India: Prataap Snacks to launch $75m IPO on September 22

Visual from Yellow Diamond website

Prataap Snacks Ltd, which sells potato crisps and a variety of savouries under the brand name Yellow Diamond, on Friday said it will launch its initial public offering (IPO) on 22 September.

At the upper end of its price band of Rs930-938, the share sale will raise around Rs482 crore. The IPO will close on 26 September.

The IPO will see a fresh issue of Rs200 crore. The proceeds from the fresh issue will be used by the company for repaying borrowings, funding capital expenditure requirements for setting up new production lines, modernization of existing manufacturing facilities, and investment in subsidiary Pure N Sure, and marketing and brand-building activities.

The promoters and investors will collectively sell around 3 million shares in the share sale. Sequoia Capital plans to sell around 1.78 million shares, which at the upper end of the price band will fetch the venture capital firm about Rs167 crore.

Sequoia Capital currently holds 63.15% of Prataap Snacks. It has pumped a total of Rs265 crore into Prataap Snacks since it first invested in the company in 2011. In June 2016, Aditya Parekh-led private equity firm Faering Capital invested Rs45 crore in the company.

Prataap Snacks has appointed Edelweiss Financial Services Ltd, JM Financial Institutional Securities Ltd and Spark Capital Advisors (India) Pvt. Ltd to manage its public offering.

Established in 2009, Prataap Snacks is based in Indore. In the fiscal 2016-17, the company reported a revenue of Rs903.91 crore, up 19.4% from a year ago. The company reported a profit of Rs9.8 crore in 2016-17, as against a profit of Rs27.3 crore in the previous year.

Earlier this month, Mint reported Prataap Snacks has raised Rs50 crore in a pre-IPO round from public markets investor Malabar Investments, which picked up a 2.5% stake in the company.

Also Read:

India: Sequoia-backed Prataap Snacks raises $7.8m in pre-IPO round

India: Sequoia-backed Prataap Snacks eyes IPO, targets to raise up to $75m

This article was first published on LiveMint.com

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Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
  • A journalist to track special situations funds, distressed debt and private credit (from the PE angle) across Asia.