Micromax Informatics withdraws Rs 426 cr IPO plan

Micromax Informatics, has withdrawn its Rs 426-crore initial public offering due to volatile market conditions, the company said.

By Gulveen Aulakh, ET Bureau | Jul 28, 2011, 03.22 AM IST

NEW DELHI: Largest mobile phone maker in the domestic market, Micromax Informatics, has withdrawn its 426-crore initial public offering due to volatile market conditions, the company said. It sought to withdraw the draft red herring propectus from market regulator Sebi on June 17, an executive familiar with the proceedings told ET.

A company spokesperson confirmed the move and said that it had decided to defer the proposed IPO so that it can concentrate on product development. "Due to the volatile market conditions, the board has taken a decision to defer the proposed IPO. The board will ...consult its advisors to determine a suitable period for a future public offering," the company said.

Sebi had approved the homegrown handset maker's 10% stake sale via public listing on January 14 this year, which valued the company at around $1 billion.

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