Mumbai, Feb. 24: Ortel Communications, a cable television and broadband player, today announced a price band of Rs 181-200 per share for its upcoming initial public offer (IPO).

The IPO will open for subscription on March 3 and close on March 5.

The offer includes a fresh issue of up to 60 lakh shares and an offer for sale of a similar amount by private equity company New Silk Route.

At present, New Silk Route holds around 33.58 per cent in the company, which will come down to 7 per cent after the issue.

Ortel Communications operates in Odisha, Chhattisgarh, Bengal and Andhra Pradesh.

The company today pointed out that its key strength was its focus on the "last mile" connection, which gave better returns.

The company will use the proceeds from the IPO to expand its network to provide video and data services and develop the digital cable and broadband services.

Future plans

According to the red herring prospectus, Ortel is looking to venture into markets such as Madhya Pradesh. It is also planning to increase the penetration of its digital services and add to its broadband subscriber base.

The minimum bid lot for the issue is 75 shares and in multiples of 75 shares, thereafter.

This is the company's second attempt to hit the capital markets.

Ortel's earlier plan to collect Rs 100 crore in 2013 through the stock market did not materialise.