Wonderla to raise Rs 250 crore of equity funds through PE and IPO route

Baring Private Equity Partners India and India Value Fund (IVF) are in advanced stage of talks with Wonderla Holidays to pick up 5-7% of equity stake.

This is part of the pre-IPO ( initial public offering) placement wherein one the private equity companies that picks up stake will act as anchor client for the IPO,

It is in now the process of setting up two more parks - one each in Hyderabad and Chennai, involving Rs 250 crore per park, taking the total capital expenditure to around Rs 500 crore.

Wonderla is looking at raising Rs 250 crore of equity funds through PE and IPO route and the balance through internal accruals and debt funds from lending institutions, he said. The company, which currently enjoys an EBITDA (earnings before interest, taxation, depreciation and amortisation) margin of around 55%, is in the process of appointing merchant bankers to tap the capital market during next quarter

Source: ET