Ashok Soota’s Happiest Minds Gets SEBI Nod To Launch IPO
Happiest Minds proposes to utilise the proceeds to meet long-term working capital requirements and for general corporate purposes.
IT services firm Happiest Minds Technologies Ltd. has received the market regulator’s approval to float an initial public offering.
The company, which filed a draft red herring prospectus with Securities and Exchange Board of India in June, obtained its observations on Aug. 21. SEBI’s observations are necessary for any company to launch public issues such as initial public offerings, follow-on public offers and rights issues.
The IPO comprises fresh issuance of shares worth Rs 110 crore and an offer for sale of up to 3.56 crore equity shares, according to the DRHP. Executive Chairman Ashok Soota and investors CMDB-ll will offer shares through the offer-for-sale route.
Soota was the founding chairman and managing director of Mindtree Ltd. and It was during his tenure that the Bengaluru-based IT company listed on the bourses. Before Mindtree, he was a vice chairman at Wipro Ltd.
According to the DRHP, Happiest Minds proposes to utilise the IPO proceeds to meet long-term working capital requirement and for general corporate purposes. The firm will not receive any proceeds from the offer for sale. The selling shareholders will be entitled to their respective portion of the proceeds.
ICICI Securities and Nomura are the book-running managers for the Happiest Minds IPO. The shares are proposed to be listed on the BSE and the NSE.