Spice Comm files IPO papers

Spice Communications, a cellular operator in Punjab and Karnataka, has filed a draft red herring prospectus (DRHP) for its proposed initial public offering (IPO) of 13.79 crore equity shares. The company is proposing the maiden float through a hundred per cent book building route.

The company's promoters - Modi Wellvest (MWPL) and Telekom Malaysia Berhad (TM) "� intend to dilute 20 per cent of their holding through the IPO. At present, MWPL holds 51 per cent stake in the

company, Spice Communications said in a release here today.

TM holds the remaining 49 per cent stake in the GSM operator through TMI India, which is a wholly owned subsidiary of international investment holding company TM International Sdn Bhd (TMI).

Post-IPO, MWPL and TM's shareholdings will reduce to 40.8 per cent and 39.3 per cent, respectively. Spice Commmunications operates cellular services in Punjab and Karnataka under the Spice Telecom brand and has a combined market share of 14.26 per cent in these states.