 "ipo")
Jewellery retail major Senco Gold Ltd has fixed a price band of Rs 301 to Rs 317 for its Rs 405 crore initial public offering (IPO), which will open for public subscription on July 4, the company said on Monday.
The initial share sale will conclude on July 6 and the bidding for anchor investors will open on July 3, according to the Red Herring Prospectus.
The bids have to be made for a minimum of 47 shares of Rs 10 each and multiples thereof.
The Senco IPO comprises a fresh issue of equity shares aggregating up to Rs 270 crore and an offer-for-sale of equity shares to the tune of Rs 135 crore by selling shareholder SAIF Partners India IV Ltd, the RHP said.
At present, SAIF Partners has 19.23 per cent stake in the jewellery retail chain. It will be offloading its stake by 8-9 per cent in this issue, Senco managing director and CEO Suvankar Sen said.
Another PE fund sponsored by the Oman Investment Authority and State Bank of India which has invested Rs 75 crore in the Kolkata-based jewellery retailer last year is not offloading any stake, he said.
Out of Rs 270 crore, the company proposes to use Rs 196 crore of net proceeds from the fresh issue for funding working capital requirements and the remaining for general corporate purposes.
The Kolkata-based firm has 140 showrooms across 13 states. A total 63 per cent of them is located in West Bengal. It also sells its products through various online platforms, besides wholesale exports of its jewellery primarily to Dubai, Malaysia and Singapore.
Sen said the company said the fund garnered from the IPO will help fuel growth. "The company has been opening five to six stores every year".
IIFL Securities Ltd, Ambit Private Ltd and SBI Capital Markets Ltd are the book-running lead managers to the issue. The equity shares are proposed to be listed on the BSE and NSE.
(Only the headline and picture of this report may have been reworked by the Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)
