L&T Finance Holdings files draft prospectus for Rs 1,500 cr IPO

L&T Finance Holdings, a part of engineering giant Larsen and Toubro (L&T), has filed the draft prospectus with market regulator Sebi for Rs 1,500-crore initial public offer.

As per the details available with the draft red herring prospectus (DRHP) filed with the Securities and Exchange Board of India, the company may consider the participation by anchor investors.

Besides, it may consider closing the bidding period for institutional buyers one day prior to the issue closing date, L&T Finance Holdings said in its DRHP.

This model (entire one day for retail and high networth individuals) helps companies to attract more participation from the non-institutional investors, analysts believe.

L&T Finance Holdings Ltd, earlier known as L&T Capital Holdings Ltd, aims to raise Rs 1,500 crore through the initial public offering.

It is the holding company for L&T Finance (that operates mutual fund business) and L&T Infra.

The objects of the issue are to augment the capital base of L&T Finance and L&T Infra to meet the capital requirements arising out of expected growth in their assets, primarily the loan portfolio, and for other general corporate purposes, it said in the draft prospectus.

L&T Finance is a financial holding company offering a diverse range of financial products and services across the corporate, retail and infrastructure finance sectors, as well as mutual fund products and investment management services, through its direct and indirect wholly-owned subsidiaries.

JM Financial, Citigroup, HSBC Securities, Credit Suisse, Barclays Securities are the book running lead manager to the issue. Equirus Capital is the co-book running lead manager.