ASK Automotive files draft papers with SEBI for IPO fundraising

Vaibhav Jewellers sets IPO price at Rs 204-215 per share, raising Rs 270 Cr

ASK Automotive Files Draft Papers with SEBI for IPO Fundraising

ASK Automotive Ltd, a leading manufacturer of brake-shoe and advanced braking systems for two-wheelers in India, has recently submitted draft papers to the Securities Exchange Board of India (SEBI) for an upcoming initial public offering (IPO) to raise funds.

The IPO will primarily consist of a pure offer for sale, wherein the promoters Kuldip Singh Rathee and Vijay Rathee intend to sell up to 29.57 million shares. Kuldip Singh Rathee, who currently holds a 41.33 percent stake in the company, plans to sell approximately 20.7 million shares, while Vijay Rathee, with a 32.2 percent stake, aims to sell around 8.87 million shares through this offer for sale.

The issue is being managed by renowned financial institutions including JM Financial Ltd, Axis Capital Ltd, ICICI Securities, and IIFL Securities.

In addition to its core products of brake-shoe and advanced braking systems, the company has diversified its offerings. The company now provides aluminum lightweighting precision solutions (ALP), wheel assembly for two-wheeler original equipment manufacturers (OEMs), and safety control cables (SCC) products. These expanded offerings enable ASK Automotive to cater to a wider range of customers and industries.

The company supplies a comprehensive portfolio of AB systems, ALP solutions, wheel assemblies, and SCC products to OEMs in the automotive sector for two-wheelers, three-wheelers, passenger vehicles, and commercial vehicles. Furthermore, the company serves non-automotive sectors such as all-terrain vehicles, power tools, and outdoor equipment. This diversification allows the company to extend its reach and meet the diverse needs of its customers.

The company’s prominent clients include TVS Motor Company Limited, Ather Energy, Hero MotoCorp, Greaves Electric Mobility, Bajaj Auto, and Revolt Intellicorp.

With 15 manufacturing facilities across India in strategic locations near OEM customers, ASK Automotive ensures efficient production and supply chain management. The company is also in the process of establishing a new manufacturing facility in Rajasthan to meet the increasing market demand.

Also Read: Ola Electric IPO: Bhavish Aggarwal to host investor meet for expansion

In the fiscal year 2022-23, the company recorded a revenue of Rs 2555.17 crore, compared to Rs 2013.08 crore in the previous year. The net profit for the same period amounted to Rs 122.95 crore, showcasing growth compared to Rs 82.66 crore in the previous fiscal year.

By filing draft papers for an IPO, the company aims to raise capital to further expand its operations, enhance its product portfolio, and meet the evolving demands of the automotive industry in India.

About ASK Automotive:

ASK Automotive Pvt. Ltd. is a prominent manufacturer and supplier of automobile friction products and vehicle braking systems. They specialize in providing friction products, aluminum die casting products, and safety control cables to top automotive OEMs in the industry.

For more of the Latest News, Click Here

Leave a Reply

Your email address will not be published. Required fields are marked *