Nu Tek earmarks Rs 20 cr for acquisitions

The acquisitions would help Nu Tek to strengthen its presence in emerging overseas markets and to scale up its revenues.        

"We intend to increase our presence in new geographies by acquiring companies. We have identified a few US companies with operations in the West Asia and North Africa and we will seal the deals very soon," the company's Managing Director, Inder Sharma, told PTI here.        

The companies to be acquired could be of a smaller size or similar to its own size, he said, adding that the company has earmarked Rs 20 crore for acquisitions.        

The acquisitions would be funded through a part of the Rs 100-crore the company is planning to raise through an Initial Public Offering (IPO).        

"We are raising Rs 100 crore through an IPO. We have filled our Red Herring Prospects (RHP) with the Securities and Exchange Board of India (Sebi) and are expecting to come out with our IPO this month," Sharma said.        

The issue proceeds would be used for overseas acquisitions, capital expenditure and meeting working capital requirements, he said.        

The IPO would have 45,00,000 equity shares of face value of Rs 10 each.