Great Eastern Energy Corporation, a coal-bed methane explorer, has received market regulator SEBI’s approval to raise funds through an initial public offer (IPO). The company, in September last year, had filed its draft red herring prospectus (DRHP) with SEBI for the proposed public offer.
The company is planning to come with a public issue of up to 82 lakh equity shares of face value of Rs 10 each. The issue comprises of fresh issue to the public of 78 lakh shares and an offer for sale of up to 4 lakh shares (offer for sale) by YKM Holdings International.
The company plans to use proceed garnered from the fresh issue for drilling and completion of CBM wells in the Raniganj (South) block and for general corporate purposes.
ICICI Securities is the book-running lead manager for the IPO, while Karvy Computershare is registrar to the issue.
The London-listed company produces natural gas from coal seams, commonly known as coal bed methane (CBM), in India. It focuses on the exploration, development, production, distribution and sale of CBM.
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