Kranti Industries launches its SME IPO with SMC Global

New Delhi: The approximate size of the IPO is Rs. 8.58 crore at a Face value of Rs. 10 per equity share and a price band of Rs. 37 per equity share.

SMC Global has entered the SME IPO market for the first time as the market maker with a subscription of 5.05% of the issue. The IPO consists of 23.19 lakh equity shares with a lot size of 3,000 shares. For this proposed IPO, the company has appointed Fast-track Finsec as lead managers to the issue.

The Net Proceeds from the fresh issue will be utilized for managing working capital and for corporate expenses. The company has announced the launch of its SME IPO on BSE SME scheduled between 14th February 2019 to 20th February 2019.

Kranti has a well-diversified product portfolio as it supplies parts for electric vehicles, tractors, commercial vehicles, passenger vehicles, construction machineries, off-highway, and two-wheelers. The company is planning to expand its capacity by entering into a joint venture with KGK group Rajkot.

Kranti industries limited has clients from diversified industries. The company’s major clients are world giants such as Oerlikon, New Holland Fiat Group, John Deere, Carraro, Bharat Gears, Endurance Technologies, Mahindra etc.
Considering multiple industry growth factors like India becoming a global component sourcing hub for automotive parts from across the world for their operations, improved product development capabilities through in-depth R&D, higher investment in road infrastructure, a booming working population and middle-class income to drive the market, it is speculated that the IPO of Kranti Industries Limited will experience a heavy oversubscription from the word go.

Adding further positivity to the automotive parts sector are policies such as Automotive Mission Plan 2016-26, which will enable faster adoption and manufacturing of Electric Hybrid Vehicles. Initiatives like NMEM 2020 are also likely to infuse growth in the overall auto component sector of India.

Kranti Industries was recently awarded as the ‘Best Company of the Year’ in India 2018 under the category of Precision Machined Components Manufacturer by Begin up Research Intelligence Private Ltd. The company was also honored with ‘Performance Appreciation Award’ for outstanding contribution for a new part development in casting and machining commodity from Oerlikon. This story is provided by NewsVoir.

[source_without_link]ANI[/source_without_link]