FedFina, Dreamfolks, Archean Chemical get SEBI's approval to launch IPOs
- SEBI has approved IPOs of FedFina, Dreamfolks and Archean Chemical
- These companies received an observation letter from SEBI during May 9-13
- FedFina IPO comprises a fresh issue of worth Rs 900 crore
Capital markets regulator Securities Exchange Board of India (SEBI) has approved the Initial Public Offerings (IPOs) of three companies including Federal Bank’s subsidiary Fedbank Financial Services, airport service aggregator platform Dreamfolks Services and speciality marine chemical manufacturer Archean Chemical Industries.
These companies filed their preliminary IPO papers with SEBI in January and February and received an observation letter from the regulator during May 9-13, according to an update with the SEBI shown on Tuesday.
In SEBI’s language, observation means the company concerned has received the approval to launch the IPO.
According to the draft papers, the IPO of Fedbank Financial Services Ltd (FedFina) comprises a fresh issue of equity shares worth up to Rs 900 crore and an Offer For Sale (OFS) of up to 1,64,97,973 equity shares by Federal Bank and up to 2,92,16,313 equity shares by True North Fund VI LLP.
The company will utilize the net proceeds from the fresh issue towards augmenting its Tier – 1 capital base to meet its future capital requirements arising out of the growth of business and assets.
The IPO of Dreamfolks Services is entirely an OFS of up to 2,18,14,200 equity shares by promoters Liberatha Peter Kallat, Dinesh Nagpal and Mukesh Yadav. The public offer will include 41.75% of the post-offer paid-up equity share capital of the company.
Also Read | Who is SS Mundra, new BSE chairman?
Archean Chemical Industries’ IPO comprises a fresh issue of equity shares amounting to Rs 1,000 crore and an OFS of up to 1.9 crore shares by the promoter and investors, including India the India Resurgence Fund, a joint venture between Piramal Group and Bain Capital.
According to a PTI report, the company is expected to raise anywhere between Rs 2,000 crore and Rs 2,200 crore through the initial share sale. The company plans to utilize the net proceeds from the fresh issue for the redemption of non-convertible debentures issued by it.
The equity shares of the three companies will be listed on the BSE and NSE.