Engineering systems and solutions provider Uniparts India on Friday said it has set a price band of Rs 548-577 a share for its Rs 836-crore initial public offering (IPO).
The three-day initial share sale will open for public subscription on November 30 and conclude on December 2. The bidding for anchor investors will open on November 29, the company announced in a virtual press conference. The IPO is entirely an Offer for Sale (OFS) of 14,481,942 equity shares by promoter group entities and existing investors.
Those offering shares in the OFS are promoter group entities — The Karan Soni 2018 CG-NG Nevada Trust, The Meher Soni 2018 CG-NG Nevada Trust, Pamela Soni — and investors — Ashoka Investment Holdings Ltd and Ambadevi Mauritius Holding Ltd. At the upper end of the price band, the public issue is expected to fetch Rs 836 crore. Since the IPO would be entirely an OFS, the company will not receive any proceeds from the public issue.
Half of the issue size has been reserved for qualified institutional investors, 35 per cent for retail investors and the remaining 15 per cent for non-institutional investors. Investors can bid for 25 shares and in multiples thereof. This would be the company’s third attempt to go public. Earlier, Uniparts had filed its IPO papers with Sebi in December 2018 and in September 2014. It also obtained the regulator’s clearance to launch the IPO on the two occasions but did not go ahead with the initial share sale.
Axis Capital, DAM Capital Advisors and JM Financial are the book running lead managers to the issue. Shares of the company will be listed on the stock exchanges on December 12. Uniparts India is a global manufacturer of engineered systems and solutions. It is one of the leading suppliers of systems and components for the off-highway market in agriculture and construction, forestry and mining and aftermarket sectors on account of its presence across over 25 countries.
It is a concept-to-supply player of precision products for off-highway vehicles with presence across the value chain. The company’s product portfolio includes core product verticals of 3-point linkage systems and precision machined parts as well as adjacent product verticals of power take off, fabrications and hydraulic cylinders or components thereof.