Pace Digitek Raises Rs 245 Crore From Anchor Investors Prior To IPO Launch

Pace Digitek Ltd. has raised Rs 245.14 crore from anchor investors on Thursday, ahead of its initial public offering. The company allotted 1.12 crore shares at Rs 219 apiece to 16 anchor investors.

Compact Structure got the highest allocation of 15.09%. Bandhan Small Cap Fund got the second highest allotment of 12.24% and SBI General Insurance Co., Saint Capital Fund and Necta Bloom VCC- Necta Bloom got 10.20% stake each in the company.

Two domestic mutual funds have applied through three schemes, the telecom infrastructure solution provider said in an exchange filing on Thursday. They have collectively netted 16.32% of the anchor portion. Bandhan Bank and Taurus were the fund houses in this category.

The book-running lead manager for the issue is Unistone Capital Pvt. and MUFG Intime India Pvt. will serve as the registrar for the IPO.

The company will launch its initial public offering on Friday to raise up to Rs 819.15 crore. The company has set a price band of Rs 208-219 per share for its three-day IPO. Pace Digitek aims to raise up to Rs 819.15 crore via a fresh issue. The minimum application lot size is 68 shares.

The offer, which concludes on Monday, is set to list on the BSE and the National Stock Exchange.

The proceeds from the fresh issue to the extent of Rs 630 crore will be used for funding capital expenditure requirements and general corporate purposes, it said.

Pace Digitek is a multi-disciplinary solutions provider specialising in the telecom passive infrastructure industry, including telecom tower infrastructure and optical fiber cables. The firm's business is broadly classified into verticals like telecom, energy, communications and technology sector.

The company also undertakes manufacturing, installation and commissioning services of products at the site. It also undertakes operation and maintenance of site including tower erection and optical fiber cable laying as turnkey solution.

The company has established operational presence in Maharashtra, Gujarat, Karnataka, Andhra Pradesh, Jammu and Kashmir, Uttarakhand, Assam, Manipur, Arunachal Pradesh, Mizoram, Nagaland, Sikkim among others along with operations in Myanmar and Africa.

With the acquisition of the business of GE Power Electronics India and rights over the ‘Lineage Power’ brand in fiscal 2014, the company commenced ‘end-to-end’ manufacturing of direct current systems which are tailored for telecom tower companies and operators.