Newgen Software Technologies Ltd, a software products company, on Monday said it had raised around Rs127.39 crore by selling shares to institutional investors as part of its anchor book allocation, a day before its initial public offering (IPO) opens.
Shares were allocated to nine investors at Rs245 apiece, the upper end of the price band of Rs240-245 for the Newgen IPO. Institutional investors that participated in the anchor book allocation include Goldman Sachs India Ltd, HDFC Trustee Co. Ltd, Forefront Alternative Investment Trust, Aditya Birla Sun Life Pvt. Ltd, BNP Paribas Arbitrage and SBI Mutual Fund, among others.
The Rs424.6 crore IPO will open on 16 January and close on 18 January.
The Newgen IPO comprises a fresh issue of shares worth Rs95 crore and an offer for sale of 13.45 million shares by existing venture capital investors.
The company will utilize the proceeds from the fresh issue for furnishing its office premises in Noida, on the outskirts of New Delhi.
Venture capital investors selling their stakes include IDG Ventures, SAP Ventures and Ascent Capital.
Newgen is a software products company, offering a platform that enables organizations to drive digital transformation of business processes. The platforms’ applications help automation of routine business functions, making them faster, easier and more accurate and increasing the channels or devices through which these functions can be performed.
ICICI Securities Ltd, Jefferies India Pvt Ltd and IDFC Bank Ltd are managing the Newgen IPO.