Three IPOs to hit markets next week; to mop up Rs 800 cr

The companies are: Pennar Engineered Building Systems, Shree Pushkar Chemicals & Fertilisers and Navkar Corp

Aiming to tap into the upbeat investor sentiment, three firms -- Pennar Engineered Building Systems, Shree Pushkar Chemicals & Fertilisers and Navkar Corp -- will hit the capital markets next week, to raise an estimated over Rs 800 crore through IPOs.

The bidding for shares in the initial public offers (IPOs) of Pennar Engineered Building Systems and Shree Pushkar Chemicals & Fertilisers will open on August 25 and close on August 27, while Navkar's IPO will hit the markets on August 24 and close on August 27.

Power infrastructure services company Power Mech has already launched its IPO this month.

Building systems solutions provider Pennar Engineered Building's IPO comprises fresh issue of shares to raise about Rs 58 crore and an offer for sale by private equity investor Zephyr Peacock and others.

It has fixed a price band of Rs 170 to Rs 178 for its IPO. At the top end of the price band, the IPO size works out to Rs 156 crore.

Shree Pushkar Chemicals and Fertilisers plans to raise Rs 70 crore by issuing fresh shares as well as an offer for sale of 20,26,589 shares.

Logistics firm Navkar would mobilise up to Rs 510 crore by issuing fresh equity shares and rake in up to Rs 90 crore through sale of existing shares. It has set the price band at Rs 147-155 for its public issue.

The shares of these companies are proposed to be listed on BSE and NSE.

The funds raised through the issue would be used for business expansion, repayment of loans and working capital requirements.

After a quiet 2014, the IPO market is buzzing again as 10 IPOs have already hit the market this year and many others are in the pipeline, including those of popular brands like IndiGo, Cafe Coffee Day and Matrix.

These 10 companies have mobilised about Rs 4,700 crore through IPOs, higher than funds raised in the preceding two years.

In comparison, a total of six IPOs had hit the market in 2014 and together garnered just Rs 1,261 crore while in 2013, three companies raked in Rs 1,284 crore through initial share sale plans.