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Dhoot Transmission's Rs 3,067-Crore IPO Opens August 10
Dhoot Transmission is a company in India that makes wiring harnesses and electrical parts used in vehicles and machines.
It wants to raise money by letting people buy its shares for the first time.
This is called an IPO, and the company hopes to collect about Rs 3,067 crore.
People can buy the shares between August 10 and August 12.
Each share will cost between Rs 829 and Rs 871.
The money raised will help the company pay off its debts.
It will also be used to build new factories in Haryana and Tamil Nadu.
The company was started in 1999 by Rahul Dhoot.
Its shares will start trading on the stock market around August 17.
Both big institutions and regular people can buy the shares.
Dhoot Transmission fixed a price band of Rs 829-871 per share for its Rs 3,067-crore IPO, opening for subscription on August 10.
The issue comprises a fresh issue of up to Rs 1,400 crore and an offer for sale of up to 1.91 crore equity shares by promoters, including Bain Capital's BC Asia Investments XV Limited.
Subscription runs from August 10 to August 12, with anchor investor bidding on August 7 and listing expected on August 17.
Proceeds will be used to repay Rs 465 crore of debt and Rs 301.77 crore of subsidiary borrowings, and to build new wiring harness plants in Jhajjar, Haryana and Hosur, Tamil Nadu.
At the upper price band, the company's post-issue market capitalisation would be about Rs 17,816 crore.
- Who
- Dhoot Transmission Limited, an auto components maker founded in 1999 by Rahul Dhoot and headquartered in Aurangabad, Maharashtra.
- What
- Announced a Rs 3,067-crore initial public offering at a price band of Rs 829-871 per share, comprising a fresh issue of up to Rs 1,400 crore and an offer for sale of up to 1.91 crore shares.
- Where
- India; the company plans new wiring harness manufacturing plants in Jhajjar, Haryana and Hosur, Tamil Nadu.
- When
- IPO subscription opens on August 10 and concludes on August 12, with anchor investor bidding on August 7 and a listing expected on August 17.
- Why
- To raise funds to repay debt and subsidiary borrowings and to set up new wiring harness manufacturing plants and pursue strategic initiatives.
Key facts
- IPO Size
- Rs 3,067 crore
- Price Band
- Rs 829-871 per share (face value Rs 2)
- Key Dates
- Subscription August 10-12; anchor bidding August 7; listing expected August 17
- Issue Structure
- Fresh issue of up to Rs 1,400 crore plus offer for sale of up to 1.91 crore shares by promoters
- Post-Issue Market Cap
- About Rs 17,816 crore at upper band; about Rs 17,025 crore at lower band
- Use of Proceeds
- Debt repayment (Rs 465 crore), subsidiary borrowings (Rs 301.77 crore), new plants in Jhajjar and Hosur
- Issue Allocation
- 50% QIBs, 15% NIIs, 35% retail; Rs 6 crore reserved for employees at Rs 80 per share discount
- Book-Running Lead Managers
- Axis Capital, Jefferies India, Kotak Mahindra Capital, Nomura Financial Advisory, SBI Capital Markets, 360 ONE WAM; registrar KFin Technologies
Sources
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