The promoters have appointed Citigroup Capital Markets and Kotak Mahindra Capital to help them with the IPO plans. “The testprep company has expansion plans for which it is planning to raise money through a public share sale,“ a banker aware of the development said.
Launched in 1988 by JC Chaudhry, the New Delhibased coaching company started with training medical aspirants for national entrance exams. In 2007, the group entered into coaching students for the IIT-JEE entrance and conducts natio nal talent hunt exams to pick pupils and groom them for IIT entrance tests across the country. Aakash has 135 classroom centres, 78 corporate branches, 57 franchise centres and 3,500 employees.
Early this year, the company launched a Rs 250-crore, 230-bed super-speciality hospital in Dwarka, New Delhi. Media reports said that it has plans for four more hospitals before starting a medical college.
“This company offers an education-cum-healthcare exposure to investors and, hence, it will be an attractive proposition to sell,“ said another investment banker with knowledge of the development. “Initial work has begun and both the banks will streamline and prepare the company for listing,“ the source said.
“AESPL has interest in going public with an IPO. The amount of raise, timing of IPO, bankers choice, etc will be finalised in a year’s time as the plan for IPO crystallises,“ Chaudhry said in an emailed response to ET.
It has not been a smooth ride for public market investors in the education sector.