New IPO Alert: Milestone Gears files DRHP with SEBI to raise ₹1,100 crore; check financials and other key details

New IPO Alert: Precision components manufacturer Milestone Gears Ltd has filed a draft red herring prospectus (DRHP) with the capital markets regulator, the Securities and Exchange Board of India (SEBI), to raise ₹1,100 crore via an initial public offering.

The proposed initial share sale seeks to raise ₹1,100 crore by offering new equity shares valued at ₹800 crore and an offer for sale of ₹300 crore.

Milestone Gears IPO: Objectives

Under the OFS, promoters Ashok Kumar Tandon, Aradhna Tandon, Amit Tandon and Aman Tandon will offload their shares. Additionally, Gagandeep Kaur Chawla, a shareholder, will also divest his stake.

The fresh issue proceeds will be used for the following objectives:

According to preliminary papers, the firm may consider a pre-IPO placement of up to ₹800 crore. If such placement takes place, the money raised will be reduced from the fresh issue.

Milestone Gears IPO: Financials

About the company

Milestone Gears makes high-precision, complex engineered transmission components used in tractors, electric vehicles (EVs), construction equipment, windmills, locomotives and other heavy industries.

The company supplies its products to original equipment manufacturers (OEM) in India and overseas markets.

Between April 2022 and June 2025, it supplied products to over 50 customers, including the top nine tractor OEMs in India.

Its portfolio comprises transmission gears and transmission shafts, bull gears, rear axles, internal ring gears, rock shafts and induction-hardened shafts, cut bevel gears, spindles and ground gears and shafts.

JM Financial, Axis Capital and Motilal Oswal Investment Advisors are the issue's book-running lead managers, while KFin Technologies Ltd is the registrar. The company's shares are proposed to be listed on the NSE and the BSE.