Go ahead, says SEBI to VLCC, L&T Infotech

Weight loss solutions and beauty treatment major, VLCC Health Care received a Securities and Exchange Board of India (SEBI) nod for the Initial Public Offer (IPO) to raise funds from the markets to fund its expansion plans. The offer consists of a fresh issue by the company and an offer for sale by the selling shareholders.

Founded by Vandana Luthra, the company was incorporated in 1996. VLCC was among the first multi-center corporate operations in the beauty and wellness industry. The company has large scale operations, serving consumers across 301 locations in 134 cities and across 11 countries in South Asia, South East Asia, the GCC Region and East Africa.

The firm had filed the draft Red herring prospectus (DRHP) on September 23rd. As per the DRHP, the IPO comprises of  a fresh issue of new shares to raise approximately Rs 400 crores and an offer for sale (OFS) of up to 37.67 lakh equity shares by the existing shareholders Indivision India Partners and Leon International. 

The proceeds from the IPO will be primarily used to set up VLCC Wellness Centers and VLCC Institutes both in India and abroad. Besides, the firm plans to repay its existing loans towards the facilities of the company and its subsidiaries. Part of the funds will also be invested in the development of brand and investment in setting up of manufacturing facilities.The lead managers to this offer are ICICI Securities, Citigroup Global Markets and Axis Capital.

L&T Infotech a global IT services and solutions provider too got the clearance from the market regulator SEBI to float an IPO worth Rs 2000 crore to fund its future growth plans. The issue comprises an offer for sale of up to 1,75,00,000 equity shares by Larsen & Toubro. L&T Infotech is a subsidiary of engineering major Larsen & Toubro Ltd.

L&T Infotech was incorporated in 1996 and is headquartered in Mumbai. By leveraging the strength and heritage of its promoter Larsen & Toubro the company has been successful in its venture. L&T Infotech is a leading Information Technology (IT) company, with clients comprising of some of the world’s largest and well-known organizations. The Company offers an extensive range of IT services in diverse industries such as banking and financial services, insurance, energy etc.

The firm filed a DRHP with the SEBI on September 28th. The company plans to deploy the funds to fund its future growth plans. It is currently looking to pursue strategic acquisitions in Germany and France to enhance capabilities and address gaps in language capability, industry & technical expertise and geographic coverage in these countries. The issue is being managed by Citigroup Global Markets, Kotak Mahindra Capital, Barclays Bank PLC and ICICI Securities.