Lanco Infratech files red herring prospectus with SEBI
Mumbai, Aug 8 (UNI) Lanco Infratech Limited, an infrastructure company involved in power generation, construction and property development, has filed its draft red herring prospectus with the Securities and Exchange Board of India (SEBI) to enter the capital market with its initial public offering (IPO) of equity shares.
The company proposes to offer 44,472,381 equity shares of Rs 10 each for cash at a premium to be decided through the 100 per cent book-building process to be conducted on the Mumbai and National stock exchanges, said the company's release here.
The issue would constitute 20 per cent of the fully diluted post issue equity capital.
It also proposes to reserve five lakh equity shares for allotment to eligible employees of the company. Thus, the net offer to public would be of 43,972,381 equity shares.
Of the net offer to public, the company plans to reserve 60 per cent of the issue for allotment to qualified institutional buyers on a proportionate basis, five per cent of which will be available for allotment to mutual funds.
The company also proposes to reserve up to 10 per cent for allotment to non-institutional investors and the balance 30 per cent for allotment to retail investors on a proportionate basis.
In its DRHP, the company has indicated that it was considering private placement of equity shares. In the event of a successful private placement of equity shares, the net offer to public would stand reduced.
The book running Lead Managers for the issue include J M Morgan Stanley, Enam Financial Consultants, ICICI Securities and Kotak Mahindra Capital Company.
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