The Initial Public Offering (IPO) of Sansera Engineering Limited has opened on 14th September. The IPO will close on 16th September.  

COMMERCIAL BREAK
SCROLL TO CONTINUE READING

See Zee Business Live TV Streaming Below:

Top 10 things to know about Sansera Engineering IPO 

The issue period is between 14 September 2021 and 16 September 2021. The post issue modification period is 17 September 2021 between 10 am and 11 am. Cut-off time for UPI mandate confirmation is 12 pm on 17 September 2021. 

Issue Size of Sansera Engineering IPO comprises of 17,244,328 equity shares. The issue type is 100 per cent Book Building. 

Discount – Rs 36 per equity share to eligible employee category. 

Face Value is Rs 2 while the ticket size is Re 1. Bid Lot is 20 equity shares and in multiples thereof. Minimum Order Quantity is 20 equity shares 

Maximum subscription amount for retail Investor is Rs 2, lakh while maximum subscription amount for eligible employee is Rs 5 lakh. 

The Book Running Lead Managers (BRLMs) are ICICI Securities Limited, IIFL Securities Limited and Nomura Financial Advisory and Securities (India) Private Limited. 

The Sponsor Bank is HDFC Bank Limited while categories allowed for investment are FI, IC, MF, FII, OTH, CO, IND, NOH and EMP. 

The name of the registrar is Link Intime India Private Limited. 

The public issue has a price of Rs 734 to Rs 744 per equity share, with a Rs 2 per equity share as the face value of the IPO.  

The promoters for the company’s public issue are S Sekhar Vasan, F R Singhvi, Unni Rajagopal K and D Devaraj. 

The symbol of this issue is SANSERA. 

Sansera Engineering IPO – Complete Timeline  

Issue opens on 14 September and ends on 16 September.  

Finalisation on the basis of allotment likely to get over by 22 September.  

Initiation of refunds likely from 23 September.  

Transfer of shares to demat accounts likely on 24 September.  

Listing date likely on 27 August. 

The above timeline is on the basis of information available on Edelweiss app. 

Company Profile 

The company was incorporated as Sansera Engineering Private Limited on December 15, 1981 at Bengaluru, Karnataka, India as a private limited company under the Companies Act, 1956. It was converted into a public limited company pursuant to a special resolution passed by our Shareholders at the EGM held on June 19, 2018 and the name of the company was changed to Sansera Engineering Limited. A fresh certificate of incorporation consequent upon conversion to a public limited company was issued by the Registrar of Companies, Karnataka situated in Bangalore (“RoC”) on June 29, 2018. 

It is an engineering-led integrated manufacturer of complex and critical precision engineered components across automotive and non-automotive sectors. Within the automotive sector, it manufactures and supply a wide range of precision forged and machined components and assemblies that are critical for engine, transmission, suspension, braking, chassis and other systems for the two-wheeler, passenger vehicle and commercial vehicle verticals.  

Within the non-automotive sector, it manufactures and supply a wide range of precision components for the aerospace, off-road, agriculture and other segments, including engineering and capital goods. It supplies most of its products directly to OEMs in finished condition, resulting in significant value addition by us. 

Financial Details  

In India, auto component production, which includes sale to OEMs, exports, and replacement market) increased at a CAGR of 3.4 per cent over fiscals 2016-21, to Rs 3,013 billion from Rs 2,553 billion. CRISIL Research expects the auto component industry’s revenue to be led by OEM demand, which is expected to log a CAGR of 11.9 per cent over fiscals 2021-26, to reach Rs 5,284 billion. Production growth and higher outsourcing to auto component players by OEMs will drive OEM demand, as per the CRISIL Report. 

The offer is being made through the Book Building Process, in terms of Rule 19(2)(b) of the Securities Contracts (Regulation) Rules, 1957, as amended (SCRR) read with Regulation 31 of the SEBI ICDR Regulations and in compliance with Regulation 6(1) of the SEBI ICDR Regulations wherein not more than 50 per cent of the net offer shall be available for allocation on a proportionate basis to Qualified Institutional Buyers (QIBs). The QIB Portion provides the company with the consent of the Investor Selling Shareholders in consultation with the BRLMs and Promoter Selling Shareholders may allocate up to 60 per cent of the QIB Portion to Anchor Investors on a discretionary basis.