Vishal files DRHP to raise Rs 110 cr through IPO

New Delhi, Dec 5: Vishal Retail Ltd today said it has filed a draft red herring prospectus (DRHP) with market regulator SEBI to raise Rs 110 crore through an initial public offer (IPO) of equity shares of Rs 10 each by 100 per cent book-build process.

''The IPO is a significant milestone in realising our larger corporate vision. It would help us further scale up in the emerging retail landscape,'' Vishal Retail Managing Director Ram Chandra Agarwal said today.

Mr Agarwal added that the premium of the shares, proposed to be listed on the Bombay Stock Exchange Ltd and the National Stock Exchange, is yet to be decided.

Out of the net offer to public, 60 per cent is reserved for allotment to Qualified Institutional Buyers on a proportionate basis, 5 per cent of which will be available for allotment to mutual funds.

Further, up to 10 per cent of the net offer to public is reserved for allotment to non-institutional investors and the balance of up to 30 per cent for allotment to retail investors, a statement said.

The Book Running Lead Manager to the issue is Enam Financial Consultants Private Ltd.

Vishal's total sales for fiscal 2006 was Rs 288.44 crore with the net profit Rs 12.47 crore.

UNI