- November 12, 2020
- Posted by: Umesh Paliwal
- Category: News
Sequoia Capital-backed Indigo Paints has filed preliminary papers with market regulator SEBI to raise about Rs 1,000 crore through an initial public offering.
The IPO comprises fresh issuance of stocks aggregating to Rs 300 crore and an offer-for-sale of up to 58,40,000 equity shares by private equity firm Sequoia Capital, through its two funds SCI Investments IV and SCI Investments V, and promoter, Hemant Jalan, according to the draft red herring prospectus (DRHP).
Net proceeds from the issue would be used for expansion of the existing manufacturing facility at Pudukkottai in Tamil Nadu, for purchasing of tinting machines and gyro shakers, and repayment/prepayment of borrowings.
According to market sources, the initial public offering (IPO) is expected to fetch Rs 1,000 crore.
Kotak Mahindra Capital Company, Edelweiss Financial Services, and ICICI Securities are the book running lead managers to the issue.
The Pune-based company manufactures a range of decorative paints and has an extensive distribution network across the country.
As of September 30, 2020, the company has three manufacturing facilities located in Rajasthan, Kerala, and Tamil Nadu.