Kross Ltd has filed its preliminary draft papers with capital markets regulator Securities and Exchange Board of India (SEBI) to raise ₹500 crore through an initial public offering (IPO). The maiden public issue of the Jamshedpur-based company comprises a fresh issue of shares worth up to ₹250 crore and an offer for sale (OFS) of shares aggregating up to ₹250 crore by promoters, according to the Draft Red Herring Prospectus (DRHP).
The OFS portion consists of equity shares to the tune of up to ₹168 crore by Sudhir Rai and ₹82 crore by Anita Rai. The company may undertake a pre-IPO placement of its securities worth up to ₹50 crore. If such placement is undertaken, the fresh issue size will be reduced.
Kross proposes to utilise the net proceeds of the fresh issue for the purchase of machinery and equipment, payment of debt, and funding the working capital requirements of the company. Besides, a portion will be used for general corporate purposes. Equirus Capital is the book running lead manager to the issue. The equity shares are proposed to be listed on stock exchanges BSE and the NSE.
The promoters of the company are Sudhir Rai, Chairman and Managing Director; Anita Rai, Whole -Time Director; Sumeet Rai, Whole -Time Director and Kunal Rai, Chief Financial Officer.
Kross Ltd is a diversified player focused on manufacturing and supply of trailer axle and suspension assembly and a wide range of forged and precision machined high performance safety critical parts for medium and heavy commercial vehicles and farm equipment segments
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Updated: 02 Dec 2023, 05:13 PM IST