FirstMeridian Business Services' IPO gets SEBI nod

Staffing firm FirstMeridian Business Services Ltd's initial public offering (IPO) has received capital markets regulator Securities and Exchange Board of India's (SEBI) nod to raise up to ₹800 crore through the initial share sale.

FirstMeridian Business Services' IPO will consist of a fresh issue of equity shares worth up to ₹50 crore and an Offer for Sale (OFS) worth up to ₹750 crore by promoters and existing shareholders.

As a part of the OFS, promoter Manpower Solutions Limited will sell shares worth ₹665 crore while existing shareholders New Lane Trading LLP and Seedthree Trading LLP would sell shares worth ₹45 crore and ₹40 crore, respectively, as per the company's draft red herring prospectus (DRHP) filed with the SEBI that it had filed in May this year.

The company in its IPO papers said it plans to utilise the net proceeds from the fresh issue towards the payment of debt and general corporate purposes.

FirstMeridian was founded in 2018 and provides a wide range of services, including general staffing and allied services. It offers solutions for contract staffing, workforce automation, trade marketing, and global technology through short and long-term technology contract staffing.

Adani Ports and Special Economic Zone, Dell International Services India, PhonePe, Usha International, Exide Industries and Eureka Forbes are some of the company's key clients.

The firm, based in Bengaluru India, also provides other HR services like permanent recruitment, recruitment process outsourcing, pharmaceutical and healthcare staffing, facility management and engineering and technical staffing solutions.

The company has a pan-India presence with over 50 branch offices for sourcing and recruitment in 75 cities as of March 2022.