MTAR Technologies Ltd. will launch its Rs 560-crore initial public offering on Wednesday as the defence equipment maker plans to repay borrowings.
The IPO comprises a fresh issue of 21.48 lakh shares and an offer-for-sale of 82.24 crore shares, according to the company’s red herring prospectus. The price band has been fixed at Rs 574-575 apiece, at the upper-end of which the company will be valued at Rs 1,768 crore.
The maker of nuclear, defence and aerospace equipment, fabrication facilities and fuel cells has recently sold 18.51 crore shares at Rs 540 apiece in a pre-IPO placement to schemes of SBI Mutual Fund and Axis Mutual Fund.
Issue opens on: March 3, 2021
Issue closes on: March 5, 2021
Face value: Rs 10 per share
Fresh issue aggregating: up to Rs 116 crore
Offer for sale worth: Rs 444.1 crore
Minimum bid size: 26 equity shares
Listing: National Stock Exchange and BSE
Book Running Lead Managers: IIFL Securities and JM Financial
The company, according to the prospectus, will use proceeds from the fresh issue for repayment or pre-payment of its borrowings and funding working capital requirements.
MTAR Technologies raised Rs 178.9 crore through anchor placement at Rs 575 apiece from 44 entities, including from 39 schemes of 11 mutual funds, ahead of its IPO.