KSH International raises Rs 213 crore from 10 anchor investors ahead of Rs 710-crore IPO

KSH International IPO News

KSH International, which claims third-largest manufacturer of magnet winding wires in India, has mobilised Rs 213 crore from 10 anchor investors on December 15, a day before the IPO launch for the public.

The Pune-based company approached capital markets to raise up to Rs 710 crore via initial public offering (IPO) which comprises of fresh issuance of shares worth Rs 420 crore, and an offer-for-sale of Rs 290 crore worth shares at the upper end of price band of Rs 365-384 per share.

The offer will open for the public subscription on December 16, and close on December 18.

KSH International has finalised allocation of 55.46 lakh shares to anchor investors at Rs 384 per share. "Out of the total allocation, 41.4 lakh equity shares were allocated to 5 domestic mutual funds including Kotak Mahindra AMC, HDFC AMC, LIC Mutual Fund, and ITI Mutual Fund," the company in its filing to exchanges said.

Further, 4.68 lakh shares were allocated to two insurance companies - Kotak Mahindra Life Insurance, and Edelweiss Life Insurance Company.

Click Here To Read All IPO News

Amongst them, Kotak Mahindra AMC was the largest buyer, acquiring 20.83 lakh shares worth Rs 80 crore.

Apart from these institutional investors, Malabar India Fund, HSBC Global Investment Funds, and Societe Generale also participated in the anchor book.

KSH International intends to utilise Rs 226 crore of fresh issue proceeds for repayment of certain borrowings, and Rs 8.8 crore for purchasing and setting up of a rooftop solar power plant for power generation at Supa facility.

Further, Rs 87 crore will be utilised for purchasing and setting up of new machinery for expansion at Supa facility, and new machinery at Unit 2 in Chakan, Pune. And the remainder funds will be used for general corporate purposes.

Nuvama Wealth Management, and ICICI Securities are acting as the merchant bankers for the KSH International IPO.