March 9, 2021 5:57:08 pm
Auto component maker Craftsman Automation on Tuesday fixed a price band of Rs 1,488-1,490 a share for its Rs 824-crore initial public offer, which will open for subscription on March 15.
The three-day public issue will conclude on March 17, and the bidding for anchor investors would be open on March 12, Craftsman Automation said in a virtual press conference.
The IPO comprises a fresh issue of equity shares aggregating up to Rs 150 crore and an offer-for-sale of up to 45,21,450 shares by promoter and existing shareholders.
Those offloading shares in the offer-for-sale are Srinivasan Ravi, K Gomatheswaran, Marina III (Singapore) Pte Ltd and International Finance Corporation (IFC).
Currently, IFC and Marina hold 14.06 per cent and 15.50 per cent stake, respectively, in the company. Besides, Srinivasan Ravi owns 52.83 per cent stake and K Gomatheswaran has 7.04 per cent shareholding.
The IPO is expected to fetch Rs 824 crore at the upper end of the price band.
Half of the issue is reserved for qualified institutional buyers, 35 per cent for retail investors and 15 per cent for non-institutional bidders.
Net proceeds of the issue will be utilized for repayment or pre-payment of certain borrowings availed of by the company and for general corporate purposes.
In addition, the company expects to receive the benefits of listing of the equity shares on the stock exchanges.
Axis Capital and IIFL Securities have been appointed as book running lead managers to the issue. Shares of the company are proposed to be listed on BSE and NSE.
Earlier, the auto component maker had filed draft papers with Securities and Exchange Board of India (SEBI) in June 2018, and had received the regulator’s clearance for launching the IPO.
However, the company couldn’t launch the initial share-sale due to unfavourable market conditions, traders said.
Headquartered in Coimbatore, the company has satellite units across India including in Pune, Faridabad, Pithampur, Jamshedpur, Bengaluru, Sriperumbudur and Chennai.
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