New Delhi: Cash management company CMS Info Systems has received Sebi’s approval to raise about Rs1,000-1,200 crore through an initial public offering (IPO).

CMS Info Systems had filed draft IPO papers with the Securities and Exchange Board of India (Sebi) in September and obtained its “observations" on 30 November, which is necessary for any company to launch a public offer, latest update with the markets regulator showed.

CMS Info Systems’s IPO is a pure offer for sale. Existing shareholders will sell 4.44 crore equity shares in the public issue, according to the draft red herring prospectus (DRHP). The public issue is expected to garner Rs1,000-1,200 crore, people aware of the matter said.

CMS Info Systems provides cash management services, which include ATM services, and cash delivery and pick-up. Kotak Mahindra Capital Co., Axis Capital and UBS Securities are managing the CMS Info Systems IPO. According to the company, the IPO is aimed at achieving the benefits of listing on the stock exchanges.

“Our company expects that the listing of the equity shares will enhance our visibility and brand image and provide liquidity to shareholders. The listing will also provide a public market for the equity shares in India," the draft papers noted.

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