GE Energy plans Rs 400-cr IPO

MUMBAI: Aim-listed Great Eastern Energy Corporation (GEEC) plans to raise Rs 400 crore through its initial public offer (IPO) to finance development of coal bed methane (CBM) block in Raniganj, West Bengal.

���We are planning to dilute 10% of the equity of the company. We have filed the draft red herring prospectus with market regulator Sebi,��� YK Modi, chairman of GEEC, told ET. Of the 10% public offer, 7.83% will be new shares, while the remaining 2.17% will be sold by holders of global depository receipts (GDRs). The GDRs of GEEC closed at 310 pence on Wednesday on London���s AIM.

The company has roped in Enam Securities, ABN Amro and SBI Capital Markets as book runners and lead managers to the issue. GEEC���s CBM block in Raniganj holds 1.92 trillion cubic feet (tcf) of in-place gas reserves and the company plans to drill 100 wells in the first phase.