Currently in the last stages of preparing for an initial public offering, microfinance lender Arohan Financial Services is expected to list on the stock market in the third quarter of this fiscal year, according to sources.
Preparations for the initial public offering (IPO) are well on, and managing director Manoj Kumar Nambiar told ET that the lender is in the process of finalising investors for the pre-IPO placement. The lender intends to collect up to Rs 150 crore through a pre-IPO placement to fund its operations.
The initial public offering (IPO) would consist of a primary offering for Rs 850 crore and an offer for sale of up to 2.7 crore equity shares. The transaction will provide an opportunity for existing investors such as Tano India, the Michael and Susan Dell Foundation, Maj Invest, TR Capital, and Aavishkaar Goodwell India Microfinance Development Company II (AG II) to partially leave the business.
The amount of money received through the pre-IPO placement is included in the size of the principal issue.