Tolins Tyres IPO Opens Sept 9: Rs 230 Crore Issue

New Delhi, Sep 3 (PTI) Tolins Tyres Ltd on Tuesday said it has fixed a price band of Rs 215-Rs 226 per share for its initial public offering (IPO), opening for subscription on September 9.

The company's Rs 230-crore IPO is scheduled to conclude on September 11, and the bidding for anchor investors will open for a day on September 6, it announced.

The Kerala-based company's initial share sale is a combination of a fresh issue of equity shares worth Rs 200 crore and an offer-for-sale (OFS) of equity shares to the tune of Rs 30 crore.

Promoters -- Kalamparambil Varkey Tolin and Jerin Tolin -- will offload shares worth Rs 15 crore each through the OFS route. They own 83.31 per cent stake in the company at present.

Of the Rs 200 crore IPO proceeds, Rs 75 crore will be used to augment the long-term working capital requirements of the company and Rs 62.55 crore for debt payment.

Further, Rs 24.36 crore will be used for investment in the company's subsidiary Tolin Rubbers to repay its debt and to support its working capital requirements.

Bids can be made for a minimum of 66 equity shares and in multiples of 66 equity shares thereafter.

Tolins Tyres is a leading player in the tyre and treads industry and exports its products to 40 countries, including the Middle East, East Africa, Jordan, Kenya and Egypt.

Saffron Capital Advisors Pvt Ltd is the sole lead merchant banker to the public issue.