Consumer durables retailer Sathya Agencies gets Sebi nod for ₹600-cr IPO

The South India-based consumer durables retailer plans to raise ₹600 crore through a fresh issue and an offer for sale to fund an acquisition, repay debt and meet corporate needs

Sathya Agencies, South India’s largest consumer durables and electronics-focused retail player, has received the Securities and Exchange Board of India’s (Sebi’s) approval to launch its ₹600 crore initial public offering (IPO). 

The offer includes a fresh issue of up to ₹300 crore and an offer for sale of up to ₹300 crore by the promoter-selling shareholders Johnson Asaria, J John Sathya, and Charles Packiaraj. 

The company proposes to utilise the net proceeds from the fresh issue towards payment of partial purchase consideration for the acquisition of its wholly owned subsidiary, Unilet Appliances, of ₹35 crore; repayment or prepayment, in full or in part, of certain outstanding borrowings availed by the company (₹175 crore); and the rest to be utilised for general corporate purposes. The company has commercial relationships with established electronics and appliance brands such as LG, Blue Star, Daikin, Whirlpool, Haier, Sony, Havells, Panasonic, and O General and, as of January 31, works with over 150 domestic and global original equipment manufacturers and authorised distributors. 

 

Kanohar electricals, Torrent Gas also get regulator nod 

Transformer manufacturer Kanohar Electricals and Torrent Gas also secured Sebi’s approval to raise funds through IPOs, an update with the regulator showed on Thursday. Kanohar Electricals filed preliminary IPO papers with Sebi in January, while Torrent Gas confidentially submitted draft papers with the regulator in March. After reviewing the draft papers submitted by these firms, the regulator gave its 'observations' during June 22-25, which, in Sebi's parlance, is equivalent to a go-ahead to float the public issue.