Godrej Agrovet Files Draft Prospectus With Market Regulator For IPO
Farm products and animal-feed maker Godrej Agrovet Ltd. filed the draft prospectus for its initial public offering with the market regulator.
The IPO will comprise a fresh issue and an offer for sale by parent Godrej Industries Ltd. and V Sciences Pte Ltd., a subsidiary of Singapore government’s investment fund Temasek Holdings. Godrej Industries will sell stake worth Rs 300 crore and Temasek will offload up to 1.23 crore equity shares through the offer, according to the draft prospectus. The agri-business company will also issue fresh shares worth Rs 300 crore.
Kotak Investment Banking, Axis Capital Ltd. and Credit Suisse Securities (India) Pvt Ltd. will be the lead book running managers for the offer.
Godrej Agrovet, 63.67 percent owned by billionaire Adi Godrej-led parent company, operates businesses like agri-inputs, animal feeds, palm oil manufacturing, dairy and poultry. Temasek holds 19.99 percent.
The proceeds from the IPO will be used to repay its working capital facilities of Rs 100 crore and to also repay commercial papers worth Rs 150 crore. The rest be used for general corporate purposes.
(Updates an earlier version to correct the number of shares Temasek arm is selling in the second para)