IndiaMart IPO subscription opens

IndiaMart InterMESH Limited's Initial Public Offer (IPO) opened for subscription on Monday, reports NDTV Online.

Delhi-based IndiaMart InterMESH is an online marketplace and a business-to-business (B2B) classifieds platform connecting buyers with suppliers.

The company enables the discovery of products across 50 industry categories.

IndiaMart provides lead-generation services to sellers listed on its platform and earns revenue through subscription fee paid by the sellers. As of financial year 2018-19, the company had 55 lakh sellers listed on its platform with products across 97,000 categories.

The number of suppliers using paid services has increased from 72,000 in fin ancial year 2015-16 to 130,000 in 2018-19, Angel Broking said in a note.

IndiaMart's IPO is worth Rs. 476 crore and comprises an offer for sale (OFS) by promoters.

IndiaMart promoters Dinesh Chandra Agarwal and Brijesh Agrawal along with Intel Capital (Mauritius), Amadeus IV DPF Limited and Accion Frontier Inclusion Mauritius are selling 2,076,190 shares, according to the red herring prospectus filed with the SEBI. After the IPO, the promoter holding of Dinesh Chandra Agarwal and Brijesh Agrawal will fall to 53 per cent from 58 per cent, Angel Broking said.

IndiaMart is selling equity shares of face value of Rs. 10 each in the price band of Rs. 970-973 per share between June 24 and 26.

The issue size at the upper band of the price band values the company at Rs. 476 crore.

Investors can bid for shares in the IPO in the lot size of 15 shares.