Muthoot Finance’s microfinance arm Belstar Microfinance has received Securities and Exchange Board of India’s (SEBI's) go ahead to float initial public offerings (IPOs). The company’s IPO is a mix of fresh issue of equity shares worth Rs 1,000 crore and OFS of Rs 300 crore by investor shareholders.
Proceeds from the fresh issue worth Rs 760 crore will be used to meet future capital requirements towards onward lending and the remaining amount will be used for general corporate purposes. The lead book-running managers of the IPO are ICICI Securities, Axis Capital, HDFC Bank, and SBI Capital Markets. The equity shares are proposed to be listed on the BSE and NSE.
Belstar Microfinance, a non-banking finance company - Micro Finance Institution (NBFC-MFI), offers various loan products, including micro-enterprise, small enterprise, consumer goods, festival, education, and emergency loans.
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