September 10, 2021 3:28:06 pm
Sansera Engineering IPO: The Rs 1,283 crore initial public offering (IPO) of auto component manufacturer Sansera Engineering will open on Tuesday, September 14, 2021, and will be available for subscription till Thursday, September 16, 2021. The price band of the IPO has been fixed at Rs 734-744 per share of the face value of Rs 2 each.
Sansera Engineering is a Bengaluru-based auto component maker. It is an engineering-led integrated manufacturer of complex and critical precision engineered components across automotive and non-automative sectors.
The IPO is entirely an offer for sale (OFS) of 17,244,328 equity shares by the selling shareholders, as per the information given in the red herring prospectus (RHP). The offer could raise up to Rs 1,283 crore at the upper price band.
Since the IPO is completely an OFS, the company would not will not directly receive any proceeds from the offer and all the proceeds will be received by the selling shareholders.
Those offering shares in the OFS are existing investors – Client Ebene, CVCIGP II Employees Ebene and promoters – S Sekhar Vasan, Unni Rajagopal K, F R Singhvi and D Devaraj.
Upon its listing, it will join the likes of listed peers such as Bharat Forge, Motherson Sumi Systems, Minda Industries so on.
This is Sansera Engineering’s second attempt to go public. In August 2018, the company had filed IPO papers with market regulator Sebi and had also got its clearance to float the issue. However, it did not go ahead with the IPO launch.
Investors who wish to subscribe to Sansera Engineering’s IPO can bid in the lot of 20 equity shares and multiples thereof. At the upper price band, they will have to shell out Rs 14,880 to get a single lot of Sansera. The shares will be listed on both BSE and the National Stock Exchange (NSE).
Half of the issue size has been reserved for qualified institutional buyers (QIBs), 35 per cent for the retail investors and remaining 15 per cent is for non-institutional investors.
Ahead of the public offer, the anchor investors’ portion will be available on Monday, September 13, 2021.
The company expects that listing of the equity shares will enhance its visibility and brand image and provide liquidity to shareholders and the listing will provide a public market for the equity shares in the country, the according to the RHP.
ICICI Securities, IIFL Securities and Nomura Financial Advisory and Securities (India) are the book running lead managers to the IPO while Link Intime India is the registrar of the issue.
Apart from this, the share allotment is likely to take place on September 21, 2021, and the shares are expected to be listed on September 24, 2021, according to the timeline given in the RHP.
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