Mumbai: Ahmedabad-based PSP Projects Limited (“Company”), a multidisciplinary construction company in India will be launching its initial public offering (“IPO” or the “Issue”) which is scheduled to open on May 17, 2017 and close on May 19, 2017, with a price band of Rs. 205 – Rs. 210 per Equity Share of face value of Rs. 10 each of the Company (the “Equity Shares”). The Anchor Investor Bid/Issue Period shall be May 16, 2017, being one working day prior to the Issue opening date.

The IPO comprises of an Issue up to 10,080,000 equity shares. The Fresh Issue comprises  of up to 7,200,000 equity shares aggregating up to Rs. [●] million (the “Fresh Issue”) and an Offer for Sale of up to 1,584,000 equity shares by Prahaladbhai Shivrambhai Patel, up to 576,000 equity shares by Shilpaben Patel, (Prahaladbhai Shivrambhai Patel and Shilpaben patel collectively referred to as the “Promoter Selling Shareholders”), up to 288,000 equity shares by Pooja Patel and up to 432,000 equity shares by Sagar Patel (Pooja Patel and Sagar Patel collectively referred to as the “Promoter Group Selling Shareholders”) (the Promoter Selling Shareholders and the Promoter Group Selling Shareholders collectively referred to as the “Selling Shareholders”), aggregating up to Rs. [●] million (the “Offer for Sale” and together with the Fresh Issue, the “Issue”).

The Company proposes to utilize the net proceeds of the Fresh Issue for funding working capital requirements of the Company, funding capital expenditure requirements of the Company and general corporate purposes. The Company will not receive any proceeds from the Offer for Sale.

This Issue is being made in terms of Rule 19(2)(b)(i) of the Securities Contracts (Regulation) Rules, 1957, as amended (“SCRR”) and Regulation 26 (2) of the SEBI ICDR Regulations, wherein at least 75% of the Issue shall be allocated on a proportionate basis to Qualified Institutional Buyers (“QIBs”) (“QIB Category”), provided that the Company and the Selling Shareholders shall, in consultation with the BRLMs, allocate up to 60% of the QIB Category to Anchor Investors on a discretionary basis in accordance with the SEBI ICDR Regulations (“Anchor Investor Portion”), of which one-third shall be reserved for domestic Mutual Funds, subject to valid Bids being received from domestic Mutual Funds at or above the Anchor Investor Allocation Price.

Further, 5% of the QIB Category (excluding the Anchor Investor Portion) shall be available for allocation on a proportionate basis only to Mutual Funds, and the remainder of the QIB Category shall be available for allocation on a proportionate basis to all QIBs (other than Anchor Investors), including Mutual Funds, subject to valid Bids being received at or above the Issue Price. Further, not more than 15% of the Issue shall be available for allocation on a proportionate basis to Non-Institutional Investors and not more than 10% of the Issue shall be available for allocation to Retail Individual Investors in accordance with the SEBI ICDR Regulations, subject to valid Bids being received at or above the Issue Price.

All potential Bidders (except Anchor Investors) are required to mandatorily utilise the Application Supported by Blocked Amount (“ASBA”) process providing details of their respective ASBA accounts in which the corresponding Bid Amounts will be blocked by the SCSBs. Anchor Investors are not permitted to participate in the Issue through the ASBA process.

Karvy Investor Services Limited and Motilal Oswal Investment Advisors Limited are the Book Running Lead Managers (“BRLMs”) to the Issue. The Registrar to the Issue is Karvy Computershare Private Limited.

The Equity Shares of PSP Projects Limited are proposed to be listed on the National Stock Exchange of India and BSE Limited.

Source: Sachin Murdeshwar