August 07, 2023

India Shelter Finance files draft papers for Rs 1,800 crore IPO with SEBI

The Financial Express
India Shelter Finance, a company specializing in affordable housing finance, has initiated the process of going public by submitting preliminary documents to Sebi, the capital markets regulator. The proposed initial public offering (IPO) aims to raise a total of Rs 1,800 crore. The IPO structure includes a fresh issuance of equity shares valued at Rs 1,000 crore, along with a Rs 800 crore offer for sale (OFS) by existing investor shareholders. This information was outlined in the draft red herring prospectus (DRHP).
Qualified institutional buyers have 50% of the IPO portion reserved for them. NIIs are allocated a 15% portion, while retail investors can bid for 35% of the issue. Those offering shares in the OFS include Catalyst Trusteeship Ltd, Madison India Opportunities IV, MIO Starrock, Nexus Ventures III Ltd, and Nexus Opportunity Fund II. Proceeds of the fresh issue will be used to meet future capital requirements towards onward lending and for general corporate purposes.
ICICI Securities, Citigroup Global Markets India, Kotak Mahindra Capital Company, and Ambit have been appointed as the book-running lead managers to manage the IPO.
India Shelter Finance Corporation has over 183 branches spread across 15 states with a significant presence in the states of Rajasthan, Maharashtra, Madhya Pradesh, Karnataka, and Gujarat.