Dhoot Transmission has filed updated draft papers with capital market regulator Securities and Exchange Board of India (SEBI) to mobilise funds through an initial public offering (IPO). The proposed IPO comprises a fresh issue of equity shares worth Rs 1,400 crore and an offer for sale (OFS) of up to 1.63 crore equity shares by promoter selling shareholders.
The net proceeds from the fresh issue worth Rs 493.9 crore will be utilised by the company to repay its debt, while Rs 272.58 crore will be invested in subsidiaries -- Dhoot Autocomponents, Dhoot Electricals Systems, Dhoot Automotive Systems and Dhoot Transmission UK Ltd -- for repayment of their borrowings. The company plans to use funds worth Rs 150 crore to set up new wiring harness manufacturing facilities in Jhajjar, Haryana and Shoolagiri, Hosur, Tamil Nadu. The proceeds will also be used for inorganic growth through acquisitions and general corporate purposes.
Axis Capital, Jefferies India, Kotak Mahindra Capital Company, Nomura Financial Advisory and Securities (India), SBI Capital Markets and 360 ONE WAM are the book-running lead managers for the IPO. The company's shares are proposed to be listed on the BSE and NSE.
Dhoot Transmission designs, manufactures and supplies critical wiring harnesses that integrate electronic sensors and controllers, switches, terminals, connectors, junction boxes, high-voltage interconnection systems and data cables, delivering application-specific architectures across platforms.
| Company Name | CMP |
|---|---|
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| KEI Industries | 5383.00 |
| RR Kabel Ltd. | 2211.15 |
| Finolex Cables | 1018.50 |
| Precision Wire India | 441.90 |
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