Krishna Defence and Allied Industries Limited (Krishna Defence) has announced that it is launching its initial public offering (IPO) of 30,48,000 equity shares of the company with a face value of Rs 10 each in the price band of Rs 37-39 per share to raise Rs 11.89 crore from the primary offering. 

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At the upper cap of price band, the company is looking for a fund mobilization of Rs. 11.89 cr. 

The defence player says it aims to get listed on the SME platform of National Stock Exchange (NSE Emerge).

Krishna Defence and Allied Industries Limited

-Incorporated in 1997, Krishna Defence manufactures Defence Application Products, Kitchen and Dairy Equipment Products. 

-It has two manufacturing plants located in Kalol and Halol district near Vadodara, Gujarat. Ankur Ashwin Shah is the promoter and MD of the company.

-Its defence application products including Ship Building Steel Section -Bulbar, Weld Consumables and Ballast Bricks, whereas Dairy Equipment include Stainless steel milk cans, Milk Cooling Tank, Cow grooming brush, Milking Machine, Milking Parlour and Solar Powered Milk Cooling Tank.

-Investors will have to apply for a minimum of 3000 equity shares and in multiples thereon.  

- The issue is opening for subscription on March 25, 2022, and will close on March 29, 2022. 

- Net proceeds from the issue will be utilized towards meeting the working capital requirements and general corporate purpose.

- The company has allocated approx. 50 per cent of equity shares for the qualified institutional buyers, whereas approx. 15 per cent of equity shares are allocated for HNI investors and remaining 35 per cent of equity shares are allocated for retail bidders.

- The company reported a total income of Rs 20.98 crore with a profit after tax of Rs 1.22 crore for the period ended on September 30, 2021.

-Its net total revenue for the fiscal year 2020-21 stood at Rs 36.18 crore, which was Rs 25.72 crore in the previous fiscal year 2019-20. It reported a net profit of Rs 1.94 crore for FY21, which stood at Rs 0.75 crore in FY20.

-Hem Securities Limited is the lead manager to the issue, whereas Bigshare Services Private Limited has been appointed as the registrar to the issue.