Decorative paint manufacturer Indigo Paints is all set to open its initial public offering (IPO) for subscription next week on Wednesday, January 20, and close the same week on January 22. This will be one of the few IPOs to take place this year. The Securities and Exchange Board of India (SEBI) has recently permitted the Sequoia Capital-backed company's plan to raise Rs 1,000 crore by way of public issue through capital markets.
Indigo Paints will raise Rs 300 crore through fresh issuance. Along with the fresh issue, Sequoia Capital India Investments IV and promoter shareholder Hemant Jalan will sell equity shares which will go up to 58,40,000. The overall share capital currently held by the promoter group accounts for 94.26%.
The Indigo Paints face value is Rs 10. The company plans to utilize the fresh issue proceeds for expansion of their existing manufacturing unit at Pudukkottai, Tamil Nadu. A part of it will also be utilized for buying gyroshakers, tinting machines and repaying the firm's borrowings.
The price band per share has been fixed around Rs 1,480 and Rs 1,500, with lot size set at 10 shares.
If you are looking to buy Indigo Paints IPO, you can directly apply through Zerodha by submitting an online application and use UPI as the payment gateway. Here are the simple steps you need to follow:
Step 1: Go to the Zerodha website by clicking on this link.
Step 2: Enter your User ID and Password to log in to Console (If you don't already have an account, you can click on the sign-up button below and follow the steps).
Step 3: Select the 'Portfolio' option and click on the IPOs link.
Step 4: Navigate to 'Indigo Paints IPO' and select the 'Bid' option.
Step 5: Here, you will be asked to provide your UPI ID, and enter the Quantity and Price.
Step 6: Click on the ‘Submit’ button to submit the IPO application form.
Step 7: From here, you need to visit the UPI app for approval of the mandate.
Users can also go to the Zerodha IPO Application Process Review page to learn more about the process.
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