On Wednesday, Rossari Biotech Limited filed its draft papers with capital markets regulator SEBI (Securities and Exchange Board of India) to float a Rs 700 crore initial public offering (IPO). Rossario Biotech is a speciality chemical maker with a focus on home and personal care products.
The IPO will include fresh issuance of shares worth Rs 150 crore and sale of 1.05 crore equity shares by the company's promoters through the offer-for-sale (OFS) route, as per the company's draft prospectus filed with the SEBI.
New agency PTI's market sources have valued the IPO at Rs 700 crore.
The Mumbai-based company may consider a private pre-IPO placement of equity shares aggregating up to Rs 100 crore. If undertaken, the aggregated amount will be reduced from the fresh issue.
The company plans to utilise the net proceeds towards repayment or prepayment of certain indebtedness availed by Rossari Biotech, to fund working capital requirements and for general corporate purposes.