Nagpur based infrastructure firm Abhijeet Group plans to raise about INR 1,500 crore fresh equity through an initial public offering to part finance its expansion plans including those in power sector. As per report it would file the draft papers in this regard with Securities and Exchange Board of India this month.

Mr Abhishek Jayaswal MD of Abhijeet Group said that "We are planning to hit the market in April, next year...file the papers with SEBI by the end of this month and expecting to raise about INR 1500 crore.”

The company which funds its projects at a debt equity ratio of 80:20 has tied up loans from Axis Bank, SBI, Punjab National Bank, Rural Electrification Corp and Power Finance Corp.

The company recently signed a USD 2.5 billion deal with the Chinese power equipment maker DongFang for sourcing equipment for its power projects.

Mr Jayaswal said that "We have signed a BTG (boiler, turbine, generator) and EPC (engineering, procurement, construction) contract for our thermal power projects in Bihar, Jharkhand and Madhya Pradesh with DongFang.”

The proceeds from the IPO would also be used to finance this deal with the Chinese firm.

(Sourced from ET)