Cyient DLM Rs 740 Crore IPO To Open On June 27; Price Band To Be Announced Soon

Cyient DLM, the subsidiary of IT Service firm Cyient Limited, will launch the initial public offering on June 27, the company announced through an exchange filing.

The Draft Red Herring Prospectus was approved by the Registrar of Companies in Telangana on June 20.

The IPO will close on June 30 and the price band will be announced at least two days prior to the issue opening date and will be decided in consultation with the book running lead managers. Axis Capital and JM Financial will be the lead book running managers of the issue.

Division of shares

The IPO will be a fresh issue of shares worth Rs 740 crore. But as there is no offer for sale portion the entire proceeds can be used by the company. The company has reserved close to 75 per cent of the net offer for the qualified institutional bidders, 15 per cent would be for the non-institutional bidders and the remaining 10 per cent is for the retail investors.

Where will the proceedings be used?

The company plans to use the proceeds for incremental working capital requirements, debt repayment, capital expenditure, general corporate purposes and inorganic growth through acquisitions.

Cyient shares

The shares of Cyient on Wednesday morning at 10:17 am IST were trading at Rs 1,498.85, up by 0.15 per cent.

Published on: Wednesday, June 21, 2023, 10:23 AM IST