Sapphire Foods, ixigo, Prudent Corporate, Go Fashion join IPO rush

India’s primary market activity is showing no signs of slowing with four more companies filing draft documents to launch their initial public offerings even as benchmark indexes touched new highs on Friday.

Restaurant operator Sapphire Foods India Ltd, mutual fund distributorPrudent Corporate Advisory Services Ltd, travel app ixigo and apparel maker Go Fashion India have submitted their draft IPO papers to the Securities and Exchange Board of India.The IPOs of both Sapphire and Prudent involve just an offer for sale by their existing shareholders, and the companies themselves aren’t raising any fresh capital. 

Prudent’s IPO comprises an offer for sale of about 8.55 million shares by private equity investor TA Associates and individual shareholder Shirish Patel. The company distributes financial products such as mutual funds, insurance policies, corporate fixed deposits and bonds for a commission.The IPO of Sapphire, which operates KFC, Pizza Hut and Costa Coffee chains in India, will be an offer for sale of 17.57million shares by QSR Management Trust, Sapphire Foods Mauritius and funds managed by Edelweiss. The IPO aims to mop up about Rs 1,838 crore. 

Sapphire follows peer Devyani International, another franchise of KFC and Pizza Hut, which floated its IPO last week. Earlier this week, Sapphire Foods raised Rs 1,150 crore from private equity investors Creador, NewQuest Capital Partners and TR Capital.

Travel app ixigo has filed its papers to raise Rs 1,600 crore via the IPO. This comprises a primary component of Rs 750 crore and an offer for sale of Rs 850 crore by some of its investors including Elevation Capital and Micromax.
Ixigo said it will use thefresh proceeds for organic and inorganic growth initiatives and general corporate purposes.

Go Fashion India, the operator of womenswear brand Go Colors,aims to raise Rs 125 crore in fresh capital via the IPO. The IPO also involves an offer for sale by promoters PKS Family Trust and VKS Family Trust as well as investors Sequoia Capital and ICICI Venture.

The PKS Family Trust and the VKS Family Trust will each sell 745,676 shares.  Sequoia will divest 7.5 million shares while ICICI Venture will sellabout 3.88 million shares.The company plans to use the fresh proceeds to rollout 120 exclusive brand outlets and to meet working capital requirements.