PFC files IPO papers with SEBI

New Delhi, June 5 (UNI) Power Finance Corporation today filed its draft red herring prospectus with the Securities and Exchange Board of India (SEBI) for issue of 154,567,500 equity shares of Rs 10 through the book building process.

The net issue to the public would constitute approximately 13.64 per cent of the post-issue fully diluted equity share capital of PFC, a company spokesman said here.

The offer by PFC, which is seeking to enter the capital markets with an initial public offering (IPO), comprises a fresh issue of up to 103,045,000 equity shares and an offer for sale of up to 51,522,500 equity shares by the Government of India.

PFC has proposed to reserve up to 2,576,125 shares for allotment to its employees and the net issue to the public is 151,991,375 equity shares.

Dr V K Garg, Chairman and Managing Director of PFC, after filing the documents with SEBI said, "The issue will help us augment our capital base to meet the future capital requirements arising out of growth in our assets, primarily our loan and investment portfolio due to the growth of the Indian economy. We are seeking to strengthen our capital base to support the future growth in our assets." The book running lead managers to the issue are Enam Financial Consultants Pvt Ltd, ICICI Securities Ltd and Kotak Mahindra Capital Company Ltd.

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