Persistent Systems Ltd has filed its DRHP with SEBI on 15th October 2007, for fresh issue of 40, 08,920 shares and an offer for sale of 9, 65,916 shares.
Net issue to the public is of 45, 73,944 shares of Rs 10 each and reservation of 4, 00,892 shares for employees. The issue would constitute 12.48 per cent of fully diluted post issue paid-up capital.
Out of the net issue, 27, 44,367 shares are reserved for qualified institutional buyers, 4, 57,394 shares for non-institutional investors and 13, 72,183 for retail investors.
The company plans to take the book building route and the BRLMs to the issue are Enam Securities, Morgan Stanley and JM Financial Consultants. The stock proposes to get listed on the BSE and NSE.
The company is making the issue to mainly fund the expansion of all its offices and increase its employee strength.
Been in existence for the last 17 years, the company specializes in outsourced software product development, offering customers the benefits of offshore delivery. It delivers services across all stages of the product life cycle. It created an innovative suite of time-to-market accelerators and tools.
For the year ended 31st March 2007, the company posted a revenue of Rs. 314 crore and net profit stood at Rs.55 crore. The company added 64 new customers (including license sales) and increased its employee strength from 2,400 in FY 06 to 3,020 in FY 07.