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(Reuters) -Dutch tank storage company Koninklijke Vopak said its Indian joint venture Aegis Vopak (AVTL) filed for an initial public offering (IPO) of 35 billion rupees ($414.75 million) on Tuesday with the Securities and Exchange Board of India.
"The formal approval process with SEBI is expected to take several months", it said in a statement.
The IPO consists of a fresh issue of shares, with the parent company not diluting any stake. The proceeds from the IPO will mainly be utilised for re-payment of debt and for acquiring a cryogenic liquefied petroleum gas (LPG) terminal in the Indian city of Mangalore.
Aegis Vopak, in which Aegis Logistics has a 50.1% stake and Koninklijke Vopak holds over 47%, is among India's largest operators of tank storage terminals for LPG and liquid products.
Domestic LPG demand has remained strong over the past few years, with government initiatives and a rise in industrial activity providing significant support to the sector, AVTL's draft prospectus showed citing data from the Petroleum Ministry and analytics firm CRISIL.
The Indian IPO market has been booming in 2024, with 290 companies raising more than $15.5 billion as of mid-November, which is more than double the amount raised last year, data compiled by LSEG showed.
The red-hot IPO market, however, has recently shown some signs of cooling amid underwhelming corporate earnings and an exodus of foreign funds.
($1 = 84.3880 Indian rupees)
(Reporting by Mathias de Rozario and Nishit Navin, Editing by Louise Heavens and Krishna Chandra Eluri)