NEW DELHI: The Securities and Exchange Board of India (Sebi) has put on hold the initial public offering (IPO) approval process of ethnic wear fashion retailer Biba Fashion, an update on the market regulator’s website showed.
Not disclosing the reason for holding the IPO, Sebi said “issuance of observations kept in abeyance”. The market regulator usually gives its observations on IPO papers in 30 days, which implies its approval for an IPO. The firm had filed its Draft Red Herring Prospectus (DRHP) with Sebi on April 12 to raise funds via an IPO.
As per the DRHP, the IPO comprises fresh issuance of equity shares of Rs 90 crore and an offer for sale (OFS) of 2.77 crore equity shares by the promoter and existing investors. Promoter Meena Bindra will sell up to 37.52 lakh equity shares as a part of the OFS and private equity investors, Warburg Pincus-backed Highdell Investment and Faering Capital India Evolving Fund will sell up to 1.84 crore and 55.86 lakh equity shares, respectively.