Mumbai: Capital markets regulator Securities and Exchange Board of India (SEBI) has given the go-ahead to RKB Global Ltd and Monomark Engineering (India) Ltd to proceed with their proposed initial public offerings (IPOs).
According to SEBI’s latest update, Monomark Engineering received the regulator’s observations on September 4, while observations for RKB Global’s proposed public issue were issued on August 31.
Receiving SEBI’s observations is an important regulatory step that allows companies to move ahead with the next stages of their IPO process.
Monomark Engineering IPO Details
According to its draft papers, Monomark Engineering’s proposed IPO will consist entirely of a fresh issue of up to 2.70 crore equity shares.
There will be no offer-for-sale (OFS) component, meaning all the proceeds from the public issue will go to the company, subject to issue-related expenses.
Monomark Engineering plans to use the funds raised through the fresh issue primarily to meet its incremental working capital requirements. A portion will also be used for general corporate purposes.
The company can now proceed with further steps required before launching its public issue.
RKB Global IPO Plans
RKB Global’s proposed IPO will comprise a fresh issue of 1.26 crore equity shares along with an OFS of 20.20 lakh shares by existing shareholders.
The company plans to deploy part of the fresh issue proceeds towards purchasing plant and machinery for its existing manufacturing facility at Wada.
Funds will also be used to purchase solar panels for installation at the manufacturing unit and machinery required for the company’s mining vertical.
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RKB Global also intends to utilise IPO proceeds for repayment of debt and meeting incremental working capital requirements. The remaining amount will be deployed towards general corporate purposes.
IPO Market Remains Active
The regulatory clearances come amid continued activity in India’s primary market, with several companies preparing their IPOs.
August witnessed strong primary market activity, with as many as 23 companies launching their maiden public offerings during the month.
