Laxmi Dental Sets Price Band For Rs 698-Crore IPO

Laxmi Dental Ltd., set the IPO price band at Rs 407 to 428 per share. The Securities and Exchange Board of India had approved the initial public offering of the firm on Dec. 17. The IPO is set to open on Jan. 13 and close on Jan. 15 and the anchor investor bidding will take place on Jan. 10.

Laxmi Dental had applied for an IPO in September. It plans to raise up to Rs 698 crore via the IPO, which consists of a fresh issue of shares worth Rs 150 crore and an offer for sale of Rs 560 crore, according to the red herring prospectus.

Rajesh Vrajlal Khakhar and Sameer Kamlesh Merchant are the promoters of the company offloading shares in the OFS. OrbiMed Asia II Mauritius Ltd., Jigna Rajesh Khakhar, Hasmukh Vrajlal Khakhar, Amrish Mahendrabhai Desai, Parag Jamnadas Bhimjiyani and Kunal Kamlesh Merchant are the other selling shareholders.

Laxmi dental is set to use Rs 19.6 crore of the funds raised to repay or prepay outstanding borrowings. The purchase of new machinery will account for spending worth Rs 37.6 crore. It will invest Rs 13.4 crore for the repayment or prepayment of certain outstanding borrowings in its subsidiaries and Rs 35.1 crore for capital expenditure or purchase of new subsidiaries in the company.

The lead book-running managers of the IPO are SBI Capital Markets Ltd., Nuvama Wealth Management Ltd., and Motilal Oswal Investment Advisors Ltd.

Laxmi Dental is a vertically integrated business-to-business-to-company dental alignment company. It offers end-to-end integrated dental products and has over 20 years of brand presence. The company's offerings include custom-made crowns 248 and bridges. There are offerings of branded dental products such as clear aligners, thermoforming sheets and aligner related products. This is a part of their aligner solutions, and pediatric dental products. The company manufactures their dental products across their six manufacturing facilities spread across 146,804.42 square feet.