Blackstone-backed SH Kelkar tweaks IPO terms

By TEAM VCC

  • 19 Oct 2015

Mumbai-based manufacturer of fragrances and flavours S.H. Kelkar & Co. Pvt Ltd, has made minor changes to its initial public offer (IPO) that is to open next week. It is now looking to raise a tad more through a fresh issue of shares and the promoters have also raised the quantum of shares up for sale.

The firm is looking to raise Rs 210 crore against Rs 200 crore as proposed earlier. While its private equity investor Blackstone has maintained the terms of its shares offered for sale, the promoters Vaze family will now sell 3.3 million shares against the previous plan to offload 2.3 million shares.

For the world's largest alternative assets manager Blackstone, this would mark the first liquidity event in India through an IPO. Two years ago, it had explored a similar part-exit through a proposed public issue of Emcure Pharmaceuticals Ltd but later opted for a secondary deal where Bain Capital bought it out.

Another of its portfolio firm, Nuziveedu Seeds is in the queue to float its IPO. In that too, Blackstone is looking to part exit.

It was also eyeing a liquidity event through the IPO of Gateway Rail Freight Ltd. However, this has got stuck as the promoter of the Bangalore-based logistics firm Gateway Distriparks Ltd had instead offered to buy back Blackstone's stake in its subsidiary. Blackstone has rejected this offer.

JM Financial and Kotak Mahindra Capital are the bankers to the issue.

Click here for more details on the company and the IPO.