LEAP India, Eldorado Agritech, 3 others get Sebi's nod to float IPOs

New Delhi, Dec 9 (PTI) As many as five companies, including supply chain asset pooling firm LEAP India and Eldorado Agritech, have secured Sebi's approval to raise funds through initial public offerings (IPOs), an update with the regulator showed on Tuesday.

Other firms that received regulatory clearance are Molbio Diagnostics, backed by Temasek and Motilal Oswal Private Equity; Foodlink F&B Holdings (India), a catering and food retail chain company; and Technocraft Ventures, a wastewater treatment solutions provider.

All five companies, which filed their preliminary IPO papers between June and September, obtained the regulator's observations between November 25 and December 5, the update showed.

In Sebi's parlance, receiving observations is equivalent to its go-ahead to proceed with a public issue.

On the other hand, two companies -- Inox Clean Energy and Sky Alloys and Power -- have withdrawn their respective IPO papers on December 5.

According to industry sources familiar with the development, Inox Clean Energy has temporarily withdrawn its draft papers after raising around Rs 5,000 crore in a pre-IPO funding round, prompting the company to pull back its preliminary filings.

However, the company is expected to refile its IPO papers after incorporating the latest funding details in its financials, they added.

Sky Alloys & Power had proposed to raise funds through its IPO comprising a total of 1.79 crore equity shares, according to its draft papers.

In the LEAP India case, its Rs 2,400-crore maiden public offering is a combination of a fresh issue of shares up to Rs 400 crore and an offer-for-sale (OFS) of shares valued at Rs 2,000 crore by Vertical Holdings II Pte. Ltd and KIA EBT Scheme 3, the draft papers showed.

Proceeds from its fresh issuance worth Rs 300 crore will be utilised for payment of debt, and the remainder will be utilised for working capital requirements.

The Rs 1,000-crore IPO of Eldorado Agritech, known for its brand Srikar Seeds, involves a fresh issue of equity shares worth Rs 340 crore and OFS of shares aggregating to Rs 660 crore by promoters.

The Telangana-based seed-to-harvest solutions provider plans to utilise Rs 245 crore from the fresh issuance for payment of debt and general corporate purposes.

The IPO of Molbio Diagnostics comprises a fresh issue of shares aggregating Rs 200 crore and an OFS of 1.25 crore shares by existing shareholders.

The company plans to utilise Rs 99.3 crore from the net proceeds for setting up infrastructure for a new Research and Development facility, a Centre of Excellence and connected office space.

Foodlink F&B Holdings' IPO is a mix of fresh issue of equity shares worth Rs 160 crore and an OFS of over 1.19 crore shares by promoters and investor selling shareholders.

The company intends to use proceeds from the fresh issue towards setting up two new centralised kitchens and investment in its material subsidiary, Foodlink Global Restaurants & Catering Services, for setting up four new casual dining restaurants.

It operates 30 casual dining restaurants and cloud kitchens through its flagship brands such as India Bistro, Art of Dum, China Bistro, and Glocal in India and the United Arab Emirates.

Technocraft Ventures' IPO consists of fresh issuance of up to 95.05 lakh equity shares and an OFS of 23.76 lakh shares by promoter Kartikey Constructions.

Proceeds from the fresh issue to the tune of Rs 138 crore will be utilised to fund the working capital requirements of the company and the balance for general corporate purposes, according to the draft papers. PTI SP SP SHW