Chennai-based GVR Infra Projects has filed Draft Red Herring Prospectus (DRHP) for its initial public offer (IPO) with Securities and Exchange Board of India (SEBI). The company is planning to raise Rs 400 crore through a fresh issue of equity shares.
The public also includes an offer for sale section, with IDFC offloading 43.22 lakh equity shares. Including this portion, the total offer size by GVR infra is between Rs 600-700 crore.
The company will use the issue proceed to fund working capital requirements and to pay back some short-term borrowings and for general corporate purposes. Edelweiss, Ambit, SBI Capital Markets and IDFC Securities are the bankers to the issue.
The company provides EPC (engineering, procurement, construction) services in road, irrigation, railways, bridges and civil construction sector the development and management of roads. In July 2011, IDFC’s private equity arm invested Rs. 150 crore for 21.43 per cent stake in the company.
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