JRG to hit capital markets Apr 17
Chennai, Apr 13 (UNI) JRG Securities Limited, an equity and commodity broking outfit, will approach the capital market with a public issue to raise Rs 14.50 crore for overseas expansion and establishing 30 new regional offices in the country.
Addressing a press conference here, JRG Securities Director Giby Mathew said the company will come out with the issue on April 17 with an offer of 36,25,000 equity shares of Rs ten each at a premium of Rs 30 per share (issue price Rs 40 per share) to raise an aggregate of Rs 14.50 crore.
While 4,27,500 shares will be reserved for NRIs, the offer of 31,97,500 equity shares will be left to the public. The issue will close on April 21.The shares are proposed to be listed on the Bombay Stock Exchange, he said.
The company proposed to invest the funds raised through the IPO for technology upgradation of the existing IT infrastructure, establishment of 30 new regional offices in the country and for setting up a new establishment in Dubai.
JRG Securities proposed to establish two companies in Dubai- a limited liability company in collaboration with a Dubai resident as per existing UAE laws with an initial capital of Rs 768 lakh and a wholly owned subsidiary.
The limited liability company would conduct broking operations on the Indian and international stock exchanges for the Middle East market. The UAE partner would hold 60 per cent of the shares in the venture.
Currently, JRG has its presence in 310 trading centres in the country, supervised by 12 regional offices. The company proposed to expand this by adding 1,200 trading centres and 30 regional offices.
"This phase will allow the company to extend and reach in states like Haryana, Gujarat, Rajasthan, Madhya Pradesh and West Bengal," Mr Mathew added.
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