In IPO parlance, an Observation Letter is a formal communication issued by Sebi after it reviews the Draft Red Herring Prospectus (DRHP) filed by a company. An Observation Letter is Sebi’s clearance that the company can proceed with its IPO, subject to full disclosures.
Pine Labs IPO
Pine Labs is an Indian fintech company, founded in 1998, that provides technology solutions for merchants to accept and manage payments, both online and offline. Its IPO will be a mix of fresh issue and offer for sale (OFS). Sebi had received its draft papers on July 3. The observation letter was issued on September 11.
Hero Motors IPO
Promoted by Pankaj Munjal, Charu Munjal, Abhishek Munjal AND O P Munjal Holdings, Hero Motors is an auto components maker. Its issue will also be a mix of fresh issue and OFS. Sebu received its papers June 30. The observation letter was issued on September 12.
Canara Robeco Asset Management Company IPO
One of the oldest mutual fund companies in the country, Canara Robeco AMC’s IPO will be entirely an OFS. It had filed its IPO papers with Sebi on June 28. The observation letter was issued on September 10.
Manipal Payment And Identity Solutions
Manipal Payment and Identity Solutions Ltd (MPISL) is India’s largest banking and smart card manufacturer. It offers comprehensive card services including creation, designing, manufacturing and delivering it to customers, including public and private sector banks, fintech companies, and government departments. It got the Sebi nod on September 2.
Orkla India Limited
Orkla India, the company behind popular spice and condiment brand MTR, had filed its DRHP with Sebi on June 11. The issue is a complete offer for sale (OFS) of 2.28 crore equity shares by the promoter and existing shareholders. The observation letter was issued on September 12.
Emmvee Photovoltaic Power
Emmvee Photovoltaic Power’s IPO will be a mix of fresh issue and OFS. Promoters Manjunatha Donthi Venkatarathnaiah and Shubha Manjunatha Donthi will offer their shares. It is a solar panel manufacturer with a substantial market share in India, Europe, Africa, and the Middle East. The observation letter was issued on September 9.
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