TVS Supply Chain Solutions, part of TVS Mobility Group, has received capital markets regulator Sebi’s go-ahead to raise funds through an initial public offering (IPO).

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The IPO comprises a fresh issue of equity shares aggregating up to Rs 750 crore and an Offer for Sale (OFS) of over 2 crore equity shares by promoters and existing shareholders, according to the draft red herring prospectus.

Those offering shares in the OFS include Omega TC Holdings Pte. Ltd, Tata Capital Financial Services Ltd, Mahogany Singapore Company Pte. Ltd, TVS Motor Company Ltd, Kotak Special Situations Fund, Andrew Jones, Ramalingam Shankar, Ethirajan Balaji, Dinesh Narayan, and Sargunaraj Ravichandran.

The company, which filed fresh preliminary IPO papers in April, obtained its observation letter on July 18, an update with the Securities and Exchange Board of India (Sebi) showed on Tuesday.

In Sebi’s parlance, its observations mean approval to launch the public issue.

Going by the draft papers, proceeds from the fresh issue will be utilised for payment of debt availed by the company and its subsidiaries — TVS LI UK and TVS SCS Singapore — and for general corporate purposes.

TVS Supply Chain Solutions (TVS SCS), an integrated supply chain solutions provider, is present in over 25 countries.

TVS SCS is promoted by the erstwhile TVS Group and is now part of the TVS Mobility Group, which has four business verticals — supply chain solutions; manufacturing; auto dealership, and aftermarket sales and service.

JM Financial, Axis Capital, J P Morgan India, BNP Paribas, Edelweiss Financial Services, and Equirus Capital are the book-running lead managers to the IPO.

In addition, the capital markets regulator has given its go-ahead to Pyramid Technoplast to mobilise funds through an initial share-sale. The company filed draft IPO papers in March.