Ebix Indian unit files for IPO

Ebix Inc.'s Indian unit, EbixCash Ltd., filed a draft red herring prospectus for its planned IPO with the Securities and Exchange Board of India.

The company's initial share sale will comprise a fresh issue of up to 60 billion rupees of equity shares. Each share that will be on offer has a face value of 1 rupee.

The equity shares are proposed to be listed on BSE Ltd. and National Stock Exchange of India Ltd. Other terms for the offering, including the price band and the minimum bid lot size, are yet to be determined.

EbixCash intends to use the net proceeds from the offering as working capital of its Ebix Travels Pvt. Ltd. and EbixCash World Money Ltd. subsidiaries, to purchase outstanding compulsorily convertible debentures from Ebix Asia Holdings Inc. Mauritius, finance strategic acquisitions and investments, as well as for general corporate purposes.

The company noted in the prospectus that it might also consider a pre-IPO placement for up to 12 billion rupees.

Motilal Oswal Investment Advisors Ltd., Equirus Capital Pvt. Ltd., ICICI Securities Ltd., SBI Capital Markets Ltd. and Yes Securities (India) Ltd. are the bookrunning lead managers to the offer, while Link Intime India Pvt. Ltd. is the registrar to the issue.

As of March 10, US$1 was equivalent to 76.40 Indian rupees.