MUMBAI: Odisha based last mile owner (LMO) Ortel Commnications has filed its draft red herring prospectus (DRHP) for its proposed initial public offering (IPO) with the securities and exchange board of India (SEBI). Ortel Communications CEO BP Rath confirmed the news to indiantelevision.com.

The LMO is looking at a public issue of 14,182,598 equity shares of face value of Rs 10 each. The IPO may raise as much as Rs 360 crore.

It consists of 60 lakh shares from the company and an offer for sale of up to 81.82 lakh shares by New Silk Route (NSR) that currently owns a 35 per cent share in the LMO. This would mean Ortel ending up with nearly Rs 150 crore and NSR exiting with Rs 200 crore.

The deal is being handled by Kotak Mahindra Capital. It also has the option for a pre IPO sale of up to 25 lakh equity shares to generate up to Rs 65 crore.

NSR has been keen to exit the business for quite some time. With this fresh infusion that Ortel is expecting, the LMO plans to grow its cable and broadband business in Odisha as well as neighbouring states such as Andhra Pradesh, Chhattisgarh, West Bengal etc.