Patni files for ADS

Patni Computer Systems has announced that it has filed a registration statement (Form F-1) with the US Securities and Exchange Commission (SEC) for its initial public offer (IPO) of 68.75 lakh American depository shares (ADS). Each ADS represents two equity shares of Rs 2 at par.

The proposed offering comprises 5.125 million primary ADSs and 1.75 million secondary ADSs and up to an additional 1.03 million in primary ADSs under the greenshoe option.

The 'Invitation to Participate' in the secondary offering is scheduled to start on November 24 and close on December 1.

Patni also said it continues to maintain its 2005 revenue guidance in the range of $448 million to $450 million. Primarily owing to fluctuations in the foreign exchange rates and an increase in subcontractor expenses, the company has adjusted its 2005 operating margin guidance from 16-16.50 per cent to 15.75-16.25 per cent and correspondingly, it is updating its net income guidance to $63-$64 million.

"The company continues to see good business momentum and margin expansion going forward," it said.