IRM Energy Ltd, a group company of Cadila Pharmaceuticals Ltd and Kanpur-based Lohia Corp have received final nod from the capital markets regulator, Securities and Exchange Board of India (SEBI), to raise funds through initial public offerings (IPOs).
IRM Energy’s public issue with a face value of ₹10 per equity share is a complete fresh issue of up to 10,100,000 equity shares. The book-running lead managers for the issue are HDFC Bank Ltd and BOB Capital Markets Ltd.
The net proceeds from the issue will be utilised for funding capital expenditure requirements, repaying debt, and for other general corporate purposes.
According to the Draft Red Herring Prospectus (DRHP), IRM Energy is a city gas distribution company with operations at Banaskantha (Gujarat), Fatehgarh Sahib (Punjab), Diu & Gir Somnath (Union Territory of Daman and Diu/Gujarat), and Namakkal & Tiruchirappalli (Tamil Nadu), engaged in the business of laying, building, operating and expanding the city or local natural gas distribution network.
On the other side, Lohia Corp’s public issue with a face value of Re 1 per equity share is a complete offer-for-sale (OFS) of up to 31,695,000 equity shares by the existing shareholders.
ICICI Securities Ltd, IIFL Securities Ltd, HSBC Securities and Capital Markets (India) Private Ltd, and Motilal Oswal Investment Advisory Ltd are the book-running lead managers.
The promoters selling their stake are Raj Kumar Lohia, Neela Lohia, Gaurav Lohia, Amit Kumar Lohia, and Ritu Lohia.
According to the DRHP, Lohia Corp is a global leading manufacturers of machinery and equipment used in the production of technical textile, in particular for manufacturing polypropylene and high density polyethylene woven fabric and sacks, with a global market share of 17.5% across all Raffia machinery and more than 28.7% for machines used in PP/ HDPE fabric making.
IRM Energy and Lohia Corp had submitted their preliminary IPO papers to SEBI on December 14, 2022 and September 29, 2022, respectively.