi's green signal since the beginning of the year has reached 23.
Apparel and lifestyle accessories firm Numero Uno filed its draft papers with the capital markets watchdog in April, while Sadbhav Infrastructure, a subsidiary of Sadbhav Engineering filed its initial papers in May.
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The Securities and Exchange Board of India (Sebi) issued its final observations on the draft offer documents of the two firms on July 20, which is necessary for any company to launch a public offer.
Numero Uno's proposed public issue comprises fresh issue worth Rs 65 crore and an offer for sale up to 8.4 million shares from its promoter and AA India Development Capital Fund.
The proceed of the issue would be utilised for opening 84 new stores, expansion of the existing capacity at Selaqui, Dehradun, brand building and general corporate purposes.
Sadbhav Infrastructure is now planning to raise Rs 425 crore through fresh issue of shares in its IPO and an offer for sale of up to 81.03 lakh shares by Xander Investment Holding and up to 48.54 lakh scrips by Norwest Venture Partners.
Initially, the company was looking to garner Rs 600 crore through fresh issue of shares in the initial share sale plans. Besides, its existing investors were also planning to sell shares in the proposed public offer.
The company had filed its draft papers in December 2014 and got approval in April. However, Sadbhav Infrastructure withdrew its initial papers and filed fresh draft documents.
In the revised draft papers, the company reduced the size of fresh issue of shares and the quantum of shares offered for sale by its existing investors.
The funds raised through the issue would be utilised for repayment of loans, equity investment and advancing of subordinate debt to its subsidiary Shreenathji - Udaipur Tollway Pvt Ltd and part financing of the SUTPL Project.
The 23 firms that have got Sebi approval include Catholic Syrian Bank, S H Kelkar & Company, Prabhat Dairy, Dilip Buildcon, Shree Shubham Logistics, Amar Ujala Publications, AGS Transact Technologies, SSIPL Retails, Navkar Corporation and Precision Camshafts.
