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Receives bids for 15.38 lakh shares
The initial public offer (IPO) of Prataap Snacks received bids for 15.38 lakh shares on the first day of bidding for the IPO, data on NSE showed as at 17:00 IST. The IPO was subscribed 0.42 times. The IPO opened today, 22 September 2017 and will close on 26 September 2017. The price band for the IPO is Rs 930 to Rs 938 per share.
Ahead of the IPO, Prataap Snacks raised Rs 143.40 crore by selling 15.28 lakh shares to a total of 15 anchor investors at Rs 938 per share, the top end of IPO price band.
Prataap Snacks IPO comprises of a fresh issue of Rs 200 crore. The objects of the fresh issue is to spend around Rs 40 crore on advertising and brand promotional activities, Rs 70 crore on capital expenditure in relation to expansion and modernisation, Rs 13 crore in relation to repayment of certain borrowings, Rs 29.37 crore worth of investments in subsidiary for repayment of certain loans availed by the subsidiary and rest for general corporate purposes, apart from the benefits of listing the equity shares on the BSE and the NSE and to enhance its visibility and brand image and provide liquidity to its existing shareholders.
Prataap Snacks promoters and venture capital investor Sequoia Capital are collectively selling 30.06 lakh shares in the share sale. It includes up to 3.69 lakh equity shares by Sequoia Capital GFIV Mauritius Investment, up to 0.94 lakh equity shares by Sequoia Capital India Growth Investment Holdings I, up to 13.17 lakh equity shares by SCI Growth Investments II, and by the promoters and promoters group, which includes Arvind Mehta (upto 1.84 lakh share), Naveen Mehta (upto 1.39 lakh shares), Arun Mehta (upto 1.39 lakh shares), Rajesh Mehta (up to 3.62 lakh shares), Kanta Mehta ( up to 0.69 lakh Shares, Premlata Kumat (up to 0.78 lakh shares), Swati Bapna (up to 0.22 lakh shares, up to 1.17 lakh equity shares by Apoorva Kumat and up to 1.17 equity shares by Amit Kumat.
On a consolidated basis, Prataap Snacks reported net profit after minority interest of Rs 9.89 crore on revenue from operations of Rs 903.92 crore in the year ended March 2017.