'Subscribe' to Future Ventures India IPO for long-term: Anand Rathi

MUMBAI: Anand Rathi has recommended investors to ‘Subscribe’ to the initial public offering of Future Ventures from long-term perspective. The company plans to raise Rs 750-825 crores by issuing shares of face value Rs 10 each in the price-band of Rs 10-11 per share.

“Future Ventures is also looking to invest in more 'mature opportunities' companies which, it believes, have unrecognized growth potentials or are undervalued or in which it can identify hidden assets or recovery potential. They also plan to expand their targeted investment areas beyond the current ones. The outlook for the company looks good. We recommend Long Term SUBSCRIBE to the issue,” the report said.

Future Ventures India is a part of the Future Group led by Kishore Biyani. It focuses on consumption-led businesses in India and is also one of the leading organized multi-format retailers. Within the consumption led sectors they generally focus on opportunities in the business segments of fashion, FMCG, food processing, home products, rural distribution and vocational education.

As of now they have 14 such business ventures, six of which are their subsidiaries. They seek to enable, to conceptualize and implement their growth and development strategies and to help them convert ideas and insights into viable business proposition.

The proceeds will be used to create, build, invest in or acquire, and operate business ventures.

The issue closes Thursday.