New Delhi: Two firms - ACB (India) Ltd and Shree Pushkar Chemicals & Fertilizers Ltd - have received market regulator Sebi's approval to raise funds through initial public offers (IPOs).
These companies had filed their draft red herring prospectus (DRHP) with the capital market regulator in September 2014 for the proposed public offers.
Sebi had issued its final 'observations' on the draft offer documents of Shree Pushkar Chemicals and Fertilizers and ACB (India) on February 2 and February 6 respectively, according to the latest update by the market watchdog.
Issuance of 'observations' on offer documents by Sebi is considered as a clearance to the issuer to go ahead with the share issues through routes like IPOs, FPOs and rights issue.
Going by the details in the DRHP, Shree Pushkar Chemicals and Fertilisers plans to raise Rs 75 crore by issuing fresh shares as well as an offer for sale of 20,26,589 shares.
Coal washing company ACB (India) would sell shares held by Pineridge Investment, Ashok Mrig and Ganesh Chandra Mrig the selling shareholders, as it proposes to offload 3.09 crore shares.
With regard to Shree Pushkar Chemicals and Fertilisers IPO, the proceeds from the fresh issue are to be utilised for expansion plans, general corporate purposes and to meet the preliminary and pre-operative and issue expenses. Besides, the funds from the offer for sale would be received by the selling
shareholders.
ACB (India) said it "will not receive any proceeds of the offer and all the proceeds of the offer will go to the selling shareholders."
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