Fleet bus operator Chartered Speed gets Sebi's nod for Rs 273 crore IPO

Fleet bus operator Chartered Speed has received markets regulator Sebi's approval to raise an estimated Rs 273 crore through initial public offering.

The company, which had filed its draft papers with Sebi in September 2018, received "observations" from the regulator on January 11, this year, latest update with the markets watchdog showed.

Sebi's observations are necessary for any company to launch public issues like initial public offer (IPO), follow-on public offer (FPO) and rights issue.

Going by the draft papers, the IPO comprised fresh issuance of equity shares worth up to Rs 225 crore, besides, an offer of sale of around Rs 48 crore.

In the offer for sale, promoters -- Pankaj Kumar Gandhi and Alka Pankaj Gandhi -- will sell shares of Rs 24 crore each.

Proceeds raised through fresh issue will be used to purchase passenger transportation vehicles, investment in its subsidiary firm, Chartered Bus Pvt Ltd and other general corporate purposes.

Chartered speed Ltd is engaged in the business of providing passenger mobility solutions across various modes of surface transport in India.

Equirus Capital Private Ltd will manage the issue and the equity shares will be listed on the BSE and NSE.

Earlier this month, the markets regulator had given its go ahead to Narmada Biochem to float its IPO.