Comments
Bharat Hotels, which runs five-star properties under The LaLiT brand, and micro-finance lender Spandana Sphoorty Financial have received the Securities and Exchange Board of India nod for IPO. With this, the total number of companies getting SEBI approval for initial share sale has reached 60 so far this year.
Bharat Hotels and Spandana Sphoorty had obtained the regulator’s “observations” on October 12. Both the companies had approached SEBI in June with their respective IPO papers. The capital market regulator’s observations are necessary for any company to launch public issues like initial public offer (IPO), follow-on public offer (FPO) and rights issue.
Going by the draft papers, Bharat Hotels’ IPO comprises sale of fresh equity shares to the tune of Rs 1,200 crore. Proceeds of the issue will be utilised towards repayment of certain loans availed by the company and for other general corporate purposes. HDFC Bank Ltd, Edelweiss Financial Services and YES Securities (India) will manage the company’s public issue.
As of March 2018, the company had operated 12 luxury hotels, palaces and resorts under The LaLiT brand and two mid-market segment hotels under The LaLiT Traveller brand across the country’s key businesses and leisure travel destinations.
Spandana Sphoorty IPO consists of fresh issue of shares worth up to Rs 400 crore, and an offer for sale of up to 13,146,595 equity stocks by existing shareholders, including Kedaara Capital Alternative Investment, Helion Venture Partners and Valiant Mauritius Partners, as per the draft papers.
Net proceeds of the fresh issue will be utilised for augmenting capital base and general corporate purposes. Axis Capital, ICICI Securities, IIFL Holdings and JM Financial are the book running lead managers to the issue.
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.