LEAP India, the Mumbai-based supply chain management and asset-pooling solutions provider, has raised Rs 743.62 crore from anchor investors ahead of the opening of its Rs 2,480-crore initial public offering (IPO) on August 7.
The IPO comprises a fresh issue of shares worth Rs 480 crore and an offer-for-sale (OFS) of shares worth Rs 2,000 crore by promoters Vertical Holdings II, backed by KKR, and KIA EBT Scheme 3. The issue will close on August 11 and has a price band of Rs 151-159 per share.
The company allotted 4.67 crore equity shares to 32 anchor investors at the upper end of the price band.
The anchor book attracted several marquee global investors, including Smallcap World Fund, the Monetary Authority of Singapore, Morgan Stanley, Norway’s Government Pension Fund Global, Cassini Partners, Amundi, Citigroup, Societe Generale and Goldman Sachs.
“Out of the total allocation to the anchor investors, 1.87 crore equity shares were allocated to 6 domestic mutual funds – Axis Mutual Fund, Motilal Oswal AMC, Bank of India MF, JM Financial MF, ITI Mutual Fund, and Groww Mutual Fund – which have applied through a total of 15 schemes, and 1 life insurance company (Aditya Birla Sun Life Insurance,” LEAP India in its filing said.
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Ahead of the IPO, KKR-backed Vertical Holdings II had already sold 2.33 crore shares, representing a 5.67 percent stake in LEAP India, for Rs 371 crore through private share purchase agreements. The transaction was separate from the proposed OFS in the IPO, under which Vertical Holdings II plans to sell 12.57 crore shares worth Rs 1,998.6 crore at the upper end of the price band.
Following the stake sale, Vertical Holdings II’s holding in LEAP India declined to 68.06 percent from 73.73 percent disclosed in the red herring prospectus.
Gamnat Pte, the investment vehicle of Singapore’s sovereign wealth fund GIC, emerged as the largest buyer in the pre-IPO stake sale, acquiring 1.76 crore shares worth Rs 280 crore, equivalent to a 4.27 percent pre-issue stake. Other investors included Dymon Asia Multi-Strategy Investment (Singapore), Matyas Possessiones, Insightful Flexicap Fund, Seven Edition Advisory, Gaurav Jaithlia, Krishan Kant Rathi, Pratibha Gupta, Sachin Mahajan and Rowena Ruvet Dsouza.
LEAP India provides technology-enabled supply chain and asset-pooling solutions across sectors including FMCG, food and beverages, third-party logistics, e-commerce, quick commerce, automotive and industrials.
The company plans to use Rs 360 crore from the fresh issue proceeds to reduce debt, with the balance earmarked for general corporate purposes. The OFS proceeds will accrue to the selling shareholders.
JM Financial, Avendus Capital, IIFL Capital Services and UBS Securities India are the book-running lead managers to the IPO.
