Reblog: Sona BLW Precision Forgings IPO: Key points you need to know
Gurugram based Sona BLW Precision Forgings – one of India’s leading mission-critical automotive systems and components manufacturers – is planning to launch its maiden public offer later this month. The company filed its draft red herring prospectus (DRHP) with SEBI in February 2021 and received approval in May 2021. Here are few key points you need to know about the company and its business.
#1 Fresh + OFS
Sona BLW Precision Forgings IPO will involve mobilization of INR6,000 crores. The IPO will consist of a fresh issue of equity shares worth INR300 crore and an offer for sale (OFS) amounting to INR5,700 crores by existing shareholders.The capital raised through fresh issues is proposed to be used for repayment/pre-payment of INR225 crores borrowings availed by the company and general corporate purposes.
#2 Capital Structure
Singapore VII Topco III is the major shareholder in the company with a 66.28% equity stake. Singapore VII Topco III is an affiliate of global private equity major Blackstone Group. The remaining stake is held by Sona Autocomp Holding Private Limited. Sona Autocomp is controlled by Sunjay Kapur who has vast experience in the automotive industry and also serves as the chairman of Sona BLW Precision Forgings.
