Uniparts India Limited – Initial Public Offer opens on November 30

• Price Band fixed at ₹548 to ₹ 577 per Equity Share of face value of ₹10 each of Uniparts India Limited
• Offer will close on Friday, December 02, 2022
• Bids can be made for a minimum of 25 Equity Shares and in multiples of 25 Equity Shares thereafter 

BILKULONLINE

Ahmedabad, November 29: The initial public offering (IPO) of Uniparts India is open for subscription on Wednesday (November 30). The global engineering systems and solutions provider fixed the IPO price band at Rs 548-577 per share. The IPO is entirely an offer for sale (OFS) of 14,481,942 equity shares by promoter group entities and existing investors.

Those offering shares in the OFS are promoter group entities The Karan Soni 2018 CG-NG Nevada Trust, The Meher Soni 2018 CG-NG Nevada Trust, Pamela Soni, and investors Ashoka Investment Holdings Ltd and Ambadevi Mauritius Holding Ltd.

Since the IPO would be entirely an OFS, the company would not receive any proceeds from the public issue. The IPO would conclude on December 2. 

“The company’s international sales accounted for over 82 per cent of total sales in FY22. There is a steady growth in revenues and margins over the past three fiscal years. The implied market cap at the upper price band of the issue stands at approx. Rs 2,604 crore and the asking P/E multiple is 15.28x, which looks reasonable as compared to its peers. 

Market participants said Uniparts India IPO grey market premium (GMP) was seen around Rs 80. It implies that the grey market expected the company to list around Rs 657 (Rs 577 + Rs 80), which is nearly 14 per cent higher than the IPO’s upper band price of Rs 577 per equity share.

One lot comprises 25 shares and retail investors can buy a maximum of 13 lots of 325 shares worth Rs 1,87,525 at the upper end of the price band.

The qualified institutional buyers’ category is reserved at 50 per cent; 35 per cent for retail investors; and 15 per cent for non-institutional investors.

The basis of share allotment may happen on December 7, followed by a likely listing on December 12.

Uniparts India is a supplier of systems and components for the off-highway market in the agriculture and construction, forestry and mining and aftermarket sectors. 

Axis Capital, DAM Capital Advisors and JM Financial are the book-running lead managers to the issue.

The offer will constitute 32.09% of the post-offer paid-up equity share capital.  The Offer will close on Friday, December 02, 2022.

The Price Band of the Offer has been fixed at ₹548 to ₹577 per Equity Share. Bids can be made for a minimum of 25 Equity Shares and in multiples of 25 Equity Shares thereafter.

Axis Capital Limited, DAM Capital Advisors Limited & JM Financial Limited are the Book Running Lead Managers to the Offer.

All capitalised terms used herein but not defined shall have the same meaning as ascribed to them in the RHP.

Uniparts India Limited  is a global manufacturer of engineered systems and solutions and are one of the leading suppliers of systems and components for the off-highway market in the agriculture and construction, forestry and mining  and aftermarket sectors on account of its presence across over 25 countries. The Company is a concept-to-supply player for precision products for off-highway vehicles with presence across the value chain.

 The product portfolio of the Company includes core product verticals of 3-point linkage systems  and precision machined parts  as well as adjacent product verticals of power take off, fabrications and hydraulic cylinders or components thereof. The Company has a leading presence in the manufacture of 3PL and PMP products globally on account of it serving some of the largest global companies . Most of the Company’s products are structural and load bearing parts of the equipment and are subject to strict tolerances, specifications and process controls. A series of precision engineering process steps converge in to manufacturing of these products.

As of June 30, the Company has a global footprint and served customers across countries in North and South America, Europe, Asia and Australia, including India. In Fiscal 2022, the customer base of the Company comprised over 125 customers in over 25 countries globally.

Gurdeep Soni the Chairman and Managing Director of the group was here in Ahmedabad and briefed the media. He was accompanied by  Paramjit Singh Soni Executive Director and Vice Chairman, Herbert Coenen Non-Executive Director,  Independent Director among others.