Idea Cellular plans to raise Rs 2500 cr
The company is likely to off load about 10 per cent equity through the IPO.
By PTI |
NEW DELHI: Aditya Birla Group Company, Idea Cellular, has approached market regulator SEBI for clearance of an initial public offer, hoping to mop up an estimated Rs 2,500 crore.
The company is likely to off load about 10 per cent equity through the IPO and has the option to retain upto 15 per cent surplus through the green shoe option, a company official said.
The company has filed a red herring prospectus with the Securities and Exchange Board of India (SEBI) and Idea officials indicated that the company would like to hit the capital market as soon as possible, after it gets clearance from the market regulator.
The issue proceeds will be utilised in expanding services in new circles, NLD operations, as well as launch in Mumbai, redemption of preference shares, general corporate purposes and issues expenses, it said.
After the IPO, the company plans to list the shares at both the BSE and NSE.
While Citigroup Global and UBS Securities are the senior co-book running lead managers, JM Morgan Stanley and DSP Merrill Lynch are the lead managers.
The move comes within months of Birla's buying out Tatas from the joint venture Idea after a bitter wrangling for Rs 4,406 crore.
The company is likely to off load about 10 per cent equity through the IPO and has the option to retain upto 15 per cent surplus through the green shoe option, a company official said.
The company has filed a red herring prospectus with the Securities and Exchange Board of India (SEBI) and Idea officials indicated that the company would like to hit the capital market as soon as possible, after it gets clearance from the market regulator.
The issue proceeds will be utilised in expanding services in new circles, NLD operations, as well as launch in Mumbai, redemption of preference shares, general corporate purposes and issues expenses, it said.
After the IPO, the company plans to list the shares at both the BSE and NSE.
While Citigroup Global and UBS Securities are the senior co-book running lead managers, JM Morgan Stanley and DSP Merrill Lynch are the lead managers.
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The Aditya Birla group had divested nearly a 33 per cent stake to a handful of investors such as Providence Equity Partners of the US, India's ChrysCapital, the UKs TA Associates and GLG Partners and Citigroup. The move comes within months of Birla's buying out Tatas from the joint venture Idea after a bitter wrangling for Rs 4,406 crore.
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