Sathya Agencies Files DRHP with SEBI to Raise ₹600 Crore via IPO
IPO Structure Includes Fresh Issue and Promoter OFS
New Delhi, March 31: Consumer electronics retailer Sathya Agencies Ltd has filed its draft red herring prospectus with the Securities and Exchange Board of India to raise ₹600 crore through an initial public offering.The proposed IPO consists of a fresh issue of equity shares worth ₹300 crore and an offer for sale of ₹300 crore by promoters, taking the total issue size to ₹600 crore.
Promoters to Offload ₹300 Crore Worth of Shares
As part of the offer for sale, promoters Johnson Asaria, J John Sathya, and Charles Packiaraj will each sell equity shares valued at ₹100 crore.Utilisation of IPO Proceeds
The company plans to use the funds raised from the fresh issue for multiple purposes. These include repayment or prepayment of certain borrowings, partial payment for the acquisition of its subsidiary Unilet Appliances Private Limited, and general corporate purposes.Pre-IPO Placement Option
Sathya Agencies may also consider a pre-IPO placement of securities worth up to ₹60 crore. If such a placement is completed, the amount raised will be deducted from the size of the fresh issue.Retail Presence Across Southern India
Incorporated in 2005, Sathya Agencies Ltd operates in the consumer durables and electronics retail segment. The company has a presence across Andhra Pradesh, Kerala, Tamil Nadu, Puducherry, and Karnataka through its retail store network.Lead Managers to the Issue
Anand Rathi Advisors and Motilal Oswal Investment Advisors have been appointed as the book-running lead managers for the IPO.Listing Aims to Boost Visibility
The company stated that the listing of its equity shares is expected to enhance its visibility and brand image, while also providing a public market for its shares.Source:
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