Religare enters capital market, targets Rs 150 cr

New Delhi, Oct 24 (UNI) Financial services company Religare Enterprises Ltd (REL) today said it will enter the capital market to raise about Rs 150 crore with its initial public offering of 75,76,102 equity shares of Rs 10 each.

The issue, through a 100 per cent book-building process, will open on October 29 and close on November 1, 2007. The price band has been fixed between Rs 160 to Rs 185 per share.

The funds will be used for expanding the company's domestic operations and network of branches of two of its subsidiaries, Religare Finvest Ltd and Religare Finance Ltd.

The IPO will also fund expansion of retail finance business and lending business.

The company has also entered into an investment agreement with Indopark Holdings Ltd, an indirect wholly owned subsidiary of Merrill Lynch and Co Inc, wherein it has agreed to issue and allot 37,88,050 equity shares representing 5.56 per cent ownership of the paid-up share capital worth Rs 60.6 crore at Rs 160 per share.

REL is a holding company of 11 subsidiaries, which are engaged in a wide range of financial products and services.

Along with its subsidiaries, it offers a wide array of services ranging from equities, commodities, insurance broking wealth advisory, portfolio management services, personal finance services, investment banking and institutional broking services.

UNI