Balaji Solutions, Enviro Infra Engineers get Sebi nod to float IPO

IT hardware and mobile accessories firm Balaji Solutions and Enviro Infra Engineers, which provides solutions for wastewater treatment, have received capital markets regulator Sebi's go-ahead to raise funds through initial public offerings (IPOs). The two companies, which filed their preliminary IPO papers with Sebi during August and September 2022, obtained the observation letters on January 23, an update with the Securities and Exchange Board of India (Sebi) showed on Tuesday.

In Sebi's parlance, receiving an observation letter from the regulator implies it's go-ahead to float the initial share sale.

According to the draft red herring prospectus (DRHP), Balaji Solutions' public issue consists of a fresh issue of equity shares worth up to Rs 120 crore and an offer-for-sale (OFS) of up to 75 lakh equity shares by a promoter and a promoter-group entity.

Under the OFS, Rajendra Seksaria, and Rajendra Seksaria HUF will offload shares.

The company may consider a pre-IPO placement aggregating up to Rs 24 crore. If such placement is completed, the fresh issue size will be reduced.

Proceeds from its fresh issuance worth Rs 86.60 crore will be utilized for funding incremental working capital requirements of the company, and general corporate purposes.

Balaji Solutions is an IT hardware & peripherals and mobile accessories company engaged in the business of manufacturing and branding products under its flagship brand "Foxin".

The IPO of Enviro Infra Engineers consists of the sale of 95 lakh equity shares with no OFS component, the draft papers showed.

Funds raised through the issue will be used to meet the working capital requirements and general corporate purposes.

Enviro Infra Engineers is engaged in designing, constructing, operation and maintenance of water and wastewater treatment plants and water supply scheme projects for government authorities.

SEE ALSO:
Inflation in India expected to come down to 5 pc in 2023 and 4 pc in 2024: IMF
Indian economy retains its crown as a bright spot: IMF report