SAR Televenture Raises Rs 43 Cr Ahead of FPO

New Delhi, Jul 19 (PTI) Telecommunication infrastructure provider SAR Televenture on Friday said it has raised nearly Rs 43 crore from anchor investors days before its follow-on public offer (FPO) opening for subscription.

Those who have been allocated shares in the anchor round include Intuitive Alpha Investment Fund, Negen Undiscovered Value Fund, Minerva Emerging Opportunities Fund Ltd, BoFA Securities Europe SA, and Benani Capital.

In a filing to the stock exchanges, SAR Televenture said it has allocated 20.35 lakh equity shares to 11 funds at Rs 210 apiece, aggregating the transaction size to Rs 42.74 crore.

The price band of the FPO has been fixed at Rs 200 and Rs 210 per equity share for the company's Rs 150-crore FPO. The issue will be open for subscription on July 22-24.

Earlier, SAR Televenture announced that it is looking to raise Rs 450 crore through rights issue and FPO.

This comprises a rights issue of shares worth up to Rs 300 crore and an FPO of up to Rs 150 crore.

The company proposes to use the proceeds to the tune of Rs 273 crore to set up fibre-to-the-home (FTTH) network solutions, Rs 42.5 crore for setting up an additional 1,000 4G/5G telecom towers, Rs 30 crore for incremental working capital requirements and the balance amount for general corporate purposes in FY25.

The rights issue consists of 1.5 crore equity shares of Rs 2 each at an issue price of Rs 200 per rights share. The issue opened on July 15 and will close on July 22.

"Existing shareholders will get one rights share for one equity share held as on record date July 9, 2024," the company said.

The company is a telecommunication infrastructure provider engaged primarily in the business of installing and commissioning telecom towers and FTTH in India.

As of May 31, 2024, the company has installed an aggregate of 413 towers on lease across West Bengal, Bihar, Uttar Pradesh, Chandigarh, Odisha, Jharkhand, Himachal Pradesh, Punjab, and Andaman & Nicobar Islands.

Pantomath Capital Advisors Pvt Ltd is the sole book-running lead manager of the issue.