Bengaluru-based auto-component maker Sansera Engineering will launch its initial public offering on September 14. The issue will close on September 16.
The company, after consultation with merchant bankers, has fixed a price band at Rs 734-744 per equity share.
The initial public offer of 1,72,44,328 equity shares is a complete offer for sale by existing selling shareholders. The offer for sale comprises a selling of equity shares and 48,36,723 equity shares by investors Client Ebene and CVCIGP II Employee Ebene, respectively.
The OFS comprises 86,35,408 shares sale by Client Ebene Ltd, 48,36,723 shares by CVCIGP II Employees EBENE, 20,58,069 shares by S Sekhar Vasan, 5,71,376 shares each by Unni Rajagopal K, FR Singhvi and D Devaraj.
Investors Client Ebene and CVCIGP II Employee Ebene hold 35.40 percent and 19.83 percent stake in Sansera Engineering.
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The offer includes a reservation of Rs 9 crore shares for employees, said the company in its RHP. The employee will get these shares at a discount of Rs 36 to the final issue price.
Investors can make a bid for a minimum of 20 equity shares and in multiples of 20 equity shares thereafter. Retail investors can make a minimum investment of Rs 14,880 for a lot and the maximum investment would be Rs 1,93,440 for 13 lots as they can invest up to Rs 2 lakh in IPO.
Half of the issue is reserved for qualified institutional buyers, 35 percent for retail investors, and 15 percent for non-institutional investors.
Within the automotive sector, the company manufactures a range of precision forged and machined components and assemblies, such as connecting rod, rocker arm, crankshaft, gear shifter fork, stem comp, and aluminium forged parts, that are critical for engine, transmission, suspension, braking, chassis and other systems for the two-wheeler, passenger vehicle and commercial vehicle verticals.
Within the non-automotive sector, it makes a range of precision components for the aerospace, off-road, agriculture and other segments, including engineering and capital goods. In FY21, the company earned 88.45 percent, and 11.55 percent of revenue from sale of products from the automotive sector and non-automotive sectors, respectively.
It is the largest supplier of connecting rods, rocker arms and gear shifter forks to two-wheeler OEMs in India. It is the largest supplier of connecting rods and rocker arms to passenger vehicle OEMs in India.
ICICI Securities, IIFL Securities, and Nomura Financial Advisory and Securities (India) are the books running lead managers to the issue.