Mumbai Based Hexagon Nutrition Files For ₹ 600 Crore IPO With SEBI
Mumbai-based Hexagon Nutrition has filed draft papers with market regulator SEBI with an aim to raise ₹ 600 crore via an Initial Public Offering (IPO).
The share sale consists of a fresh issue of equity shares worth ₹ 100 crore, and an offer for sale (OFS) aggregating up to 30,113,918 equity shares, as per the draft red herring prospectus (DRHP).
The issue size will be between in the range of ₹ 500-600 crore. The proceeds from the fresh issue will be directed towards paying off debt, financing incremental working capital requirements, supporting capital expenditure needs to expand the already existing facility, investment in subsidiaries and funding capital expenditure at the existing facility, and general corporate purposes.
Hexagon Nutrition was founded by Arun and Subash Kelkar. In 1993, it became one of the top micronutrient formulations companies, creating brands like Pentasure, Obesigo, and Pediagold, which are now household names in the health, wellness, and clinical nutrition industries.
In 2016, offshore private equity firm Somerset Indus Healthcare Fund-I plus Mayur Anand Sardesai, director at Somerset Health Capital Advisors poured in ₹ 25 crore to own a 10 per cent stake in the company.
Hexagon Nutrition established a trading company in South Africa in 2019. In addition, Hexagon is setting up a factory in Uzbekistan, which is expected to open in the first quarter of 2022. The issue's book-running lead managers are Equirus Capital and SBI Capital Markets.