India’s Tega Industries raises $26m from anchor investors
By Vinu Lal
07:54, 1 December 2021
Indian manufacturer of consumables for the mining sector, Tega Industries raised INR1.86bn ($26m) from 14 anchor investors a day before its initial share sale to the public, according to a regulatory update.
The company allocated 4.1 million shares at INR453 a share on Tuesday. Of the total allocation, 2.58 million shares totalling INR1.17bn, or 62.86% of the total anchor book size, were allocated to 8 mutual funds, according to the update.
Ashoka India Equity Investment Trust, Goldman Sachs, Kotak Funds–India Midcap Fund, Kuber India Fund, Elara India Opportunities Fund and BNP Paribas Arbitrage among other investors participated in the anchor round.
In addition, shares were allocated to domestic funds such as SBI Mutual Fund, ICICI Prudential Mutual Fund, Axis Mutual Fund, HDFC Mutual Fund, Mirae Assets Tax Saver Fund, Aditya Birla Sun Life Trustee, Kotal Mutual Fund and Tata Mutual Fund among others.
Entire offer for sale
In November, Tega Industries fixed a price band of INR443–INR453 per share for its initial public offering (IPO), the company said in another stock exchange update.
The company intends to raise INR6.19bn at the upper end of the price band through the IPO, which opened for subscription today. The IPO is entirely an offer for sale (OFS) of up to 13.67 million shares by investors in the company.
Wagner (WGN), an affiliate of US-based private equity firm TA Associates, would offload up to 9.69 million shares through the OFS. A number of individual investors would also be tendering their stakes, according to the red herring prospectus (RHP, or final papers) filed with the domestic regulator.
Tega Industries is a manufacturer and distributor of specialised critical material consumable products for the global mineral beneficiation, mining- and bulk solids handling industry.
As of 30 June 2021, Tega Industries is the second-largest producer of polymer-based mill liners globally on the basis of its revenues, as stated in a quote from an F&S report in the filing papers. Axis Capital and JM Financial are the managers of the issue.
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