TVS Supply Chain Solutions Limited recently announced that its Initial Public Offering (IPO) will open on 10th August 2023 with a price band of INR 187 to INR 197 per equity share. According to the official press release, bids can be made for a minimum of 76 equity shares and in multiples of 76 thereafter.
The company also announced that the anchor investor bidding date is a day earlier than the IPO opening date i.e. 9th August 2023. Offer closing date has been fixed at August 14, 2023. JM Financial, Axis Capital, J P Morgan India, BNP Paribas, Nuvama Wealth Management and Equirus Capital are the book-running lead managers to the IPO.
The IPO consists of two parts: a fresh issue of new shares worth up to INR 600 crore and an offer for sale of existing shares by some shareholders. The offer for sale includes shares from different individuals and companies. The company aims to get its shares listed on the stock exchanges BSE and NSE.
The IPO will be opened with a ‘Book Building Process’ where shares are allocated to different types of investors like Qualified Institutional Buyers (QIBs), Non-Institutional Investors, and Retail Individual Investors (RIIs).
The Offer is for sale of up to 14,213,198 equity shares, comprising up to 10,734,565 equity shares by Omega TC Holdings PTE. Ltd., up to 984,823 equity shares by Tata Capital Financial Services Limited, up to 100,000 equity shares by Kotak Special Situations Fund, up to 100,000 equity shares by TVS Motor Company Limited (collectively the ‘Investor Selling Shareholder’), and up to 2,293,810 equity shares by certain other selling shareholders as set out under Annexure A of the Red Herring Prospectus (‘Other Selling Shareholders’).
One-third of the Anchor Investor Portion shall be reserved for domestic Mutual Funds, subject to valid Bids being received from the domestic Mutual Funds at or above the Anchor Investor Allocation Price in accordance with the SEBI ICDR Regulations. In the event of under-subscription, or non-allocation in the Anchor Investor Portion, the balance equity shares shall be added to the QIB Portion (other than Anchor Investor Portion).
Further, 5% of the Net QIB Portion shall be available for allocation on a proportionate basis to Mutual Funds only, and the remainder of the Net QIB Portion shall be available for allocation on a proportionate basis to all QIBs, including Mutual Funds, subject to valid Bids being received at or above the Offer Price.
Further, (a) not more than 15% of the Offer shall be available for allocation to Non-Institutional Investors and (b) not more than 10% of the Offer shall be available for allocation to Retail Individual Investors in accordance with the SEBI ICDR Regulations, subject to valid bids being received from them at or above the Offer Price.
For more details, bidders can refer to the official IPO documents.
