Dainik Bhaskar publishers to raise Rs 385 Cr via IPO

DB Corporation, publishers of 'Dainik Bhaskar' and 'Divya Bhaskar', will launch its Initial Public Offering (IPO) to rise about RS 385 core ($ 83 million).

The company has fixed the price brand of the IPO at RS 185-212 per share. The issue opens on Friday i.e. December 11 2009 and remains till Tuesday i.e. December 15 2009.

Three sources - Citigroup, Kotak Mahindra and Enam Securities are lead arrangers for the issue and have the direct knowledge of the deal.

Dainik Bhaskar is also looking to raise nearly RS 270 crore, which will be done with the fresh issue.

DB Corporation plans to use the proceeds for setting up new publishing units, upgrading existing plant and machinery, enhancing brand image through sales and marketing, reducing existing working capital loans and prepaying existing term loans.