Super Religare Labs Withdraws IPO; To Refile With New Shareholding

Date:23/5/11,
IPO,

         

Avigo Capital and Sabre Capital-backed diagnostics firm Super Religare Laboratories (SRL) withdrawn its documents filed with market regulator SEBI for its proposed maiden public issue that will delay the initial public offer (IPO).

Nomura Financial Advisory & Securities (India) Pvt Ltd, the lead manager to the issue, that had filed the draft prospectus in mid February, has pulled out the prospectus on May 9. Kotak Mahindra Capital and Religare Capital Markets are the other two book running lead managers for the issue.

This follows a string of large equity transactions related to SRL including the strategic move by the promoters where the billionaire brothers Malvinder and Shivinder Singh sold their personal stake in the privately owned firm to public listed group firm Fortis Healthcare (India) Ltd besides two private equity deals.

According to a report in Business Standard, Sebi asked the firm to refile the documents with new shareholding structure and the company plans to reapply within the next 4-6 weeks. Sanjeev Chaudhry, chief executive officer at SRL, said in the report that the firm will also update its results for the financial year ended March 31 in the revised application.

SRL filed for an IPO on February 17, 2011, in which it proposed to issue upto 28 million equity shares of face value Rs 10 each (including a private placement of up to 8 million equity shares through a pre-IPO placement) through a book building process.

In April, it raised Rs 100 crore by selling 9.27 per cent to Avigo Capital Partners, an SME focused private equity fund. It followed it with a fresh fund raising of Rs 50 crore from Sabre Capital early this month. Two weeks ago the company also completed a previously announced deal where the promoters sold their stake to a group firm.