scorecardresearchIPO Alert: Rashi Peripherals files papers to raise ₹750 crore; here are the details

IPO Alert: Rashi Peripherals files papers to raise 750 crore; here are the details

Updated: 19 Jan 2023, 05:56 PM IST
TL;DR.
  • The initial public offering (IPO) does not have offer-for-sale component. JM Financial Ltd and ICICI Securities Ltd are the book running lead managers.
Rashi Peripherals Ltd files DRHP with the SEBI

Rashi Peripherals Ltd files DRHP with the SEBI

Mumbai-based information technology (IT) firm Rashi Peripherals Ltd has filed a draft red herring prospectus (DRHP) with the Securities and Exchange Board of India (SEBI) to raise 750 crore through a fresh issue of shares. The equity shares have a face value of 5 each.

The initial public offering (IPO) does not have offer-for-sale component.

According to a Technopak research that is included in the DRHP, the company is one of the distribution partners for international technology brands.

The company has a pan-India distribution network with 50 branches that operate for sales and as service centers and 62 warehouses, covering 730 locations in India.

The company in its DRHP has mentioned that it will, in consultation with the lead bankers to the issue, may consider a private placement of equity shares for cash consideration aggregating up to 150 crore. If such placement is completed, the fresh issue size will be reduced.

JM Financial Ltd and ICICI Securities Ltd are the book running lead managers.

The company would use the proceeds from its new issuance, totaling 400 crore, to pay off all or a portion of certain existing borrowings that it has taken out, as well as for general corporate reasons. 200 crore will be used to cover working capital needs.

According to the company's DRHP, the IT company's revenue from operations grew 57.19 percent from 5,925.05 crore in fiscal 2021 to 9,313.44 crore in fiscal 2022, primarily due to an increase in the revenue from sale of goods as well as an increase in average selling price of goods.

Link Intime India Private Limited is the registrar to the offer. The equity shares are proposed to be listed on BSE and NSE.

Article
An IPO is the process by which a private company can go public by offering its stock to the general public for the first time.
First Published: 19 Jan 2023, 05:56 PM IST