L&T Finance Holdings IPO has got 5 out of 5 by CARE (rating agency) and this rating/grading is Strong fundamental for a finance company IPO. The grade 5 indicates that the fundamentals of the IPO are Strong compared to the other listed securities in India. The grading reflects strong consolidated financial position of the company. The company is entering into primary market with an Initial Public Offer (IPO) of — Equity Shares of Rs 10 each. The IPO is opening on 27th July 2011 and will close on 29th July 2011. The premium of the issue will be decided through a 100% Book Building Process. The price band for the issue has not been fixed yet. L&T Finance Holdings is a financial holding company offering a diverse range of financial products and services across the corporate, retail and infrastructure finance sectors, as well as mutual fund products and investment management services.
IPO Summary :-
IPO Open : 27th July 2011 – 29th July 2011
IPO Type : 100% Book Built Issue IPO
IPO Size : —-Equity Shares of Rs 10 each
IPO Size : Rs 1,245.00 Crore
Face Value : Rs 10 Per Equity Share
IPO Price : Rs – – Rs – Per Equity Share
Minimum Bid Quantity : — Shares (Rs.— with 1 Lot) @ upper level of price band
Maximum Bid Quantity : — Shares (Rs. —– with — Lots ) @ upper level of price band
Listing At : BSE, NSE
Maximum Subscription Amount for Retail Investor : Rs. 200000
The objects of the fresh issue :- The proceeds from the IPO are proposed to be utilized for repayment of intercorporate deposit issued by promoter to company (worth Rs 345 crore); and augmenting the capital base of L&T Finance (by infusing Rs 570 crore) and L&T Infra (by investing Rs 535 crore), to meet the capital adequacy requirements to support the future growth in their business.
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