Craftsman Automation to launch IPO on March 15, price band fixed at Rs 1,488-1,490


Diversified engineering company, Craftsman Automation will launch its initial public offering (IPO) on March 15. The price band for the same has been fixed at Rs 1,488-1,490 per share, according to media reports.

The IPO consists of a fresh issue of Rs 150 crore and an offer for sale of 45,21,450 equity shares by existing shareholders.

Promoter Srinivasan Ravi will sell 1,30,640 equity shares, and investors Marina III (Singapore) Pte Limited and International Finance Corporation will divest 15,59,260 equity shares and 14,14,050 equity shares, respectively, through offer for sale (OFS) route. Individual shareholder K Gomatheswaran will also sell 14,17,500 equity shares via OFS.

The company will utilise net fresh issue funds for debt repayment. The issue will close on March 17.

Investors can put in bids for a minimum of 10 equity shares and in multiples of 10 thereafter, which translates to minimum lot size worth Rs 14,900.

Axis Capital and IIFL Securities are the book running lead managers to the issue.

Craftsman Automation is a diversified engineering company with vertically-integrated manufacturing capabilities. It is engaged in three business segments – powertrain and other products for the automotive segment; aluminium products for the automotive segment; and industrial and engineering products segment.

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The company said it was the largest player involved in the machining of cylinder blocks and cylinder heads in the intermediate, medium and heavy commercial vehicles segment as well as in the construction equipment industry in India.

Incorporated in 1986, Craftsman has long-term relationships with several marquee domestic and global original equipment manufacturers and component manufacturers across three business segments, including Daimler India, Tata Motors, Tata Cummins, Mahindra & Mahindra, Simpson & Co, TAFE Motors and Tractors, Escorts, Ashok Leyland, Perkins, Mitsubishi Heavy Industries, TVS Motor, Royal Enfield, John Deere and JCB India.

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It owns and operates 12 strategically located manufacturing facilities across seven cities in India, with a total built up area of over 1.5 million square feet.

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