Bharat Road to launch ₹600cr IPO on Sept 6
MUMBAI: Bharat Road Network Ltd (BRNL), a road and highways company, on Wednesday said that it will launch its initial public offering on September 6.
The IPO will see SREI Infrastructure Finance Ltd-promoted BRNL sell up to 29.3 million shares in a fresh issue of shares. The company has priced its shares in a band of ₹195-205 for the share sale. The IPO will see the company dilute 34.9% stake.
At the upper end of the price band, BRNL will end up raising around ₹600 crore through its public offering. The share sale will end on September 8.
“The company proposes to utilise the net proceeds of the issue for (i) advancing of subordinate debt in the form of interest-free unsecured loan to its subsidiary (Solapur Tollways Pvt. Ltd) for part financing of the project; (ii) acquisition of the subordinated debt given by SREI to three special purpose vehicles, i.e. Solapur Tollways Pvt Ltd, Kurukshetra Expressway Pvt Ltd and Mahakaleshwar Tollways Pvt Ltd; and (iii) general corporate purposes,” the company said in a statement.
Inga Capital Pvt. Ltd, Investec Capital Services (India) Pvt Ltd and Srei Capital Markets Ltd are managing the share sale.
Incorporated in 2006, BRNL is involved in the development, operation and maintenance of national and state highways in the states of Uttar Pradesh, Kerala, Haryana, Madhya Pradesh, Maharashtra and Odisha. BRNL has a portfolio of six build, own and transfer (BOT) road projects of which five are operational and one is under construction.