Rashi Peripherals Limited, known as RP Tech, has announced the pricing details for its upcoming initial public offering (IPO), setting the price band at ₹295 to ₹311 per Equity Share. The IPO is scheduled to open for subscription on February 7, 2024, and will conclude on February 9, 2024. Investors have the option to bid for a minimum of 48 Equity Shares, with subsequent bids in multiples of 48 Equity Shares.
The IPO consists solely of a fresh issue of Equity Shares, totaling ₹6,000 million, and does not include an offer for sale component. The net proceeds from the fresh issue will be allocated for various purposes. An amount of up to ₹3,260 million will be used for the prepayment or scheduled repayment of certain outstanding borrowings, while ₹2,200 million is earmarked for funding the working capital requirements of the company. The remaining balance from the net proceeds will be utilized for general corporate purposes.
Established in 1989, Rashi Peripherals Limited has emerged as one of the rapidly growing distribution partners for global technology brands in India. According to a report by Technopak dated January 19, 2024, the company achieved significant revenue growth between Fiscal 2021 and Fiscal 2023. The firm differentiates itself by providing comprehensive value-added services, including pre-sale activities, solutions design, technical support, marketing services, credit solutions, and warranty management services.
As of September 30, 2023, Rashi Peripherals serves as a national distribution partner for 52 global technology brands. The company’s extensive pan-India distribution network comprises 50 branches operating as sales and service centers, along with 63 warehouses covering 680 locations in India.
Headquartered in Mumbai, Rashi Peripherals is recognized as a national distribution partner for various global technology brands across diverse product categories such as personal computing, mobility, enterprise solutions, embedded solutions, components, lifestyle products, storage and memory devices, power, and accessories. Some of the prominent brands it distributes for include ASUS Global Pte. Ltd., Dell International Services India Private Limited, HP India Sales Private Limited, Lenovo India Private Limited, Logitech Asia Pacific Limited, NVIDIA Corporation, Intel Americas, Inc., and more.
The company aims to enhance its geographic presence by expanding into non-metro cities, including tier I and tier II cities, and other rural areas that have become significant consumption centers for information and communication technology (ICT) products like personal computers, smartphones, internet devices, and networking devices.
JM Financial Limited and ICICI Securities Limited have been appointed as the book running lead managers for the IPO, overseeing the offering process. The IPO is expected to attract attention from investors keen on participating in the growth of India’s technology distribution sector.
In summary, Rashi Peripherals Limited has set the stage for its IPO, presenting an opportunity for investors to engage in the growth potential of a leading player in the distribution of global technology brands in India. The IPO proceeds will be strategically utilized to address financial obligations, support working capital needs, and contribute to the company’s general corporate objectives.
