SBI Life Insurance, Prataap Snacks IPOs to hit market this week; eye Rs 8,882 cr

Its' raining IPOs on Dalal Street and this week is no exception. After the initial public offers of Matrimony.com (September 11 to September 13), Capacit'e Infraprojects (September 13 to 15) and ICICI Lombard General Insurance (September 15-19) last week, SBI Life Insurance, a subsidiary of the country's largest lender SBI, is hitting the capital market on September 20 to raise up to Rs 8,400 crore.

The issue closes on  September 22. Indore-based snacks maker Prataap Snacks, also plans to raise Rs 482 crore via its IPO from September 22 (Friday).

We look at the two IPOs which open this week.

Also read: SBI Life Insurance's billion-dollar IPO to open on September 20

SBI Life Insurance IPO

SBI Life Insurance plans to raise Rs 8,400 crore through the share sale for which the price band has been fixed at Rs 685 to Rs 700 per share. The equity shares will be listed on the BSE and NSE.

SBI and BNP Paribas Cardif (BNPPC) - the insurance holding company of France hold 70.10 per cent  and 26 percent stake in SBI Life, respectively.

During the initial public offer, State Bank of India (SBI) will dilute up to 8 crore shares while BNP Paribas Cardif SA will offload up to 4 crore shares.

After the listing of ICICI Prudential Life Insurance last year, SBI Life will become the second life insurer to go public.

Prataap Snacks IPO

Indore-based snacks maker Praatap Snacks will commence its IPO on September 22.

The issue, with a price band of Rs 930-938 per equity share, will close on September 26.

The Rs 482-crore issue includes Rs 200 crore through fresh equity issue and the rest from offer for sale.

The company will also offer a discount of Rs 90 per share to eligible employees.

The firm plans to use the proceeds to expand its chips making capacity by 50 per cent and double that of namkeens. It will also use the funds for marketing and brand building activities and to retire the debt on its books.

Prataap Snacks sells its products under the Yellow Diamond brand.The firm owns and operates three manufacturing facilities, one located at Indore, Madhya Pradesh and the other two located at Guwahati, Assam.

Sequoia Capital currently holds 63.15 percent in Prataap Snacks.

Prataap Snacks has appointed Edelweiss Financial Services Ltd, JM Financial Institutional Securities Ltd and Spark Capital Advisors (India) Pvt. Ltd to manage its public offering.