- TMC Transformers filed papers with SEBI to raise Rs 550 crore via IPO
- IPO will be a fresh equity issue with no Offer For Sale component
- Funds will support a new EHV transformer plant in Gujarat and working capital
TMC Transformers (India) Ltd has filed preliminary papers with capital markets regulator Sebi to raise Rs 550 crore through an Initial Public Offering (IPO).
The proposed IPO is entirely a fresh issue of equity shares with no Offer For Sale (OFS) component, according to the Draft Red Herring Prospectus (DRHP) filed on Tuesday.
ALSO READ | SEBI Bans 221 Entities In Rs 144 Crore Pump-And-Dump Scheme Across Five Listed Stocks
Proceeds from the fresh issue will be used to fund capital expenditure for setting up a greenfield Extra High Voltage (EHV) transformer manufacturing facility with an aggregate installed capacity of 78,000 MVA at Halol in Gujarat, part-fund the company's incremental working capital requirements, and for general corporate purposes.
The Gujarat-based company may also undertake a pre-IPO placement of specified securities worth up to Rs 110 crore before filing the Red Herring Prospectus with the Registrar of companies.
If such placement is completed, the size of the fresh issue will be reduced accordingly.
TMC Transformers is an integrated, design-led transformer manufacturer with capabilities across multiple transformer types and voltage classes.
Its product portfolio includes oil-filled transformers of up to 160 MVA/220 kV class, dry-type transformers of up to 20 MVA/36 kV class, and compact substations of up to 3 MVA/36 kV class.
ALSO READ | SEBI Proposes Uniform Investor Consent Rules, Wider Conflict Checks For AIFs
According to the DRHP, the company is among the few transformer manufacturers in India with the capabilities and certifications to cater to major end-user segments, including railways, renewable energy, metro projects, industrial customers and power distribution companies, citing a CRISIL report.
Hriday Narayan R Shukla is the promoter of the company.
Anand Rathi Advisors and Intensive Fiscal Services are the book-running lead managers to the issue.
(This story has not been edited by NDTV staff and is auto-generated from a syndicated feed.)
Essential Business Intelligence, Sharp Market Insights, Practical Personal Finance Advice, Daily Fuel, Gold and Silver Prices and Latest Stories — On NDTV Profit.
