News Update

Harsha Engineers International has refiled its draft papers to generate Rs 755 crore through an initial public offering (IPO)

• ByStartupStory     |    February 5, 2022

Harsha Engineers International has filed draft paperwork for a Rs 755 crore initial public offering with the capital markets regulator.  Promoters Rajendra Shah, Charusheela Rangwala, Nirmala Shah, Harish Rangwala, and Pilak Shah are planning a fresh issue of shares worth Rs 455 crore and a sale of shares worth Rs 300 crore.

According to the draft paperwork, Harsha Engineers, India’s largest maker of speciality bearing cages in terms of sales in the organised sector, may explore collecting Rs 90 crore before submitting the IPO draft with the Company registrar. If the pre-IPO placing is successful, the amount of the new issue will be correspondingly lowered.

Apart from basic corporate reasons, the Ahmedabad-based business would utilise the proceeds of the offer to settle the debt (Rs 270 crore), buy equipment (Rs 77.95 crore), repair infrastructure, and refurbish industrial facilities in India (Rs 7.11 crore). In August 2018, the business filed draft documents for an initial public offering (IPO).

In the fiscal year ending March 2021, the firm turned a profit of Rs 45.44 crore on sales of Rs 873.75 crore, compared to a profit of Rs 21.9 crore on revenue of Rs 885.85 crore the previous year. It made a profit of Rs 43.7 crore on a turnover of Rs 629.46 crore in the six months ended September 2021. During the period 2021-2029, India’s bearings market is predicted to develop at the fastest Cagr of 7.9% in the Asia Pacific region, reaching $9 billion in 2029.

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