Emmforce AutoTech IPO Opens April 23: Rs 54 Cr, Rs 93-98/Share

New Delhi, Apr 19 (PTI) Auto components maker Emmforce AutoTech Ltd on Friday said it will raise Rs 54 crore through its initial share sale opening for public subscription on April 23.

The Panchkula-headquartered company's initial share sale comprises a fresh issue of 54.99 lakh equity shares with a face value of Rs 10 each.

The issue, with a price band of Rs 93-98 per share, will open for public subscription during April 23-25. The bidding for anchor investors will be open for a day on April 22, the company announced.

At the upper end of the price band, the auto components maker will raise Rs 54 crore through its maiden public issue. Post the completion of the IPO, shares of the company will be listed on the BSE SME platform.

Proceeds from the IPO will be used for investment in a subsidiary company -- Emmforce Mobility Solutions Private Ltd (EMSPL) -- for setting up a new plant at Jharmajri, Baddi in Himachal Pradesh, to meet the company's working capital requirement and for general corporate purpose.

The company manufactures niche automotive drivetrain parts and its sales comprise a majority of exports to six continents, primarily to North America and Asia.

The company registered a revenue of Rs 46.45 crore with a profit (PAT) of Rs 5.11 crore in the first seven months that ended on October 31, 2023. In FY 2022-23, the firm registered a revenue of Rs 45.69 crore and a PAT of Rs 4.38 crore.

Beeline Capital Advisors Private Ltd is the book-running lead manager to the issue.