Matrix Cellular approaches Sebi with IPO proposal

International SIM card provider Matrix Cellular has filed draft papers with capital markets regulator Sebi to float an initial public offer (IPO).
The company provides country specific SIM card, offers voice, data and SMS services under the brand name 'Matrix' to travellers outbound from India.
The IPO comprises an offer for sale of 15,172,540 equity shares from its promoters and existing shareholders, Matrix Cellular (International) Services said in its Draft Red Herring Prospectus (DRHP).
The promoters--Gagan Deep Singh Dugal, Manjit Singh Dugal and Urvashi Kaur--have proposed to offer 25.64 lakh shares, while Aleta and AAJV Investment Trust plan to offer 1.26 crore shares.

The offer is being managed by IIFL Holdings and Religare Capital Markets.
The company plans to come out with the IPO in order to "achieve the benefits of listing the equity shares on the stock exchanges."

According to an estimate, Indian outbound international roaming market, which has a total size of Rs 1,185 crore at the end of fiscal 2014, is likely to grow at a CAGR (compound annual growth rate) of 14 per cent to reach Rs 2,595 crore by fiscal 2020.
Market experts believe that Indian primary market is witnessing renewed interest from companies and existing investors.
Since the beginning of the year, Sebi has given approval to 20 companies to launch IPOs, while seven companies have already tapped the route to raise funds.

These seven firms are UFO Moviez India, MEP Infrastructure Developers, Inox Wind, Adlabs Entertainment, Ortel Communications, PNC Infratech and VRL Logistics.