Fusion Microfinance on Friday said its forthcoming Rs 1,104-crore initial public offer (IPO) will be sold in the Rs 350-368 price band from November 2 to November 4.
The bidding for anchor investors will open on November 1.
The IPO will comprise of a fresh issuance of shares worth Rs 600 crore and an offer of sale (OFS) of 1,36,95,466 equity shares by promoters and existing shareholders.
Devesh Sachdev (up to 6.50 lakh shares), Mini Sachdev (up to 1 lakh shares) and Honey Rose Investment (14 lakh shares) and Creation Investments Fusion (14 lakh shares) will be among selling shareholders in the OFS.
Honey Rose Investment, which owns 48.65 per cent stake in the company, is directly owned by certain private equity funds managed by Warburg Pincus. Creation Investments Fusion is an alternative investment management company.
Oikocredit Ecumenical Development Cooperative Society UA (up to 66,06,375 shares) and Global Impact Funds SCA SiCAR (up to 35,39,091 shares) will also sell shares in the OFS.
Half of the issue size will be reserved for qualified institutional buyers, 35 per cent for retail investors and the rest 15 per cent for non institutional investors.
Investors could bid for a minimum of 40 shares and in multiples thereof.
Net proceeds from the fresh issue will be used to augment the capital base of the microfinance firm.
The New Delhi-based microfinance firm provides financial services to underserved women across India. The company uses the joint liability group (JLG) model, developed by Grameen Bank in Bangladesh, to give loans of up to Rs 50,000.
ICICI Securities, CLSA India, JM Financial and IIFL Securities are the merchant bankers to the issue.
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