Maini Precision Products files papers with Sebi to raise funds via IPO

Maini Precision Products has filed preliminary documents with capital markets regulator Sebi to raise up to Rs 900 crore through an initial share-sale.

The initial public offering (IPO) comprises fresh issuance of equity shares worth Rs 150 crore and an offer for sale of 2.55 crore equity shares by promoters and existing shareholders, according to the draft red herring prospectus (DRHP).

At present, promoter group holds 77.13 per cent stake in the company.

According to market sources, the public issue is expected to fetch anywhere between Rs 800 crore and Rs 900 crore.

Proceeds of the fresh issue will be used for debt payment and general corporate purposes.

The Bangalore-based Maini Precision Products is a diversified manufacturer and supplier of high precision components and assemblies, caters to a global clientele in the automotive and industrial and aerospace sectors.

The company is an end-to-end solutions provider engaged in process design, engineering, manufacturing, testing, and supply of a variety of precision products and assemblies.

ICICI Securities and IIFL Securities are the book running lead managers to the public issue.

This is the company's second attempt to go public. Earlier it had filed preliminary IPO papers with Sebi in 2015 and had received the regulator's approval too to float the public issue but did not go ahead with the plan.