The breakdown for the issue is 61,00,000 equity shares for the public along with a reservation of 2,00,000 shares for subscription by eligible employees, with a face value of Rs 10 per share.
28 Sep 2015 | 7856 Views | By Autocar Pro News Desk
GNA Axles, the Punjab-based manufacturer of rear axle shafts for commercial and agricultural vehicles, has filed a draft red herring prospectus with stock market regulator (SEBI) for an IPO of up to 6.3 million shares, it said in a release today.
The breakdown for the issue is 61,00,000 equity ...
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GNA Axles, the Punjab-based manufacturer of rear axle shafts for commercial and agricultural vehicles, has filed a draft red herring prospectus with stock market regulator (SEBI) for an IPO of up to 6.3 million shares, it said in a release today.
The breakdown for the issue is 61,00,000 equity shares for the public along with a reservation of 2,00,000 shares for subscription by eligible employees, with a face value of Rs 10 per share.
The net proceeds from the issue will be utilised for the purchase of plant and machinery, and to meet the working capital requirements along with general corporate purposes. The company proposes to utilise Rs 80 crore towards purchase of plant and machinery and Rs 35 crore towards meeting working capital requirements.
With two manufacturing facilities at Jalandhar and Hoshiarpur in Punjab, the company boasts of facilities covering every aspect of auto parts production right from forging to heat treatment and machining. The company produced more than 1.97 million components in fiscal 2015.
For Fiscal 2015, the total revenue and net profit of the company were Rs 430.6 crore and Rs 21.6 crore, respectively. Domestic sales and export sales constituted 51.67% and 48.33% of their revenue from operations, respectively.
The company’s domestic customers in the commercial vehicle segment include major tier-1 suppliers such as Automotive Axles and Dana and HCV manufacturers such as Meritor HVS AB. In the off-highway segment the company’s domestic customers include Mahindra & Mahindra, TAFE, Escorts and Claas India.
The company also exports rear axle shafts, other shafts and spindles to various countries including USA, Sweden, Turkey, Brazil, Italy, Germany, Spain, Mexico, Japan, UK, France, China and Australia, it said.