What is Torrent Gas planning for its future funding?

Torrent Gas is planning an Initial Public Offering (IPO) that could raise up to $450 million.

How much money could Torrent Gas's IPO raise?

The IPO is expected to raise as much as $450 million.

What will Torrent Gas use the IPO funds for?

The proceeds are intended to fund capital expenditures and reduce company debt.

Home / Business and Economy / India's Torrent Gas Eyes $450M IPO

India's Torrent Gas Eyes $450M IPO

2 Dec

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Summary

Torrent Gas hires three banks for a potential $450 million IPO.
Proceeds will fund capital expenditure and debt reduction.
The IPO tests investor interest in city-gas distributors.

Torrent Gas Ltd., a key player in India's city-gas distribution sector, is gearing up for a significant Initial Public Offering (IPO). The company has engaged three major financial institutions—Axis Bank Ltd., Kotak Mahindra Capital Co., and Citigroup Inc.'s local unit—to manage the planned share sale, which analysts anticipate could raise as much as $450 million.

The primary objectives for this public offering are to secure funds for capital expenditure and to reduce the company's outstanding debt. This strategic financial move comes at a time when India's IPO market is experiencing a robust period, with energy and infrastructure companies leading the surge in fundraising activities.

Torrent Gas operates city gas distribution networks, supplying compressed natural gas to vehicles and piped natural gas to residential, commercial, and industrial clients across seven Indian states and one union territory. This IPO will serve as a crucial test of investor confidence in city-gas distributors as they expand operations to align with the government's focus on cleaner energy solutions.

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