Credila Financial Services files for $584 million IPO

Credila Financial Services on Thursday filed for an initial public offering worth 50 billion rupees ($583.76 million), a draft prospectus showed.

The company’s IPO consists of a fresh issue of shares worth 30 billion rupees, while existing shareholders HDFC Bank and Kopvoorn B.V. will sell shares worth 20 billion rupees.

Proceeds from the offering will be used to boost the firm’s capital base.

The offering comes as foreign investors return to Indian stocks after a major exodus, attracted by big-ticket block trades, which often precede a recovery in IPOs.

Six IPOs are open for bids this week, including HDB Financial’s $1.5 billion offering, the biggest ever by an Indian non-bank lender.

Citi, Goldman Sachs’ India unit, Jefferies, IIFL Capital and Axis Capital are bookrunners for the Credila offering. Founded in 2006, Credila is a non-banking financial company which offers education loans. ($1 = 85.6520 Indian rupees) (Reporting by Manvi Pant in Bengaluru; Editing by Shailesh Kuber)