Anchor Investors Pay Rs 304 billion to SBFC Finance

In advance of its debut share sale, non-banking financing business SBFC financing Ltd said on Wednesday that it has collected little over Rs 304 crore from anchor investors.

According to a circular posted on the BSE website, the business has opted to distribute 5.34 crore equity shares to 37 funds at a price of Rs 57 per share, which is also the top end of the pricing range.

According to the circular, the business has received Rs 304.43 crore at this price from anchor investors.

 

Among the anchor investors are Amansa Holdings, Carmignac Portfolio, Loomis Sayles, Neuberger Berman, Malabar India Fund Ltd., and Steadview Capital Master Fund Ltd.

 

Investments have also been made by domestic mutual funds, notably ICICI Prudential Mutual Fund (MF), SBI MF, HDFC MF, Aditya Birla Sun Life MF, and Axis MF.

 

The subscription period for the public offering, which has a price range of Rs. 54–57 per share, will start on August 3 and end on August 7.

 

The Rs 1,025 crore initial public offering (IPO) consists of an offer for sale (OFS) component by existing shareholders totaling up to Rs 425 crore and a new issuance of equity shares totaling up to Rs 600 crore.

 

Arpwood Partners Investment Advisors LLP, Arpwood Capital Pvt Ltd, and Eight45 Services LLP would sell shares under the OFS.

 

The firm will use the net proceeds from the offering to increase its capital base in order to meet future capital needs brought on by the expansion of its operations and assets.

 

The business has previously completed a pre-IPO private issue of equity shares totaling Rs 150 crore. Following this, the amount of the new issuance was decreased from the original target of Rs 750 crore to Rs 600 crore.

 

Following the pre-IPO round, the firm received investments totaling Rs 90 crore from HDFC Mutual Fund (MF), ICICI Prudential MF, and SBI MF. At Rs 57 per share, the company was valued at around Rs 5,400 crore.

 

The issue’s book-running lead managers are Kotak Mahindra Capital Company, Axis Capital, and ICICI Securities. It is planned that the equity shares list on the NSE and BSE.