ArisInfra Solutions to Raise Rs 600 Crore through IPO

ArisInfra Solutions Ltd, backed by PharmEasy CEO Siddharth Shah, has filed papers with Sebi to raise Rs 600 crore via an IPO. The IPO is a fresh issue with no offer for sale component. Proceeds will be used for debt payment, working capital, investments, and other corporate purposes.

ArisInfra Solutions Ltd, a company backed by PharmEasy CEO Siddharth Shah, has submitted initial documents to capital markets regulator Sebi with the aim of raising Rs 600 crore through an initial public offering (IPO).

The IPO will consist entirely of a fresh issue of equity shares and does not include any offer for sale (OFS) component, as per the draft red herring prospectus (DRHP).

In preparation for the IPO, the Mumbai-based firm intends to raise around Rs 120 crore through a pre-IPO placement. This amount will be deducted from the total IPO size if the placement is carried out.

Siddharth Shah, along with Ronak Kishor Morbia, Bhavik Jayesh Khara, Jasmine Bhaskar Shah, Priyanka Bhaskar Shah, Bhaskar Shah, Aspire Family Trust, and Priyanka Shah Family Trust, is one of the company's promoters.

The proceeds from the IPO will be allocated as follows: Rs 204.6 crore for debt repayment, Rs 177 crore to fund working capital requirements, Rs 48 crore for investment in subsidiary Buildmex-Infra Pvt Ltd, Rs 20.4 crore for purchasing partial shareholding from existing shareholders of subsidiary ArisUnitern Re Solutions Pvt Ltd, and the remaining amount for general corporate purposes and unidentified inorganic acquisitions.

ArisInfra Solutions focuses on simplifying and digitising the procurement process for construction materials through a B2B technology-enabled platform.

From April 1, 2021, to March 31, 2024, the company delivered 10.35 million metric tonnes of construction materials, including aggregates, ready-mix concrete, steel, cement, construction chemicals, and walling solutions, using 1,458 vendors and serving 2,133 customers across 963 pin codes in various cities.

JM Financial, IIFL Securities, and Nuvama will serve as the book-running lead managers for the public issue.

(With inputs from agencies.)