Chennai: TVS Supply Chain Solutions Limited has filed its Draft Red Herring Prospectus with market regulator Securities and Exchange Board of India.
According to a company statement, the IPO consists of fresh issue of equity shares aggregating upto Rs 20,000 million and an offer for sale of upto 59.48 million equity shares of face value Rs 1 each by Promoter Selling Shareholders and Investor Selling Shareholders.
‘The company will use a majority of the net proceeds from the IPO (Rs 11,660 million) to repay or prepay its outstanding borrowings. The prepayment or scheduled repayment will assist the company in maintaining a favourable debt to equity ratio and enable utilisation of internal accruals for further investment in business growth and expansion. The company will also deploy Rs 752 million in Fiscal 2023 towards the capitalisation of its strategically important subsidiaries in Germany, USA and Thailand, to tap the growth opportunities in these markets,’ it added.