New Delhi: Markets regulator Sebi has given approval to microfinance institution Equitas Holding and auto components maker GNA Axles to float initial public offerings.For latest news on Business & Budget 2017, like us on Facebook and follow us on Twitter.
Equitas Holding and GNA Axles had filed their draft red-herring prospectus (DRHP) with Sebi in October and September respectively seeking permission to launch IPOs.
They obtained clearance from capital markets regulator on January 8, as per the latest update.
Equitas Holding's IPO comprises fresh issue of shares worth Rs 600 crore and an equal amount by selling shares to existing shareholders, according to sources.
The shareholders that have proposed to sell shares include International Finance Corporation (IFC), Sequoia Capital, Aavishkaar and Helion Capital.
The Chennai-based company is planning to garner Rs 300 crore by selling shares to institutional investors ahead of the IPO.
This would become the second microfinance company to tap the primary markets after SKS Microfinance's maiden public offering in 2010 that raised Rs 1,654 crore.
Last month, another microfinance lender Ujjivan Financial Services had filed draft papers with Sebi to raise at least Rs 650 crore through an IPO.
The public issue of GNA Axles consists of up to 63 lakh shares with a face value of Rs 10 each. It has reserved 2 lakh shares for its employees.
Equitas Holding and GNA Axles are proposed to be listed on both NSE and BSE.