RK Swamy Ltd, a leading integrated marketing services provider in India, has disclosed the price band of Rs 270-288 per share for its upcoming initial public offering (IPO), slated to begin on March 4.
The anchor investor bidding will commence on March 1, with the subscription period ending on March 6. Allotment of shares is scheduled for March 7, followed by the crediting of shares to depository accounts on March 11. The stock is anticipated to be listed on exchanges on March 12.
The IPO comprises a blend of fresh shares worth Rs 173 crore and an offer-for-sale (OFS) of 87 lakh equity shares by promoters and investors. At the upper end of the price band, the total issue size is estimated at Rs 423 crore, leading to a total market capitalization of approximately Rs 1,450 crore for the company.
Promoters Srinivasan K Swamy and Narasimhan Krishnaswamy will each sell 17,88,093 equity shares in the OFS, while investors Evanston Pioneer Fund LP will divest 44,45,714 equity shares and Prem Marketing Ventures LLP will offload 6,78,100 equity shares through OFS. Post-issue, promoters will retain 84.44% ownership in RK Swamy Ltd, with the remaining 15.56% held by the public shareholders Evanston Pioneer Fund LP and Prem Marketing Ventures LLP. Prem Marketing Ventures LLP will exit the company following the IPO.
RK Swamy Ltd, offering comprehensive solutions in creative, media, data analytics, and market research services, plans to utilize Rs 54 crore of the net fresh issue proceeds for working capital requirements, down from the earlier estimate of Rs 87 crore. Additionally, Rs 10.98 crore will be allocated for establishing a DVCP studio, Rs 33.34 crore for IT infrastructure development, and Rs 21.74 crore for setting up new CEC and CATI facilities.
With over fifty years of industry experience, RK Swamy asserts its position among the top ten diversified integrated marketing communication services groups in India, operating across integrated marketing communications, customer data analytics and marketing technology, and full-service market research and syndicated studies segments.
SBI Capital Markets, IIFL Securities, and Motilal Oswal Investment Advisory serve as the merchant bankers to the issue.
