The ₹423-crore initial public offering from RK Swamy opens to public today. The IPO price band is fixed at ₹270-288 and investors can bid for a minimum of 50 equity shares. The IPO closes on Wednesday (March 6).
RK Swamy IPO comprises a fresh issue of ₹173 crore, and an offer-for-sale (OFS) of up to 87 lakh shares face value of ₹5 each (worth ₹250 crore) by the promoters and other investors.
The company has reserved not less than 75 per cent of the shares in the public issue for qualified institutional buyers (QIB), not more than 15 per cent for non-institutional institutional investors and up to 10 per cent of the offer is reserved for retail investors.
On Friday, the company, as part of IPO exercise, raised about ₹187 crore from 18 anchor investors.
The Chennai-based company, which is engaged in the business of integrated marketing communications, customer data analysis and full-service market research, has allotted about 65 lakh shares to anchor investors at ₹288 a share.
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Some of the anchor investors include Nippon Life India Trustee (₹50 crore), Aditya Birla Sun Life Insurance (₹20 crore), Pinebridge Global Funds (₹15 crore), Bajaj Allianz Life Insurance (₹15 crore) and SBI General Insurance, Gam Multistock and Societe Generale (₹10 crore each).
The money raised from the IPO is expected to be used for funding for setting up a digital video content production studio, financing IT infrastructure development of the company and its subsidiaries, and funding the setting up of new customer experience centres, among others.
The book running lead managers are SBI Capital Markets Ltd, IIFL Securities Ltd and Motilal Oswal Investment Advisors Ltd. The issue’s registrar is KFIN Technologies.