Ahead of Sagility India IPO, promoter raises Rs 366 crore from 9 investors including Adani Properties, Elpro, Avendus, 360 ONE

Sagility India IPO

Sagility BV, the erstwhile Betaine BV and an affiliate of global investment firm EQT Private Capital Asia, has raised Rs 366 crore by selling its 2.61 percent stake in Sagility India to nine institutional investors. This stake sale has happened just few days before the IPO opening.

The Rs 2,107-crore Sagility India IPO will open for subscription on November 5, with a price band at Rs 28-30 per share. The public issue consists of solely an offer-for-sale of 70.2 crore equity shares by the only promoter Netherlands-based Sagility BV.

"Promoter has on October 30 and October 31 transferred 12.2 crore equity shares at a price of Rs 30 per share, the upper price band, amounting to Rs 366 crore," the Bengaluru-based company said in a notice for investors published in business newspapers.

This is pursuant to share purchase agreements dated October 30 executed between Sagility BV, and investors, which is the secondary sale, it added.

360 ONE (through Special Opportunities Fund - Series 8, and Monopolistic Market Intermediaries Fund) is the largest buyer amongst nine institutional investors, acquiring 1.07 percent stake for Rs 150 crore, followed by Avendus Future Leaders Fund II which picked 0.9 percent stake for Rs 126 crore. Gautam Adani family-owned Adani Properties also invested in the company, buying 0.14 percent shares for Rs 20 crore.

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Furthermore, Elpro International, Jasub Property Holdings, Jaya Chandrakant Gogri and Rashesh Chandrakant Gogri, PAM Family Trust, Shradha Family Trust, Unmaj Ventures, and Uma Priyadarshini Kollareddy and Kollareddy Ranganayakamma are other new shareholders buying in total half a percent shares worth Rs 70 crore.

After these transactions, the shareholding of promoter in the company stands reduced to 97.39 percent, from 100 percent earlier mentioned in the red herring prospectus filed on October 29.

Furthermore, post IPO and above pre-offer selling, Sagility BV will hold 82.39 percent stake in Sagility India that provides business solutions and services to clients in the US healthcare industry.

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Sagility, the healthcare focused services provider, caters to payers (US health insurance companies, which finance and reimburse the cost of health services), and providers (primarily hospitals, physicians, and diagnostic and medical devices companies).

The company, which is valued at Rs 14,044 crore at the upper price band, will not receive any money from the public issue and all the IPO funds (excluding offer expenses) will go to the promoter, the selling shareholder.

The anchor book of the issue will be launched for a day on November 4, while the IPO subscription will close on November 7.

ICICI Securities, IIFL Securities, Jefferies India, and JP Morgan India are the merchant bankers to the issue.