Cloudnine files papers for IPO

Kids Clinic India Ltd, which operates super-specialty mother and babycare chain Cloudnine, has filed preliminary prospectus with Sebi to raise Rs 1,200 crore through an initial share-sale.

The initial public offering (IPO) consists of a fresh issue of equity shares worth up to Rs 300 crore and an offer-for-sale (OFS) of up to 13,293,514 equity shares by existing shareholders, according to the draft red herring prospectus (DRHP). Dr R Kishore Kumar, Scrips ‘N’ Scrolls India Pvt Ltd, True North Fund V LLP, Indium V (Mauritius) Holdings Ltd, and Sequoia Capital Investment are among the key shareholders selling shares in the IPO.

The offer also includes a reservation for a subscription for eligible employees. As per market sources, the company is looking to raise around Rs 1,200 crore through the IPO. Proceeds from fresh issuance worth Rs 95 crore will be used for debt payment, Rs 117.90 crore for setting up seven new Mother and Baby centres at various locations over the next few years, Rs 12.71 crore for acquisition of 49 per cent stake in its subsidiary, Acquity Labs besides general corporate purposes. Cloudnine was founded by Kumar and Rohit MA, started its first centre in Bengaluru in 2006. (PTI)