New Delhi: Hong Kong-listed FIH Cellular’s India subsidiary Bharat FIH filed draft purple herring prospectus (DRHP) for its preliminary public providing (IPO) of Rs 5,004 crore ($662.97 million) on Wednesday, in line with a report by Reuters.
Shares of FIH Cellular, a unit of Apple Inc provider Foxconn, surged 6.7 per cent earlier within the day after the corporate proposed the itemizing of Bharat FIH.
In line with the draft papers filed with market regulator SEBI, Foxconn’s public subject would come with a recent subject of fairness shares value Rs 2,500 crore and a proposal on the market (OFS) by current shareholders value Rs 2,500 crore by promoter group and Foxconn unit Great Stars, the prospectus stated.
Kotak Funding Banking, Citigroup International Markets India, BNP Paribas and HSBC Securities, and Capital Markets India are the bankers to the difficulty.
Bharat FIH is an digital manufacturing providers supplier in India and had a market income share of 15 per cent in FY21, in line with the prospectus.
The corporate commenced operations in 2015 and has targeted on manufacturing cellphones. Since March 2021, the corporate has expanded into different providers, together with mechanics, electrical autos, televisions and hearables.
Bharat FIH manufactures and assembles Xiaomi’s cellphones in India. In FY19, FY20, and FY21 and the six months ended 30 September 2021, Xiaomi accounted for 87.81 per cent, 89.05 per cent, 94.24 per cent, and 96.13 per cent of their income from operations for these intervals.
Bharat FIH’s IPO comes at a time Foxconn’s plant close to Chennai will stay shut this week following protests sparked by a meals poisoning incident, in line with sources.