Hexagon Nutrition has received approval from financial market regulator Sebi to raise up to Rs 600 crore through an initial public offering (IPO).

The company’s public offering consists of a new issue of capital shares totaling Rs. ).

The SFO includes the sale of up to 77 lakh shares by Arun Purushottam Kelkar, up to 61.36 lakh shares by Subhash Purushottam Kelkar, up to 15 lakh shares by Anuradha Arun Kelkar, up to 25 lakh shares by Nutan Subhash Kelkar, up to 1.22 crore shares by Somerset Indus Healthcare Fund I Ltd and up to 73,668 shares by Mayur Sirdesai.

Hexagon Nutrition, which filed preliminary IPO documents with Sebi in December 2021, obtained its comment letter on March 4, 2022, an update with the regulator showed Monday.

In Sebi parlance, his observation implies his green light to initiate the initial stock sale.

According to market sources, the issue size will be around Rs 500-600 crore.

Proceeds from the new issue will be used to pay down debt, fund additional working capital requirements, support capital expenditures for the expansion of an existing facility, invest in a subsidiary and fund capital expenditures in the existing facility and general business needs.

Hexagon Nutrition, based in Mumbai, is a fully integrated company engaged in product development and commercialization, including research and development and manufacturing of nutritional products.

Founded by Arun and Subash Kelkar in 1993, Hexagon Nutrition began as a player in micronutrient formulations, and today it has moved up the value chain to develop brands like Pentasure, Obesigo and Pediagold, which are premier names plan in health, wellness and clinic. food space.

In 2016, offshore private equity firm Somerset Indus Healthcare Fund-I, together with Mayur Anand Sardesai, advisor and director of Somerset Health Capital Advisors, invested Rs 25 crore for a 10% stake in the company.

Hexagon Nutrition had set up a trading company in South Africa in 2019 and plans to build a facility there. The company is also in the process of setting up a factory in Uzbekistan which is expected to start operations by the first quarter of 2022.

Equirus Capital and SBI Capital Markets are the lead managers of the issue.

(This story has not been edited by the Devdiscourse team and is auto-generated from a syndicated feed.)