Updater Services Raises Rs 288 Crore from Anchor Investors Ahead of IPO Launch

23 Sep 2023 , 09:14 PM

Updater Services, a company specializing in facility management services, successfully raised Rs 288 crore through its anchor book, targeting qualified institutional buyers (QIBs) on September 22, ahead of its IPO launch.

The company confirmed the allocation of 96 lakh equity shares to anchor investors at a price of Rs 300 per share, as disclosed in its filing to the stock exchanges. Notably, a total of 18 investors participated in the anchor book, including renowned names such as Societe Generale, Copthall Mauritius Investment, Citigroup Global, BNP Paribas Arbitrage – ODI, and Nomura Singapore. 

Domestic participants also joined in, with investments from ICICI Prudential Mutual Fund, Franklin India, Aditya Birla Sun Life Insurance, Bandhan Mutual Fund, Motilal Oswal, and 360 One Special Opportunities Fund through the anchor book.

Updater Services, headquartered in Mumbai, is set to launch its Rs 640-crore public issue for subscription on September 25, featuring a price range of Rs 280-300 per share. The IPO includes a fresh issuance of shares worth Rs 400 crore and an offer-for-sale (OFS) of 80 lakh shares valued at Rs 240 crore, involving three shareholders, including promoter Tangi Facility Solutions. Investors India Business Excellence Funds II & IIA will divest a total of 40 lakh shares in the OFS.

The IPO is scheduled to close on September 27, and the net proceeds from the fresh issue will be allocated to purposes including repaying debt amounting to Rs 133 crore, addressing working capital requirements of Rs 115 crore, and financing inorganic initiatives costing Rs 80 crore. The remaining funds raised through the fresh issue will be utilized for general corporate purposes.