Zaggle Prepaid Ocean Services raises ₹98 crore in pre-IPO placement round
Software-as-a-service (SaaS) fintech Zaggle Prepaid Ocean Services said in a statement on August 22 that it has mopped up a total of ₹98 crore ahead of its initial public offer (IPO). The fintech has undertaken a pre-IPO placement of 5,975,609 equity shares at a price of Rs. 164 per equity share (including a share premium of Rs. 163 per equity share) aggregating to ₹98 crore, in two tranches.
According to the statement, the financial technology products and services provider had last week allotted 44.51 lakh equity shares at the same price to six investors – Ashish Rameshchandra Kacholia, Bengal Finance and Investment, Himanshi Kela, Absolute Returns Scheme, Vikasa India EIF I Fund – Incube Global Opportunities and Acintyo Investment Fund PCC – Cell 1.
Also Read: Saas firm Zaggle Prepaid Ocean Services gets Sebi’s approval for IPO
In the second tranche, the company allotted 1,524,390 equity shares amounting to ₹25 crore allotted to Value Quest SCALE fund. The company had filed the draft red herring prospectus (DRHP) with capital markets regulator Securities and Exchange Board of India (SEBI) for their proposed IPO last year.
According to the company’s DRHP, the IPO comprised of a fresh issue aggregating up to ₹490 crore and an offer for sale aggregating up to 10,526,316 equity shares by ‘promoter selling shareholder’ and ‘investor selling shareholder’.
ICICI Securities Limited, Equirus Capital Private Limited, IIFL Securities Limited and JM Financial Limited are the book running lead managers to the issue. Out of the total IPO, 75 per cent of the portion will be kept for qualified institutional buyers (QIBs), while 15 per cent will be allocated to non-institutional investors (NIIs) and the remaining 10 per cent will be kept for retail individual investors (RIIs).
Zaggle is a leading player in spend management with a differentiated value proposition and diversified user base. The company provides offerings to customers and users that include employees, channel partners, and customers, while collaborating with merchants, banks, and NBFCs, providing a strong value proposition to each stakeholder
The proceeds of the fresh issue will be utilised for expenditure toward customer acquisition and retention. Also, for the expenditure of development of technology and products. A portion of the proceeds will also be utilised to repay certain borrowings and general corporate purposes.
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Updated: 22 Aug 2023, 05:49 PM IST
Ganesh
http://ganesh@finplay.inFinance enthusiast, Mutual fund expert.