Future Retail has filed a draft letter of offer with SEBI – the market regulator to raise up to Rs 1,600 crores via a rights issue.
As per the document, Kishore Biyani promoted Future Retail would issue certain classes of shares to its existing shareholders through a rights issue.
Future Retail would issue equity and Class B shares and raise Rs 1,600 crores from the same.
The funds raised from the issue would be used towards repayment and pre-payment of certain borrowings of Future Retail and for general corporate purposes, the document said.
Future Retail is the flagship company of the Future Group and as of March 31, 2014, operates 321 stores in 98 cities across India.
It operates in various formats which include apparels, accessories, footwear, electronics, consumer durables, food, etc.
