New Delhi, Aug. 15 -- RSB Retail India Ltd, a prominent multi-brand retail chain in South India, has submitted preliminary documents to market regulator Sebi for an initial public offering (IPO), which, according to sources, could raise around Rs.1,500 crore.

The IPO will comprise a fresh issue of equity shares worth up to Rs.500 crore and an offer for sale (OFS) of up to 2.98 crore equity shares by the promoters, as per the draft red herring prospectus (DRHP) filed on Thursday.

Headquartered in Hyderabad, the company intends to use Rs.275 crore from the net proceeds to repay debt, Rs.118 crore for opening new stores under the R S Brothers and South India Shopping Mall brands, with the remainder allocated for general corporate purposes....