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Delta Corp subsidiary Deltatech Gaming files its DRHP for Rs. 550 crore IPO

  • Jun 17, 2022, 02.30 PM
  • DealMoney News Service

Deltatech Gaming Limited, a digitally native, technology led gaming platform, delivering a gamer-centric gaming experience across its various offerings files its Draft Red Herring Prospectus (DRHP) with the markets regulator, Securities and Exchange Board of India (SEBI), to raise Rs. 550 crore through an initial public offering (IPO).

The issue with a face value of Re 1 per equity share consists of a fresh issue of equity shares worth up to Rs. 300 crore and an offer-for-sale (OFS) of Rs. 250 crore by Delta Corp Limited. The offer also includes a reservation for subscription by eligible employees and Delta shareholders.

The Offer is being made through the Book Building Process, wherein not less than 75% of the Offer shall be available for allocation to Qualified Institutional Buyers, not more than 15% of the Offer shall be available for allocation to Non-Institutional Bidders and not more than 10% of the Offer shall be available for allocation to Retail Individual Bidders.

Additionally, the company, in consultation with the lead bankers to the issue may consider a preferential issue of equity shares or any other method aggregating up to Rs. 50 crore. If such placement is completed, the fresh issue size will be reduced.

The proceeds from its fresh issuance worth Rs. 150 crore will be utilised for Organic growth, through marketing and business promotion activities, to attract new gamers and retain existing gamers, Rs. 50 crore for strengthen the technology infrastructure to develop new capabilities, maintain and manage its existing platform and general corporate purposes.