New Delhi : A subsidiary of engineering and construction major Larsen and Toubro Limited has announced the launch of its 1.75 crore equity shares initial public offer (IPO) for subscription on July 11.
The price band that the IPO will support has fixed at Rs. 705-710 per share and offered 10 percent discount to retail investors on issue price.
L&T Infotech aims to raise around Rs. 1,200 crore from this issue after considering its issue price. The issue, which will close on July 13, is an offer for sale by promoter Larsen and Toubro that holds 94.96 percent stake in the IT company.
The objects of the offer are to achieve benefits of listing equity shares on the Stock Exchanges and to carry out the sale of up to 1,75,00,000 equity shares by the selling shareholder.
The listing of the equity shares will enhance our brand name and provide liquidity to the existing shareholders,” the Mumbai-based IT services and solutions company said in its prospectus.
The company had recorded a consolidated profit of Rs. 769.16 crore in FY15, a 17 percent de-growth compared with year-ago period.
On the other hand, equity shares are proposed to be listed on the BSE and the NSE.
The book running lead managers to the issue are Citigroup Global Markets India Private Limited, Kotak Mahindra Capital Company and ICICI Securities, whereas the registrar is Link Intime India.