Jodhpur-based HG Infra Engineering has received markets regulator Securities and Exchange Board of India's (SEBI) approval to raise funds through an initial public offering (IPO). The public offer will comprise fresh issue of equity shares worth Rs 300 crore besides an offer of sale 60 lakh scrips by the existing shareholders. The company's shares are proposed to be listed on the BSE and NSE.
The company, which filed the draft red herring prospectus with the SEBI in September, got the regulator's approval on December 13. The net proceeds from the issue will be utilised for purchasing capital equipment, repayment of loan and for other general corporate purposes. SBI Capital Markets and HDFC Bank are the merchant bankers involved in the issue.
HG Infra Engineering is engaged in infrastructure construction, development and management and has experience in building highways, bridges and flyovers. It mainly provides engineering, procurement and construction services on a fixed-sum turnkey basis, besides undertaking civil construction and related infrastructure projects on an item-rate and lump-sum basis.