Tech Mahindra to raise 80-90 $ mn by IPO

Bangalore, July 28: India's leading Telecom IT solutions provider, Tech Mahindra, is entering the equity market on August one, with a public issue of 12,746,000 equity shares of Rs 10 each, comprising a fresh issue of 3,186,480 equity shares and an offer for sale of 9,559,520 equity shares by Mahindra and Mahindra Limited and British Telecommunications Plc.

Of the issue, 1,158,790 equity shares would be reserved for eligible employees. The issue would constitute 11 per cent of the post issue paid up capital of the company, and the net issue would constitute 10 per cent of the post issue capital. The price band for the issue was Rs 315 at lower end and Rs 365 at the higher end.

Offered on a 100 per cent book building basis, the company aimed at raising 80 to 90 million US Dollars to part fund its expansion programmes.

Company Chief Opreating Officer L Ravichandran told newspersons heretoday that there was tremendous scope for the telecom solutions sector with India hardly contributing a little over one billion Dollar on a total market size of 55 billion Dollars.

Tech Mahindra was a leading solutions provider in the telecom vertical and had over 10,400 personnel on its rolls. Tech Mahindra provided end to end services to meet the requirements of the Telecom Ecosystem players, including Telecom Service Providers, Telecom Equipment Manufacturers and Independent Software Vendors.

UNI