SAR Televenture to garner Rs 450 cr via rights issue, FPO
The company proposes to utilise the proceeds to the tune of Rs 273 crore to set up fibre-to-the-home (FTTH) network solutions, Rs 42.5 crore for setting up an additional 1,000 4G/5G telecom towers, Rs 30 crore for incremental working capital requirements and the balance amount for general corporate purposes in FY 2025.
Telecommunication infrastructure provider is looking to raise Rs 450 crore through rights issue and follow-on public offer (). This comprises a rights issue of shares worth up to Rs 300 crore and a follow-on public offering (FPO) of up to Rs 150 crore, according to the draft papers.The company proposes to utilise the proceeds to the tune of Rs 273 crore to set up fibre-to-the-home (FTTH) network solutions, Rs 42.5 crore for setting up an additional 1,000 4G/5G telecom towers, Rs 30 crore for incremental requirements and the balance amount for general corporate purposes in FY 2025.
The rights issue consists of 1.50 crore equity shares of Rs 2 each at an issue price of Rs 200 per rights share. The issue opens on July 15 and will close on July 22.
"Existing shareholders will get one rights share for one equity share held as on July 9, 2024," the company announced.
Meanwhile, the price band of the FPO has been fixed at Rs 200-Rs 210 per equity share, and the issue will be open for subscription on July 22-24.
The company is a telecommunication infrastructure provider engaged primarily in the business of installing and commissioning telecom towers and FTTH in India.
As of May 31, 2024, the company has installed an aggregate of 413 towers on lease across West Bengal, Bihar, Uttar Pradesh, Chandigarh, Odisha, Jharkhand, Himachal Pradesh, Punjab, and Andaman & Nicobar Islands.
Pantomath Capital Advisors Private Limited is the sole book-running lead manager of the issue.
Source: Stocks-Markets-Economic Times
