CIEL HR Services, which provides technology-driven human resources solutions, has received SEBI's go ahead to raise funds through an initial public offering (IPO), an update with the markets regulator showed on February 17.
The proposed IPO is a combination of fresh issue of equity shares worth Rs 335 crore and an offer for sale (OFS) of 47.4 lakh shares by promoters and other selling shareholders, according to the draft red herring prospectus (DRHP).
At present, promoters and promoter group entities hold 87 percent stake in the company.
As per the update, CIEL HR Services, which filed preliminary IPO papers with Sebi in November, obtained its observation letter on February 14.
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In Sebi's parlance, obtaining observation means its go ahead to float the public issue.
On the other hand, SEBI has returned offer document of Saatvik Green Energy on February 10 while Fujiyama PowerSystems has withdrawn the offer document on February 12.
Saatvik Green Energy and Fujiyama Power Systems filed their respective IPO papers with Sebi in November and December respectively.
Going by the draft papers, CIEL HR Services may consider raising Rs 67 crore through a pre-IPO placement. If this is carried out, the fresh issue size will be reduced.
Proceeds from the fresh issue will be used for acquisition of additional shareholding in subsidiaries — Firstventure Corporation, Integrum Technologies, Next Leap Career Solutions, People Metrics and Thomas Assessments — as well as funding incremental working capital requirements of the company, unidentified inorganic acquisitions and general corporate purposes.
Additionally, funds will be used for investment in five subsidiaries — CCIEL Skills and Careers, FirstVenture Corporation, Integrum Technologies, Ma Foi Strategic Consultants and Next Leap Career Solutions — towards expansion of their respective learning experience platforms.
Chennai-based CIEL HR Services offers a comprehensive suite of technology-driven human resources solutions across the entire human resource chain impacting every part of the employee lifecycle.
It provides HR services, including professional staffing, value staffing, executive search, selection and recruitment process outsourcing, payroll and compliance, HR advisory, and skilling; along with HR tech platforms, including talent assessment and development, talent engagement, employee learning, human resource management system, fresher upskilling and statutory compliance management.
Centrum Capital, Ambit and HDFC Bank are book-running lead managers to the issue.
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