Navi Mumbai-based engineering and technology company Commtel Networks is looking to raise Rs 900 crore through its maiden public issue as it has approached capital markets and filed preliminary papers with the SEBI earlier this week.
It plans to issue Rs 150 crore worth new shares, while existing shareholders will be offloading shares worth Rs 750 crore via offer-for-sale (OFS), as per the draft papers filed on September 29.
Promoter Shriprakash R Pandey, and other shareholders Satish Pookulangara and Ramakrishnan Saseendran Kodapully will be selling shareholders in the OFS.
Before the launch of its IPO, the company may consider raising funds up to Rs 30 crore in pre-IPO round which is a part of fresh issue component.
Commtel Networks intends to utilise Rs 109 crore of fresh issue proceeds for reducing its debt which was at Rs 242 crore as of July this year, and the remainder amount for general corporate purposes.
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The company that competes with big listed peers like ABB India, Honeywell Automation, and Hitachi Energy builds telecommunication, security, and safety systems for critical national infrastructure facilities with a specific focus on oil & gas and power sectors, including power grids, transportation networks, water systems, and healthcare facilities, as well as information and communication technologies.
In the latest fiscal year 2025, its oil & gas business contributed 85 percent to topline and power segment nearly 15 percent. Profit surged 139 percent to Rs 113.6 crore in the year ended March 2025, up from Rs 47.5 crore in previous fiscal year, while revenue during the same period increased by 40 percent to Rs 639.3 crore against Rs 456.9 crore.
Equirus Capital, and DAM Capital Advisors are appointed as the merchant bankers for the Commtel Networks IPO.
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