Kotak, Motilal Invest in Rubicon Research IPO

New Delhi, Oct 8 (PTI) Kotak Mutual Fund and Motilal Mutual Fund have together invested around Rs 169 crore in pharmaceutical firm Rubicon Research, ahead of its Initial Public Offering (IPO).

As part of the transaction, General Atlantic Singapore RR Pte Ltd transferred a total of 34.86 lakh equity shares, representing a 2.25 per cent stake, at a price of Rs 484.47 per share, amounting to approximately Rs 169 crore.

In a public announcement on Wednesday, Rubicon Research said that Motilal Oswal Small Cap Fund acquired 16.4 lakh shares (1.06 per cent stake) for about Rs 79.4 crore, while Kotak Midcap Fund picked up 13.30 lakh shares (0.86 per cent stake) for Rs 64.4 crore.

Additionally, Kotak Manufacture In India Fund purchased 5.16 lakh shares (0.33 per cent stake) for Rs 25 crore.

This latest investment follows earlier stake sales by General Atlantic Singapore, which offloaded 28.89 lakh shares (1.86 per cent) worth Rs 140 crore at Rs 484.47 apiece to TIMF Holdings and 360 ONE in September.

In August, it also transferred 51.6 lakh shares (3.3 per cent) to Amansa Investments for Rs 250 crore at the same price.

Importantly, the shares sold in these transactions are not part of the equity shares that General Atlantic proposes to offer in the upcoming Rubicon Research IPO.

The company's Rs 1,377.5 crore initial public offering comprises a fresh issue of equity shares worth Rs 500 crore and an Offer For Sale (OFS) of Rs 877.5 crore by the promoter, General Atlantic Singapore RR Pte Ltd.

Post the IPO, General Atlantic's shareholding is expected to reduce to over 35 per cent.

The issue will open for subscription on October 9 and close on October 13, with a price band of Rs 461-485 per share.

Proceeds from the fresh issue will be primarily used for debt repayment (Rs 310 crore), while the remaining funds will be utilised for inorganic growth through acquisitions, strategic initiatives, and general corporate purposes.