Sify Technologies to raise $86 million

CHENNAI - Nasdaq-listed internet company Sify Technologies Ltd Saturday announced it would be raising $86 million (around Rs.400 crore) through preferential shares to a group of investors affiliated to its promoter group.

The proceeds are to be used for expansion and working capital needs.

The company will be making a preferential issue of shares to a group of investors affiliated to CEO and managing director Raju Vegesna and his brother and executive director Ananda Raju Vegesna.

The company will raise the amount issuing 125 million equity shares of Rs.10 each at a premium of Rs.22 per share.

According to Sify Technologies, the proposed shares will not be listed on Nasdaq as American Depository Shares.

The company board approved the preferential allotment Aug 4 and it has to be ratified by the shareholders at the company general body meeting Sep 27.