Pump and motor manufacturer Silver Consumer Electricals Ltd has completed a pre-IPO secondary share sale worth about Rs 150 crore, with a promoter group member divesting a 2.59 per cent stake as the company prepares its maiden public offering.
In a public announcement on Friday, the company said promoter group member Dharamshibhai Mohanbhai Bediya transferred 73,15,288 equity shares to investor Riyaz Suterwala through a secondary sale.
The transaction was executed at Rs 205.05 per equity share, aggregating to Rs 150 crore.
Following the acquisition, Suterwala will hold a 2.59 per cent stake in the company's pre-offer equity share capital.
Silver Consumer Electricals had filed its Draft Red Herring Prospectus (DRHP) with the Securities and Exchange Board of India (Sebi) in August last year to raise up to Rs 1,400 crore through an Initial Public Offering (IPO).
The proposed issue comprises a fresh issue of equity shares worth up to Rs 1,000 crore and an Offer For Sale (OFS) of up to Rs 400 crore by promoter Vinit Dharamshibhai Bediya.
The company will use funds to repay debt and for general corporate purposes.
Based in Rajkot, Gujarat, Silver Consumer Electricals manufactures pumps, motors and agricultural equipment under the 'Silver' brand.
Established in 1981, the company caters to residential, agricultural and industrial applications through its integrated manufacturing operations.
