Rashi Peripherals files preliminary papers to raise Rs 750 crore via IPO

Rashi Peripherals, Mumbai-based IT solutions provider has filed draft red herring prospectus (DRHP) with capital markets regulator SEBI to raise Rs 750 crore through an initial public offering (IPO). There is no offer for sale component as the IPO is entirely a fresh issue of equity shares.

As per DRHP, the company will use net proceeds from the fresh issue to repay/ pre-pay debt, meeting working capital requirements and other general corporate purposes.

The company is also considering to raise around Rs 150 crore through private placement of equity shares. If it do so, the fresh issue size will be reduced accordingly.

As of September 2022, Rashi Peripherals has debt of more than Rs 1000 crore. Its revenue from operations grew 57.19% from Rs 5,925.05 crore in fiscal 2021 to Rs 9,313.44 crore in fiscal 2022. However, profit after tax grew 33.85% to Rs 182.51 crore for fiscal 2022 against Rs 136.35 crore for fiscal 2021.

Rashi Peripherals was incorporated in the year 1989 is operating two verticals through 50 branches and 62 warehouses, covering 730 locations in India, as of September 2022.