There is important news for stock market investors. Edelweiss Financial Services Limited (EFSL) has opened its IPO of Rs 200 crore and investors have till Monday to invest. The IPO, which opened on July 8, will close on July 22, 2024.
… golden opportunity to invest in 'this' company's big IPO; Plan to raise so many crores!
If you are thinking of investing in stock market then this news is for you. Edelweiss Financial Services Limited (EFSL) is going to launch its Rs 200 crore IPO in the market soon. So now this is going to be a big opportunity for investors. EFSL Company has announced a Public Issue (IPO) of Secured Redeemable Non-Convertible Debentures (“NCDs”) of face value of Rs 1,000 each.
200 crore plan to raise
The face value of these debentures announced by EFSL Company is Rs.1000, and the company plans to raise Rs.100 crore (the original issue collection amount) from its sale, and the option of raising an additional Rs.100 crore has also been kept open. In this manner, the company plans to raise up to 200 crores collectively from this IPO.
Until when is the IPO open?
This IPO consists of 12 series of NCDs with fixed coupon rates. They are available with tenors of 24 months, 36 months, 60 months and 120 months with annual, monthly and cumulative interest options. The effective annual interest yield of NCDs ranges from 9.50 percent to 11.00 percent per annum. It opened on July 8, 2024 and will be closed on July 22, 2024.
Where will the IPO funds be used?
At least 75 percent of the funds raised through this IPO will be used for repayment of interest/premature repayment and principal of existing debt of the company. The remaining amount will be used for the general operations of the company. It shall not exceed 25 per cent subject to such use. For this, the Securities and Exchange Board of India (Regulation of Issue and Non-Convertible Securities) Regulations, 2021 as amended from time to time (“SEBI NCS Regulations”) will be strictly followed for the utilization of proceeds raised from the IPO.
