Shivalik Engineering IPO: Draft papers filed, company to raise ₹335 crore via fresh issue

Metal castings producer Shivalik Engineering has filed the draft papers with the Securities and Exchange Board of India (SEBI) for its upcoming initial public offering (IPO), reports said on Monday, July 1.

As per the draft red herring prospectus (DRHP), the company aims to raise ₹335 crore via a fresh issuance of shares. The price band for the public issue was yet to be reported.

The IPO would also comprise of an offer-for-sale (OFS) component, with existing promoters and shareholders paring a total of 4.13 million shares.

Top brass to sell most stake in OFS

Shivalik Engineering's managing director Giriraj Singh and joint managing director Raghvendra Singhania will cumulatively sell 1.2 million shares.

Another 8.03 lakh shares will be sold by Chief Executive Officer Vishal Sharma, followed by up to 2.11 lakh shares to be pared by Mohit Sharma.

The book running lead managers for the issue are Axis Capital and IIFL Securities.

Shivalik Engineering financials

The Raipur-headquartered foundry had logged a net profit of ₹34.56 crore in the fiscal year ended March 31, 2023, as per the data available with CRISIL Ratings.

The company's operating income in FY23 stood at ₹675.73 crore.

3 IPOs set for launch this week

The primary market is going to see a busy time in the first week of July as three initial public offerings (IPOs), including two mainboard and one NSE SME issues, are opening for subscription. The upcoming IPOs aim to raise a total of ₹2,741.71 crore.

Main board IPOs of Emcure Pharmaceuticals Ltd and Bansal Wire Industries Ltd will open for bidding on both BSE and NSE, while Ambey Laboratories Ltd public issue will open for subscription on the SME platform of the National Stock Exchange of India (NSE).