Optiemus Infracom is planning to raise around Rs 4 billion to expand its manufacturing business and enhance its brand image ahead of a planned foray into making and selling screen protectors and mobile phone cover glass.
The company is planning to raise the funds through preferential allotment of 7.5 million convertible warrants, convertible in one or more tranches into equity shares of Rs 10 each, within 18 months into equity shares.
The funds raised will be allocated to expand the company’s manufacturing operations and support marketing initiatives. Optiemus Infracom plans to enhance its manufacturing capabilities to produce laptops and notebooks under the IT hardware production-linked incentive (PLI) scheme.
Further, the funds will be directed towards two of its subsidiaries, with Rs 800 billion going to Optiemus Electronics and Rs 600 billion to GDN Enterprises. These transactions will be executed at arm’s length as part of related party transactions, and the all-cash deal is expected to be completed within 60 days. Both subsidiaries are involved in manufacturing mobile phones, tablets, laptops, wearables, and telecom equipment.
Furthermore, the company has announced its plans to manufacture, sell, and export screen protectors under the brand name Rhinotech, following the acquisition of a license from Corning. Through this joint venture with Corning, Optiemus aims to produce screen protectors and cover glasses for smartphones, enhancing its backward integration and entry into the mobile phone supply chain.
