Canatbil gets Sebi nod for IPO, to mop up Rs 150 cr

The city-based apparel-maker and retail chain Cantabil today said it has secured Sebi approval for its upcoming public issue.

The public float is expected to hit the market within next two months and the company is hoping to raise up to Rs 105 crore from the process. The proceeds would be used for funding its expansion plans, Cantabil Retail said in a statement here today. The company had filed the draft red herring prospectus with the market watchdog Sebi last September.

"Cantabil has received Sebi nod for its forthcoming IPO. The IPO is expected to hit the market shortly, may be within a month or two... The company intends to raise up to Rs 105 crore from the IPO," Cantabil said in a statement but without giving further details.

"The objective of raising the funds is to set up a new manufacturing facility at Bahadurgarh in Haryana, retail expansion, repayment of part of debt," the statement added.

Cantabil currently has over 380 exclusive outlets across the country under two brands--Cantabil and La Fanso--offering a range of apparel, including formal-wear, party-wear, casuals and ultra-casual clothing for all segments.

Promoted by the New Delhi-based businessmen Vijay Bansal and Deepak Bansal, it also has three in-house manufacturing units and four warehouses located in the city.