Sebi withdraws draft IPO documents of two companies; Check details

Last updated time: 06 March 2023, 18:59 IST

As per the rules, a firm gets one year to enter the primary market after getting Sebi’s approval.

Market regulator Sebi has returned the pre-IPO documents of BVG India and Fincare Small Finance Bank India.

Markets regulator Sebi has withdrawn the pre-IPO documents of two companies – BVG India and Fincare Small Finance Bank India.

Integrated services company BVG India Ltd has filed a draft red herring prospectus (DRHP) with the Securities and Exchange Board of India (Sebi) in September 2021 to raise funds through an initial public offering (IPO).

The firm’s proposed IPO includes a fresh issue of equity shares of up to Rs 200 crore and an offer for sale (OFS) of up to 71,96,214 shares by promoters and private equity investor 3i Group.

In another update on the Sebi website, the market watchdog has withdrawn the projects of Fincare Small Finance Bank.

In August last year, the company had filed preliminary paperwork with the market regulator to raise funds through an IPO as Sebi’s one-year permission for the lender to start the issue expired in July.

As per the rules, a firm gets one year to enter the primary market after getting Sebi’s approval.

If the firm fails to issue an IPO during this period, it will have to refile the prospectus with Sebi for fresh permission.

The lender’s IPO includes a fresh issue of equity shares of up to Rs 625 crore and an Offer for Sale (OFS) combining up to 1.7 crore equity shares of the promoter and selling investors.

In May 2021, the lender submitted plans to the market watchdog to raise Rs 1,330 crore through an IPO, after which it received Sebi’s green signal to resolve the issue in July, but did not launch it.

The market regulator recalled BVG India and Fincare Small Finance Bank India projects on March 2 and 3 respectively, a Sebi update showed on Monday.

According to a separate update, infrastructure company R&B Infra Project has received Sebi’s approval for its proposed initial public offering.

The regulator issued a final observation letter in this regard on March 3.

In Sebi’s words, the latest review letter represents the resolution of a public issue.

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(This story was not edited by News18 staff and was published by a syndicated news outlet)

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