SK Finance files DRHP with SEBI to raise ₹2,200-crore via IPO
SK Finance has filed preliminary draft papers with capital markets regulator Securities and Exchange Board of India (SEBI) to garner ₹2,200 crore through an initial share sale. The proposed initial public offer (IPO) is a combination of a fresh issue of equity shares worth ₹500 crore and an offer for sale (OFS) of up to ₹1,700 crore by promoters and investor shareholders, according to the draft red herring prospectus (DRHP) filed by the company.
The promoters of the company are Rajendra Kumar Setia, Yash Setia and Rajendra Kumar Setia HUF. As part of the OFS, Norwest Venture Partners X-Mauritius and TPG Growth IV SF PTE Ltd will offload shares worth ₹700 crore each, Evolvence Coinvest I will divest shares to the tune of ₹75 crore and Evolvence India Fund III Ltd will sell shares worth ₹25 crore. Rajendra Kumar Setia and Rajendra Kumar Setia HUF will offload shares aggregating to ₹180 crore and ₹20 crore, respectively, according to the draft paper.
The vehicle finance and business loans-focused non-bank lender plans to utilise proceeds from the fresh issue for augmenting the capital base to meet future business requirements of the company towards onward lending and for general corporate purposes.
Kotak Mahindra Capital Company Ltd, Jefferies India Private Ltd, Motilal Oswal Investment Advisors Ltd and Nomura Financial Advisory and Securities (India) Private Ltd are the book-running lead managers (BRLMs) to the public issue.
