ITI Limited has said that it will launch its follow-on public offer (FPO) on January 24, 2020 and the issue will close on January 28, 2020. The company’s FPO is expected to generate Rs 16 billion. The price band for the FPO will be announced on January 22, 2020.
The FPO comprises fresh issue of up to 180 million equity shares. Meanwhile, an additional issue constituting up to 1.8 million shares will be reserved for employees.
Proceeds from the FPO will be used to meet working capital requirements, repayment of loan taken by the company and for general corporate purpose. Further, the FPO will help ITI Limited meet Securities and Exchange Board of India’s (SEBI) requirement of minimum 25 per cent public shareholding.
The public issue is being managed by BOB Capital Markets Limited, Karvy Investor Services Limited and PNB Investment Services.