Snapdeal parent AceVector raises Rs 189 crore via anchor book ahead of Rs 420-crore IPO opening

Reports coming in for today mention that AceVector, the parent firm of Snapdeal, Unicommerce and Stellaro Brands, on September 24 boosted Rs 189 crore by issuing 5.9 crore equity shares to 14 anchor market participants ahead of its IPO.

The Kunal Bahl, Rohit Kumar Bansal and SoftBank-promoted firm is set to open its Rs 420-crore initial public offering (IPO) for public subscription on September 25, with a price range of Rs 30-32 per share. The offering will close on September 29.

The IPO includes a fresh offering of equity shares worth Rs 287 crore, while existing shareholders, including promoter Starfish, will sell 4.15 crore equity shares through an offer-for-sale (OFS).

Negen Undiscovered Value Fund emerged as the largest investor in the anchor book, acquiring 1.24 crore equity shares for Rs 40 crore at Rs 32 per share, the upper end of the price range.

Ace investor Madhusudan Kela-mentored Singularity AMC picked up 84.37 lakh shares for nearly Rs 27 crore, while 360 ONE Asset Management's Turnaround Opportunities Fund bought 62.49 lakh shares for Rs 20 crore.

Of the total equity shares allocated to anchor market participants, 93.74 lakh shares were allotted to two domestic mutual funds — Helios Mutual Fund and Taurus Mutual Fund, AceVector stated in a filing with the exchanges.

Other market participants that participated in the anchor book included Alchemy Capital Management, TIMF Holdings, Saint Capital Fund, Emerge Capital and Mavira AMC.

Click Here To Read All IPO News

Apart from SoftBank, AceVector is additionally backed by marquee market participants such as Nexus Venture Partners, FIH Business Global and eBay International AG.

The firm, which operates the e-commerce marketplace Snapdeal, will utilise Rs 132 crore of the net proceeds from the fresh offering towards marketing and business promotion expenses for the marketplace business.

Further, Rs 50 crore will be utilised towards technology infrastructure costs for the marketplace business, while the remaining funds will be used for inorganic expansion through acquisitions and general corporate purposes.

IIFL Capital Services, CLSA India and Systematix Corporate Services are acting as the merchant bankers for the AceVector IPO.