Kolkata-based mining player Tega Industries’ initial public offering (IPO) will open for subscription on 1 December, and the window will close on 3 December, the company said in a statement on Friday.
The face value of each share is Rs 10, and the company has set the price band at Rs 443-453 per share. Investors can bid for a minimum of 33 shares, and in multiples of 33 thereafter, the statement said.
Tega Industries’ public issue is entirely an offer-for-sale (OFS) of as much as 13.67 million shares by promoters and investors. TA Associates, which has nearly 15% stake in the company, will be completely exiting the firm by selling 9.69 million shares, according to regulatory filings.
The IPO will provide Tega a tag of Rs 3,650 crore, valuing the investor’s 14.54% stake at over Rs 530 crore and giving 11% annualised return going by VCCircle estimates.
The Boston-based private equity firm had set itself up for over $1 billion in exits from India this year, across seven portfolio companies, VCCircle had reported in October.
Earlier this week, Prudent Corporate Advisory Services Ltd, distributor of mutual funds and other financial products, received the Securities and Exchange Board of India’s (Sebi) approval for its IPO, with TA Associates selling about half of its 39.1% stake in the company.
Tega is into the manufacturing and distribution of consumable products for global mineral beneficiation, mining and bulk solids-handling industry.
It has 55 mineral processing and material-handling products in its portfolio. In India, three manufacturing sites -- at Dahej in Gujarat and Samali and Kalyani in West Bengal -- cater to the domestic and overseas markets. It also has three international sites in Chile, South Africa and Australia.
Tega’s operating revenue grew from Rs 633.8 crore in FY19 to Rs 805.5 crore in FY21 at an annualised rate of 12.7%, whereas the net income rose at a compound annual rate (CAGR) of over 100%, from Rs 32.7 crore to Rs 136 crore during the period.