CNC Automation Company Jyoti CNC Automation files DRHP with SEBI for the proposed IPO; Key Details here

Jyoti CNC Automation is into Engineering CNC Automation and is looking raise funds through Fresh Issue

Jyoti CNC Automation to raise Fresh Issue aggregating up to Rs. 1,000 crores and an Offer for Sale Equity shares aggregating up to Rs. crores IPO

Jyoti CNC Automation IPO: Jyoti CNC Automation Limited has filed Draft Red Herring Prospectus (DRHP) for proposed initial public offer (IPO) and raise funds through an offer of equity share capital having face value of Rs. 2 per share via initial public offering.

Initial Public Offer comprising of a Fresh Issue aggregating up to Rs. 1000 crores. Equirus Capital, ICICI Securities, SBI Capital Markets have been appointed as lead merchant bankers for the proposed IPO. It has appointed Link Intime India Pvt. Ltd. as Registrar and Share transfer Agent. Company is yet to finalize issue size and some other important details relating to the IPO.

Details about upcoming IPO:
As per the details available in DRHP, fundraising will consist of an Fresh Issue aggregating Rs. 1,000 Crs and.

Objects of the issue:
1) Repayment and/or pre-payment, in full or part, of certain borrowings availed by the Company amounting to Rs. 450 cr., 2) Funding long-term working capital requirements amounting to Rs. 300 cr., and 3) General corporate purposes.

About Company:
Rajkot based Jyoti CNC Automation is into manufacturing of metal cutting computer numerical control (CNC) machines. Its market share in India is second largest with 8% market share in FY22 and Globally it has twelfth largest market share. It is manufacturer of simultaneous 5-Axis CNC machines in India and are a supplier of one of themost diverse portfolios of CNC machines in India (Source: F&S Report). Company offers over 200 variants across 44 series. Since April 1, 2004, it supplied over 30,000 CNC machines globally.

About Industry:
The global CNC machining Centers market is estimated to be ~$51.5billion in 2027.This market is majorly driven by global automotive and heavy industries manufacturers, who are embracing automation and advanced software solutions to meet their customers' needs. In addition, shortage of skilled labor, working hour limits, and labor costs are on the rise. Thus, there is a rapid growth in the demand for automated precision machines. Global CNC Machining Centers Market is expected to grow at CAGR of 9.9% from 2023-2027. (Source: F&S Report)

Source: SEBI, BSE, NSE, DRHP, Jyoti CNC Automation, Industry Data

Disclaimer: Above article only publishes details about the IPO for educational purpose and doesn't solicit or invite any interest to invest. Please visit respective sources to verify and know more details about the IPO. We advise investors to take opinion from certified/SEBI registered experts before taking any investment decisions.