CL Educate plans to list on stock markets

CL Educate, an educational products and services provider, is planning to enter the capital markets with an initial public offer of 40 lakh shares.
This is the tenth company this year to line up for an initial public offer (IPO).
CL Educate is planning to hit the capital markets with a public issue of up to 40 lakh equity shares of face value of Rs 10 each, the firm's Draft Red Herring Prospectus said.
The offer comprises a fresh issue to the public of little over 20.17 lakh shares, among others.
The Delhi-based company would utilise the proceeds for funding working capital requirements, pre-payment of a debt facility availed of by its subsidiary, Career Launcher Infrastructure.

Further the funds would be used for investment in Career Launcher Infrastructure through another group firm, Career Launcher Education Infrastructure and Services, "for capacity expansion and infrastructure development at certain Indus World Schools".

Besides, investments would be made in another subsidiary, GK Publications, as well as for meeting working capital requirements and general corporate purposes.
Kotak Mahindra Capital Company Ltd is the book running lead managers to the issue, while Karvy Computershare Private Ltd is the registrar to the offer.
CL Educate is a diversified provider of educational products, services, content and infrastructure in India, with a presence across the education value chain.

The company's consolidated revenue for the 2013-14 fiscal stood at Rs 218.68 crore.
According to the draft prospectus, the firm has received the "in-principle approvals" from stock exchanges -- NSE and BSE -- for the listing.
Prior to CL Educate, companies which filed for an IPO so far this year are -- Lavasa Corp, Adlabs Entertainment, GMR Energy, Rashtriya Ispat Nigam Ltd, Sharda Cropchem, Monte Carlo Fashions, Ortel Communications, Uniparts India and PNC Infratech.