Rashi Peripherals to open its IPO on 7 February

Rashi Peripherals ("RP Tech”) in terms of revenues and distribution network in Fiscal 2023 has fixed the price band of ₹295 to ₹311 per Equity Share for its initial public offer (“IPO” or “Offer”).  The IPO will open on Wednesday, February 7, 2024, for subscription and close on Friday, February 9, 2024. Investors can bid for a minimum of 48 Equity Shares and in multiples of 48 Equity Shares thereafter.

The issue is entirely a fresh issue of Equity Shares aggregating to ₹ 6,000 million with no offer for sale component.

Out of the net proceeds from the fresh issue, an amount up to ₹ 3,260 million will be used for prepayment or scheduled re-payment of all or a portion of certain outstanding borrowings availed by the Company, up to ₹ 2,200 million will be for funding working capital requirements of the Company and the balance amount from the net proceeds will be utilised for general corporate purposes.

Rashi Peripherals was incorporated in 1989. It is one of the fastest growing distribution partners for global technology brands in India in terms of revenue growth between Fiscal 2021 and Fiscal 2023, according to a Technopak report dated January 19, 2024 mentioned in the red herring prospectus dated January 29, 2024. It differentiates itself by offering end-to-end value-added services such as pre-sale activities, solutions design, technical support, marketing services, credit solutions and warranty management services. As of September 30, 2023, it is a national distribution partner for 52 global technology brands.

It has a pan-India distribution network comprises 50 branches that operate for sales and as service centers and 63 warehouses, covering 680 locations in India, as of September 30, 2023.

The Mumbai-based company is a national distribution partner of global technology brands in various categories.

RPTech aims to expand its geographic presence in non-metro cities which includes tier I and tier II cities and other rural geographies which are becoming centre of consumptions for ICT products such as personal computers, smartphones, internet devices, networking devices, according to the Technopak Report.

JM Financial and ICICI Securities are the book running lead managers to the Offer.