Indian infrastructure developer, Ramky Infrastructure, is planning to launch its proposed initial public offering (IPO) tomorrow. The IPO is expected to raise INR5.3 billion (€88.6 million; $115.6 million), the company said in a statement. The issue is expected to close on Thursday.
The IPO will consist of a fresh issue of shares worth a combined INR3.5 billion and an offer for sale of up to INR1.8 billion worth of shares held by founder and chairman Alla Ayodhya Rami Reddy and two other shareholders, according to the share sale offer document filed with Securities and Exchange Board of India (SEBI).
The company announced in its filing to the National Stock Exchange that it plans to sell shares in the price band of INR405 to INR468 per share. The funds raised will be used for investment in capital equipment, working capital requirements and repayment of loans, reports suggest.
The sale will be managed by Enam Securities and Deutsche Equities (India), according to the offer document.
Ramky Infrastructure, the infrastructure arm of Ramky Group, is engaged in construction and infrastructure development, operation and management. The company has several projects in sectors such as water and waste management, transportation, power transmission and distribution and industrial parks.