Home >Market >Stock-market-news >Flemingo Travel Retail gets Sebi’s go ahead to float 2,600 crore IPO

New Delhi: Flemingo Travel Retail, a leading duty-free and travel retail operator, has received capital markets regulator Sebi’s go ahead to garner 2,600 crore through an initial share-sale.

With this, the total number of companies getting clearance from the Sebi to float initial public offer (IPO) this year has reached 29 so far. The company had filed its draft papers with the Securities and Exchange Board of India (Sebi) in February and received its “observations" on 22 June, which are necessary for every firm to launch public issue, latest update with the markets watchdog showed.

Going by the draft prospectus, Flemingo will issue fresh shares worth 2,423 crore besides an offer for sale of 11,29,500 scrips by one of its subsidiary Flemingo Duty Free Shop Mumbai Pvt Ltd. According to merchant banking people in the know, the IPO size is estimated to be 2,600 crore.

The money raised through the public issue will be utilised towards “acquisition of 100 per cent of the equity interest in Flemingo International (UK) Ltd from corporate promoter, Flemingo International."

Further, funds will be used to buy all shares of Flemingo Dutyfree Shop Private Ltd from Flemingo International, certain individual members of promoter Group—Viren Ahuja, Arjun Ahuja and Karan Ahuja, and Symbolic Infra Projects. ICICI Securities, Yes Securities, Axis Capital, Credit Suisse Securities and HSBC Securities and Capital Markets will manage the company’s public issue.

Flemingo is a global travel retailer with a leading position in Indian and Sri Lanka travel retail markets, where it operates core duty-free stores and the aggregate retail area of core duty-free stores.

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