Ajay Poly Limited Files DRHP For Rs 238 Crore Fresh Issue And Offer For Sale

Ajay Poly Ltd. has filed its Draft Red Herring Prospectus with the Securities and Exchange Board of India to raise up to Rs 238 crore through an initial public offering. 

The IPO will include a fresh issuance of equity shares worth Rs 238 crore, along with an offer-for-sale of 93 lakh shares by promoters, including Bina Jain, Rajeev Jain, and Nitin Jain.  

Ajay Poly, founded in 1991 and part of the DCJ Group, specialises in manufacturing polymer extruded and glass products, serving industries such as home appliances, refrigeration, and consumer electronics. The company is India’s leading manufacturer and supplier of refrigeration sealing systems, extruded profiles, and toughened glass products for appliances.  

The company claims to have a market share of 61% in refrigeration sealing solutions (gaskets), 45.96% in total profile extrusion, and 15.4% in overall toughened glass products for the appliance industry.

Its customers include Haier Appliances (India), BSH Household Appliance Manufacturing, Seaga India, Frigoglass India. Godrej & Boyce Manufacturing Company, Voltbek Home Appliances, and IFB Refrigeration.

The proceeds from the fresh issue will be primarily used for debt repayment and general corporate purposes. The company operates multiple manufacturing units located across India, including five in Greater Noida and facilities in Mohali, Pune, Sanand, and Chennai.  

Motilal Oswal Investment Advisors and SBI Capital Markets have been appointed as the book-running lead managers for the issue.  

Ajay Poly’s key clients include leading multinational and Indian OEMs, with significant market share in gasket assemblies, rigid profiles, and toughened glass products.

As of fiscal year 2024, the company reported revenue from operations of Rs 1,419.55 crore, an Ebitda margin of 8.18%, and a net profit of Rs 35.37 crore.