CIEL HR Services has raised ₹30 crore from a group of investors including Zoho Corporation, Pegasus India and Standard Fireworks as part of a pre-IPO placement, strengthening its balance sheet ahead of a planned market listing.
The Chennai-based human resources solutions provider allotted 27,27,272 equity shares at ₹110 each to 88 investors, aggregating to ₹30 crore, the company said in a public announcement. PTI first reported the fundraise.
The board approved the pre-IPO placement on November 17, followed by shareholder approval at an extraordinary general meeting on November 28, the company said.
Apart from Pegasus India Evolving Opportunities Fund, Zoho Corporation and Standard Fireworks, the investor list includes Prime Securities, 24 Mantra Organic founder Rajashekar Reddy Seelam, KTV Oil Mills and KTV Health Foods promoter KTV Kannan, Sri Kaliswari Fireworks, the Pothys family office, AIKYAM Capital, NS Rajan and Abhijit Bhaduri, among others.
According to its draft red herring prospectus, CIEL HR Services’ proposed initial public offering will comprise a fresh issue of equity shares worth ₹335 crore and an offer for sale of 47.4 lakh shares by promoters and other selling shareholders. PTI reported that the company has already filed the draft documents with the market regulator.
The company plans to deploy proceeds from the fresh issue to acquire additional stakes in its subsidiaries, including Firstventure Corporation, Integrum Technologies, Next Leap Career Solutions, People Metrics and Thomas Assessments. Funds will also be used to support working capital needs, pursue inorganic acquisitions and meet general corporate expenses.
In addition, CIEL HR Services intends to invest in five subsidiaries — CCIEL Skills and Careers, FirstVenture Corporation, Integrum Technologies, Ma Foi Strategic Consultants and Next Leap Career Solutions — to expand their learning and talent development platforms, according to the draft prospectus.
Founded in Chennai, CIEL HR Services provides technology-led, end-to-end human resources solutions covering the full employee lifecycle, from talent acquisition and staffing to learning, assessment and workforce management.
The pre-IPO fundraise comes amid sustained investor interest in HR and staffing services firms, as companies across sectors continue to recalibrate workforce strategies in response to changing economic and technological conditions.