Diamond jewellery maker C Mahendra Exports' initial public offer,through which it expects to mop-up Rs 165 crore,will open for subscription tomorrow. "C Mahendra Exports Ltd is entering the capital market on December 31,2010," it said in a statement issued here today. The initial public offering will be launched on December 31 and closes on January 6. The firm is entering the primary market with 1.5 crore equity shares of Rs 10 each at a price to be through a 100 per cent book building process. Mahendra Exports which has fixed a price band of Rs 95 to 110,expects to raise funds in the range of Rs 142.50 crore to Rs 165 crore. Meanwhile,the company said that at least 50 per cent of the issue would be allocated to Qualified Institutional Buyers,about 35 per cent of the issue would be available for retail bidders and about 15 per cent for non institutional investors. The company plans to utilise the proceeds of the issue for setting up a diamond processing unit at Gujarat and setting up a jewellery manufacturing unit at Mumbai. Besides,the company is also looking at setting up retail outlets and financing its brand development expenses. Yes Bank and Anand Rathi Advisors are the book running lead managers to the issue.
