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As many as four companies, including Bharat Hotels which runs ‘The LaLiT’ brand, have filed IPO papers with market regulator Sebi to raise an estimated Rs 3,250 crore. The other firms are K Raheja Corp’s hospitality company Chalet Hotel, online marketplace IndiaMART InterMESH Ltd and agro-processing equipment maker Milltec Machinery.
These four public issues are expected to fetch at least Rs 3,250 crore, according to merchant banking sources.
All these companies plan to list on the BSE and NSE.
Going by the draft papers, Chalet Hotel’s initial public offer (IPO) comprises fresh issue of shares worth up to Rs 950 crore, besides, an offer of sale of up to up to 24,685,000 equity shares by the existing shareholders.
JM Financial, Axis Capital and Morgan Stanley India Company will manage the company’s public issue.
Bharat Hotels’ IPO consists of sale of fresh equity shares to the tune of Rs 1,200 crore, as per the draft papers.
Proceeds of the issue will be utilised towards repayment of certain loans availed by the company for other general corporate purposes.
HDFC Bank Ltd, Edelweiss Financial Services Ltd and YES Securities (India) Ltd are the book running lead managers to the public issue.
As of March 2018, the company 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 business and leisure travel destinations, offering 2,261 rooms.
Through IndiaMART’s IPO, a total of 42,88,801 equity shares will be divested by the promoters and private equity firms Intel Capital (Mauritius) Ltd, Amadeus Capital Partners and Accion Frontier Inclusion Mauritius.
The initial share-sale offer is expected to garner Rs 600 crore, merchant banking sources said.
The public issue is being managed by ICICI Securities, Edelweiss Financial Services and Jefferies India.
Milltec Machinery’s IPO will see sale of up to 37,51,499 equity shares, amounting to 37.5 per cent stake in the company, by Renuka Ramnath-led private equity firm Multiples Alternate Asset Management (Multiples PE) and promoters, draft papers filed with Sebi showed.
Multiples PE will sell 22.5 per cent, while promoter will divest 15 per cent holding in the company.
According to merchant banking sources, the public issue is expected to fetch Rs 500 crore.
Motilal Oswal Investment Advisors and IIFL Holdings are merchant bankers of the issue.
Milltec is a leading agro-processing equipment manufacturer, with sales and distribution network in India and overseas. Its portfolio includes equipment to facilitate the processing of rice, pulses, wheat, seeds and maize.