AGS Transact Technologies, a payment solutions provider has received SEBI’s official nod to launch an initial public offering (IPO). The company was recently backed by private equity firms TPG Growth and Actis until a few months ago.
The Securities and Exchange Board of India (SEBI) issued final observations to AGS Transact’s IPO proposal on 26 October. AGS had filed its draft red herring prospectus (DRHP) with SEBI in mid-August.
With this nod, SEBI, as of now, has approved 62 IPO proposals in2018. In 2017, the regulatory authority cleared 46 IPO proposals. AGS’ Rs 1,000-crore IPO comprises fresh shares worth Rs 400 crore apart from equity of promoter Ravi Goyal and other individual shareholders worth Rs 600 crore.
Also, AGS Transact may raise Rs 150 crore in pre-IPO placement as part of the overall public offering process. With this, the company has made its third attempt to go public. The firm had previously filed its draft proposals with SEBI in 2010 and 2015.
The company’s IPO is being managed by ICICI Securities, Axis Capital, HDFC Bank, IIFL Holdings, IndusInd Bank and Nomura Financial Advisory and Securities (India) Pvt Ltd.
Talking more about the company, AGS Transact was established in 2002 and is one of the leading providers of end-to-end cash and digital payment solutions and automation technology. The company majorly provides services in three segments that are payment solutions, banking automation solutions, and other automation solutions.
It also offers customised products and services comprising ATM outsourcing and cash management, as well as digital payment solutions including merchant solutions, transaction processing services and mobile wallets.