The SEBI on Wednesday cleared the proposed Rs 1,500-crore IPO of Mundra Port SEZ Ltd. MPSEZL is promoted by the Gujarat-based Adani group.

According to sources, the issue is expected to open on November 1. While the issue price is yet to be finalised, sources say that considering the fact that the company will issue 4.02 crore equity shares of Rs 10 each, the issue price should be in the range of Rs 380 per share.

According to sources, MPSEZ is the largest port-based SEZ project in the country and the first such public issue to hit the capital market. MPSEZL is the group’s logistics arm. The Adani group is the developer and operator of Mundra Port and is primarily engaged in providing bulk cargo services, container cargo, crude oil cargo and value-added port services, including railway services between Mundra Port and Adipur.

Fund use

The proceeds from the issue will primarily be used to part-finance construction and development of basic infrastructure and allied facilities in the proposed SEZ and south basin terminal for coal and other cargo at Mundra Port.

This apart, the IPO will also finance the projects lined up by Adani Petronet (Dahej) Port, Adani Logistics.

The 10,000-hectare SEZ will include industrial, business, and social infrastructure including industrial plots and recreation facilities.