Warburg, TA Associates, Elevation Capital-backed firms get SEBI nod for IPOs

 Warburg, TA Associates, Elevation Capital-backed firms get SEBI nod for IPOs

Indian pharmacy chain MedPlus Health Services Ltd, Tracxn Technologies Ltd and four other companies have received regulatory approval to float their initial public offerings.

The Securities and Exchange Board of India (SEBI) issued final observations last week to as many as six companies including that of travel technology company RateGain Travel technologies Ltd, Fusion Micro Finance Ltd, Prudent Corporate Advisory Services Ltd, and Puranik Builders Ltd.

TA Associates-backed RateGain and Warburg Pincus-backed Fusion Microfinance received SEBI’s green flag on November 16, whereas MedPlus and Tracxn Technologies received regulatory clearance a day later.

Prudent and Puranik Builders received SEBI nod on November 18, as per the regulator’s website.

The capital markets regulator has cleared more than five dozen IPOs so far this year as companies rush to benefit from the rise in India’s stock markets flushed with liquidity.

Of these, more than four dozen companies have gone public and mobilised Rs 1.01 trillion in a record year for IPOs, surpassing the fundraising activity in 2017 when three dozen firms cumulatively raised Rs 67,000 crore.

MedPlus

The Rs 1,639 crore IPO comprises an issue of fresh shares worth Rs 600 crore and a secondary sale of shares by PE backers including Warburg Pincus and PremjiInvest.

A successful IPO will mean MedPlus will become the first omni-channel pharmacy chain to list on the stock exchanges.

MedPlus operates over 1,800 stores. It also operates online store MedPlusMart, lab testing centres MedPlus Pathlabs and surgical equipment distribution business RiteCure.

Axis Capital, Credit Suisse Securities (India), Nomura Financial Advisory and Securities (India) and Edelweiss Financial Services are arranging the IPO.

Tracxn

Bengaluru-based private market intelligence platform Tracxn’s IPO proposal comprises a complete offer for sale by its backers. Flipkart founders Binny Bansal and Sachin Bansal will exit their investment by selling their entire stake while Elevation Capital will make a partial exit.

Founded in 2015, Tracxn offers a B2B information platform that identifies, tracks and analyses private market companies and startups on deal sourcing and deal diligence.

The company tracks over 1.4 million private companies and works with 855 subscription customers across 50 countries. Its customers include venture capital and private equity funds, and large corporates.

IIFL Securities Ltd is the sole book-running lead manager to the issue.

RateGain

The company’s IPO comprises a fresh issue of shares worth Rs 400 crore and a secondary market sale of 22.6 million shares by TA Associates and company founders.

RateGain is among the leading distribution technology companies globally and the largest software as a service (SaaS) company in the hospitality and travel industry in India.

Proceeds from the fresh issue will be used for payment of debt availed by RateGain UK — one of the subsidiaries — from Silicon Valley Bank; payment of deferred consideration for the acquisition of DHISCO and strategic investments, acquisitions and inorganic growth.

Kotak Mahindra Capital Company, IIFL Securities and Nomura Financial Advisory and Securities (India) are merchant bankers managing the share sale.

Ankit Doshi

The Capital Quest