Comments
Chennai-based CIEL HR Services plans to raise ₹200 crore through a private placement of ₹24 crore and the balance through private equity investment. This is a pre-IPO round with the listing being planned by December 2023, according to its Executive Chairperson K Pandairajan. “We will raise around ₹650 crore through the IPO. This includes ₹125 crore by way of offer for sale,” he told newspersons.
The amount will be used to fund five acquisitions in the professional staffing sector. Out of the five acquisitions, two will be done through funds from private placement and the balance three through private equity, In two weeks the company would raise ₹24 crore through private placement, he said.
The funds to be raised from the IPO will be used for acquisitions; to enter the overseas markets, including Muscat, Dubai, Singapore, US and UK, and working capital requirements. Investment banker to help in the IPO will be announced shortly, he said.
Also read: Porter offers liquidation of ESOP worth ₹50 crore
CIEL HR also announced its digital vision to aggregate 35,000 plus unorganised HR service providers and freelance HR professionals across nook and corner of the country.
The company has deployed the funds raised during the first round of private placement done in April 2022 by the acquisition of a 76.33 per cent equity stake in Next Leap Career Solutions Pvt Ltd (Brand name: Jombay). This acquisition, in line with its IPO plans, is to expand the technology offering in the HR services space, he said.
The digital vision is in line with the company’s vision of becoming a one-stop HR solutions provider for employers. The second round of funding will help CIEL take a longer stride and stay committed to enhancing the image of the Indian HR services industry in the world by launching innovative digital models to benefit both the job creators and the job seekers alike, he said.
For the current financial year, the company will end with revenue of around ₹900 crore with a ‘decent’ bottom line, he said.
Comments
COMMENT NOW
Comments
Comments have to be in English, and in full sentences. They cannot be abusive or personal. Please abide by our community guidelines for posting your comments.
We have migrated to a new commenting platform. If you are already a registered user of TheHindu Businessline and logged in, you may continue to engage with our articles. If you do not have an account please register and login to post comments. Users can access their older comments by logging into their accounts on Vuukle.