Generator maker Powerica planning Rs 800-crore issue

Genset manufacturer Powerica has revived its
IPO plans and will hit the primary market soon,
after slowdown had affected its initial public offer
(IPO) way back in 2011. The company looks to raise
up to Rs 800 crore through the offering and is in
talks with various banks to file the draft
prospectus, said people familiar with the development.
In 2011, the company had filed a prospectus with the markets regulator
seeking to offer a fresh issue worth Rs 600 crore, and an offer for sale of up to
41 lakh equity shares.However, weak secondary market conditions forced
Powerica to shelve the plan.

Standard Chartered Private Equity (SCPEL) is planning to part-exit its ten-
year-old investment in the initial public offer of the Mumbai-based firm,
according to sources. SCPE had invested Rs 150 crore in Powerica and bought
shares from one of the promoters for another Rs 50 crore in October 2007.
Currently, SCPE owns about 11.7 per cent stake in the company.
However, it could not be ascertained how much stake SCPEL would sell in the
IPO. An email query sent to Powerica did not elicit any response till the time
of going to press.

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