Sebi Approves Four Firms’ Initial Public Offerings

Entero Healthcare Solutions, JNK India, Exicom Tele-Systems, and Akme Fintrade (India) have received approval from markets regulator Sebi to raise capital through initial public offerings.

However, the Securities and Exchange Board of India has returned Stallion India Fluorochemicals’ IPO documents.

According to the processing status of draft offer documents as of January 19, the watchdog approved the four companies’ initial public offerings (IPOs).

An update with the Securities and Exchange Board of India (Sebi) showed on Thursday that these four companies, which had filed their preliminary documents with the markets watchdog between June and October, had received observation letters on January 16–19.

In Sebi’s language, obtaining observation letters indicates that an IPO is approved.

As stated in Entero Healthcare Solutions’ draft documents, the IPO will include an offer for sale (OFS) component of up to 85.57 lakh equity shares and a new issue of equity shares valued up to Rs 1,000 crore.

Those selling shares in OFS are promoters Prabhat Agrawal, Prem Sethi, and OrbiMed Asia III Mauritius Ltd, and additional shareholders Chethan MP, Deepesh T Gala, Hemant Jose Barros, Hemant Jaggi, KRVS Varaprasad, K E Prakash and Lavu Sahadev.

Entero Healthcare Solutions was established in 2018 by Prabhat Agarwal and Prem Sethi.

JNK India’s public offering comprises a new issue of equity shares worth up to Rs 300 crore and an OFS of up to 84.21 lakh equity shares by the promoters and an existing shareholder.

Under the OFS, promoters Goutam Rampelli, Dipak Kacharulal Bharuka, JNK Heaters Co Ltd, and Mascot Capital and Marketing Pvt Ltd, as well as shareholder Milind Joshi, would sell their shares in the Mumbai-based company.

The maiden share sale of Udaipur-based Akme Fintrade (India) Ltd includes the issuing of 1.1 crore equity shares without an offer for sale (OFS).

Proceeds of the offering are proposed to be used to increase the capital base of the company.

Exicom Tele-Systems Ltd’s IPO includes a fresh issue of equity shares worth up to Rs 400 crore and an offer-for-sale component of up to 74 lakh equity shares by promoter NextWave Communications.

NextWave Communications now holds a 71.45 percent ownership in the company.

The proceeds of the new issuance will be used to set up production lines at the manufacturing plant in Telangana, invest in R&D and product development, and pay down debt to support working capital requirements and other corporate purposes.

The equity shares of these four companies are intended to be listed on the BSE and NSE.

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