Micromax acquires 10 per cent stake through IPO

Indian handset maker, Micromax has acquired ten per cent stake through an initial public offer with the approval of market regulator Securities Exchange Board of India (SEBI). According to SEBI data, the company had filed draft red herring prospectus on September 29, 2010 and was given the market regulator's approval on January 14 this year.

The company will be offering 2.15 crore shares and it may consider a discount of 10 per cent on the IPO issue price for retail investors. The firm is raising funds for establishment of a new handset manufacturing plant, enhancement of the Micromax brand, investment in acquisitions and other strategic initiatives and for general corporate purposes. The company eyes a revenue of Rs 2,500 crore this fiscal, as it expands its operations globally and strengthens its product portfolio.