Merchant Banking sources on Thursday said that Route Mobile would launch its Initial Public Offerings (IPOs) next week, to raise an estimated capital of Rs 600 crore.

As per the Draft Red Herring Prospectus (DRHP) filed by the company, the public offerings would comprise a new issue of Rs 240 crore and an Offer For Sale (OFS) of Rs 360 crore by the promoters Y Sandipkumar Gupta and Rajdipkumar Gupta. The draft papers noted that a Pre-IPO placement of Rs 100 crore is considered under consultation with the Book Running Lead Managers (BRLMs), that will reduce the size of the offer. ICICI Securities, Axis Capital, IDBI Capital Markets & Securities and Edelweiss Financial Services are the managers of the issue.

Earlier, the company had received approval to float its IPOs from markets regulator Sebi in December 2019. The cloud communications service provider had filed for its IPO in January, and the document was later refiled in October 2019. According to the sources, the company, after receiving the approval to launch its IPO, failed to bring IPO due to the unfavourable market conditions.

Apart from Route Mobile, IT services firm, Happiest Minds Technologies will also open its public subscription for Rs 702 crore during 7-9 September 2020.