Avalon Technologies IPO: Bid to open on Monday, April 3, price band fixed at ₹415 to ₹436 per share
1 min read 28 Mar 2023, 05:01 PM ISTOn Monday, April 3, 2023, Avalon Technologies plans to launch its initial public offering (IPO) of 19,839,450 equity shares with a face value of ₹2 each subject to a maximum value of ₹865 Cr.
PremiumOn Monday, April 3, 2023, Avalon Technologies plans to launch its initial public offering (IPO) of 19,839,450 equity shares with a face value of ₹2 each subject to a maximum value of ₹865 Cr. A fresh issue of equity shares with a maximum value of ₹320 Cr and an offer for sale (OFS) equity shares with a maximum value of ₹545 Cr make up the initial public offering.
The band of the offer's price for equity shares is fixed at ₹415 to ₹436. A minimum of 34 equity shares should be offered, and after that, bids can be made in multiples of 34 equity shares. The deadline for the anchor investor bid is Friday, March 31, 2023. The subscription period for the offer begins on Monday, April 3, 2023, and ends on Thursday, April 6, 2023.
The offer for sale comprises equity shares aggregating up to ₹131 Cr of Kunhamed Bicha and up to ₹172 Cr of Bhaskar Srinivasan; the “Promoter Selling Shareholders"; up to ₹16 Cr of T P Imbichammad; up to ₹10 Cr of Mariyam Bicha; up to ₹75.5 Cr of Anand Kumar; up to ₹65 Cr of Sareday Seshu Kumar and up to ₹75.5 Cr of Luquman Veedu Ediyanam.
Avalon Technologies said it proposes to utilize the net proceeds of the fresh issue towards the funding of prepayment or repayment of all or a portion of certain outstanding borrowings availed by the company and one of the material subsidiaries, i.e. Avalon Technology and Services Private Limited estimated to be ₹145 Cr; funding the working capital requirements of the company estimated to be ₹90 Cr; and balance amount towards General corporate purposes.
The equity shares are being offered via the red herring prospectus of the company dated March 23, 2023 (the "RHP"), which was submitted to the Registrar of Companies, Tamil Nadu in Chennai. It is proposed for the equity shares to be listed on recognised stock exchanges, namely the BSE and NSE. The designated stock exchange for the offer is the NSE.
JM Financial Limited, DAM Capital Advisors Limited, IIFL Securities Limited and Nomura Financial Advisory and Securities (India) Private Limited are the Book Running Lead Managers to the public offer. Avalon Technologies is one of the leading fully integrated Electronic Manufacturing Services (“EMS") companies.
