Logistics

GoFirst raises ₹300 crore from Baymanco Investment

Forum Gandhi | | Updated on: Feb 16, 2022

Baymanco is a 100% subsidiary of Bombay Burmah, a part of Wadia group

GoFirst has raised ₹300 crore from Baymanco Investment by offloading 2,30,75,000 equity shares for over 8.19 per cent of more stake in the company. The Wadia Group-promoted airline raised funds at a face value of ₹10 each at a premium of ₹120. Baymanco is a 100 per cent subsidiary of Bombay Burmah, which is also a part of the Wadia group.

According to a document reviewed by BusinessLine. On February 7, GoFirst held an EGM with only one special item resolution. According to the document, the board was supposed to vote on “Issue and allot of up to 2,30,75,000 (two crore thirty lakhs seventy five thousand) Equity Shares of the Company, in one or multiple tranches, of the face value of ₹10 (each at a premium of ₹120 (per equity share, aggregating to ₹2,99,97,50,000, on a referential basis through private placement…”

Under the objective, it was mentioned, “general corporate purposes and to meet the working capital requirements.” 

All the board members unanimously voted in favour of this special resolution. 

“The percentage of post preferential offer capital that may be held by Baymanco Investments is 29.24 per cent.” 

According to the DRHP filed by GoFirst with SEBI, the promotors held 73.33 per cent in the company whereas ‘other members of the promoter group’ held over 26.66 per cent, of whichBaymanco held 21.05 per cent of the shares. 

Now, with an investment of approximately ₹300 crore, the promotor stake reduced to 65.73 per cent stake. 

BusinessLine had reported that GoFirst, due to the rise in omicron cases , the no-frills carrier had to push back its IPO listing of ₹3,600 crore in December 2021. The announcement of when the listing will be done has not been made yet.

Published on February 15, 2022
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