The Hindu Business Line : Religare price band fixed at Rs 160-185

Mumbai, Oct. 23 Religare Enterprises Ltd, a financial services company, will be foraying into the capital markets with an IPO of 75,76,102 equity shares of Rs 10 each for cash, at a price to be decided through a 100 per cent book-building process.

The price band is fixed between Rs 160 and Rs 185 per equity share. The issue will open on October 29 and close on November 1 .

Proceeds from the issue will be used to finance future growth plans including expansion of its domestic operations, and also for the network of branches of its subsidiaries – Religare Securities Ltd and Religare Insurance Broking Ltd.

The earnings will also be utilised to fund the retail finance business, and expand its financing activity through subsidiaries Religare Finvest Ltd and Religare Finance Ltd.

Allotment

Qualified institutional investors will be allotted at least 60 per cent on a proportionate basis, 10 per cent will be allotted to non-institutional investors and the remaining 30 per cent will be available to the retail investors.

The issue will comprise 10 per cent of the fully diluted post issue capital of the company.

The company has entered into an investment agreement with Indopark Holdings Ltd, where they are allotted 37,88,050 shares, which represents 5.56 per cent of the ownership of the paid-up capital worth Rs 60.61 crore .

The book running lead managers to the issue are Enam Securities Pvt Ltd and Citigroup Global Markets India Pvt Ltd.

More Stories on : IPOs | Financial Services

Article E-Mail :: Comment :: Syndication :: Printer Friendly Page