IndoStar Capital Finance’s initial public offering will open for subscription on 9 May.
The non-banking financial company is expected to raise around Rs2,000 crore through the IPO. The IPO comprises sale of new shares worth Rs700 crore and a sale of 20 million shares by existing shareholders. IndoStar plans to use the proceeds of the IPO to augment its capital base.
“Our company proposes to utilize the net proceeds from the fresh issue towards augmenting its capital base to meet future capital requirements,” the company said in its IPO document.
Investment banks JM Financial, Kotak Mahindra Capital Co., Morgan Stanley India Co., Motilal Oswal Investment Advisors and Nomura Financial Advisory and Securities (India) Pvt. Ltd are managing the share sale.
IndoStar provides structured term financing solutions to corporates and loans to small and medium enterprises. It recently started offering vehicle and housing finance products
IndoStar Capital was started in 2011 by private equity investors Everstone Capital, Beacon India Fund, ACPI Investment Managers and CIDB Capital.
This story was first published on livemint,com
