IPO-Bound Infra.Market Eyes Reverse Listing Via Shalimar Paints In ₹10,440 Cr Share Swap

Shalimar Paints is considering acquiring equity shares and CCPS of Infra.Market through a proposed ₹10,439.91 Cr share swap

As a part of this, Infra.Market’s existing shareholders would transfer their equity shares and CCPS of Hella Infra Market to Shalimar Paints

If the transaction goes through, Hella Infra Market may become an unlisted material subsidiary of Shalimar Paints

Building materials unicorn Infra.Market is exploring a reverse-listing route through Shalimar Paints, with the listed paints company considering acquiring equity shares and CCPS of Infra.Market parent Hella Infra Market Ltd through a proposed ₹10,439.91 Cr share swap.

Under the proposal, Infra.Market’s existing shareholders would transfer their equity shares and CCPS of Hella Infra Market to Shalimar Paints. In return, they would receive equity shares and CCPS of the listed paints company based on a swap ratio determined through independent valuation reports.

If the transaction goes through, Hella Infra Market may become an unlisted material subsidiary of Shalimar Paints.

The proposal could effectively bring Infra.Market’s business under an existing listed structure, giving the unicorn an alternative route to the public markets. Shalimar Paints described the proposed transaction as paving the way for a “listed building materials platform”. 

“This is a rare opportunity to bring a business of Infra.Market’s scale and ambition into the public markets through a company with Shalimar’s legacy and governance framework,” Shalimar Paints said in a statement.

The board has been asked to consider approving the transaction in principle and convening an extraordinary general meeting to seek the requisite shareholder approvals, the statement added.

The development comes nearly seven months after Infra.Market received SEBI’s approval for a potential IPO. 

(The story will be updated soon)

Source: Inc42 - Startups