Hyderabad-based Nuziveedu Seeds Ltd, India's top private sector seeds company, has received a green signal from capital markets regulator Securities and Exchange Board of India (SEBI) for its proposed initial public offer (IPO).

The company had filed its draft red herring prospectus (DRHP) with SEBI in April this year to raise Rs 125 crore through a fresh issue besides an offer for sale of up to 9.9 million equity shares by promoter Mandava Prabhakara Rao and up to 1.9 million shares by existing investor Blackstone.

Blackstone had invested Rs 250 crore in the firm in February 2011 and currently owns 10.5 per cent stake. It is looking to sell up to a fifth of its total holding in the IPO as part of the offer-for-sale. The PE firm is separately looking to part exit from fragrance and flavours maker SH Kelkar that also recently received the approval to float its IPO.

Nuziveedu's total issue would comprise 10 per cent of the fully diluted post issue paid-up equity share capital of the company.

It joins a roster of companies like infrastructure firm Dilip Buildcon, brokerage firm SMC Global, engineered systems and solutions manufacturer Uniparts India among others which also got SEBI's green signal for proposed IPOs.

Founded in 1973, Hyderabad-based Nuziveedu Seeds develops, produces, processes and sells seeds for a range of field crops and vegetables. It has operations in 19 states across India. The company has produced seeds for 27 different field crops and vegetables as of December 2014.

Nuziveedu Seeds would use the proceeds from the fresh issue portion of the IPO for repayment of certain borrowings.

Axis Capital, IDFC Securities, JM Financial and JP Morgan India are the bankers to the proposed IPO.

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