Flemingo Travel Retail gets Sebi's go ahead to float Rs 2,600-cr IPO

Flemingo Travel Retail, a leading duty-free and travel retail operator, has received capital markets regulator Sebi's go ahead to garner Rs 2,600 crore through an initial share-sale.

With this, the total number of companies getting clearance from the Sebi to float initial public offer (IPO) this year has reached 29 so far.

The company had filed its draft papers with the Securities and Exchange Board of India (Sebi) in February and received its "observations" on June 22, which are necessary for every firm to launch public issue, latest update with the markets watchdog showed.

Going by the draft prospectus, Flemingo will issue fresh shares worth Rs 2,423 crore besides an offer for sale of 11,29,500 scrips by one of its subsidiary Flemingo Duty Free Shop Mumbai Pvt Ltd.

According to merchant banking sources, the IPO size is estimated to be Rs 2,600 crore.

The money raised through the public issue will be utilised towards "acquisition of 100 per cent of the equity interest in Flemingo International (UK) Ltd from corporate promoter, Flemingo International."