CL Educate IPO price band fixed at Rs 500-502, opens on March 20

CL Educate Ltd, a diversified and integrated technology-enabled provider of education products, services, content and infrastructure is all slated to hit the IPO markets this month.
 
The company which started its operations in 1996, has presence across the education value chain. The company has diversified operations across various business segments: test preparation and training services conducted under the brand Career Launcher, publishing and content development conducted under the brand GK publications, integrated business and marketing & sales services for corporates conducted under the brand Kestone.

The funds will be raised with an objective of:
1. Funding Working Capital requirement of the Company:
2. Acquisitions and other strategic initiatives;
3. Pre-payment of outstanding amount of a debt; and
4. General corporate purposes.
 
The issue will open on Monday, 20th March 2017, and will close on Wednesday, 22nd March 2017.

The price band for the issue is fixed from Rs 500 to Rs 502 per share. The offer will constitute 33.61% of the post offer paid-up equity share capital of the company.  

In its maiden IPO the company proposes to offer up to 4,760,000 equity shares of face value of Rs 10 each aggregating to Rs 238.95 crore.

The offer consists of issue of fresh equity of 2,180,119 equity shares and an offer for sale up to 2,579,881 equity shares including up to 974,000 equity shares by certain of the company’s promoters and members of the promoter group.

The bids can be made for a minimum of 29 shares and in multiples of 29 shares thereafter. The offer will be made via book building process. The equity shares will be listed on both NSE & BSE.

The sole book running lead manager (BRLM) to the offer is Kotak Mahindra Capital Company Limited.