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Azad Engineering Ltd IPO
Status:
Overview
IPO date
20 Dec 2023 to 22 Dec 2023
Face value
₹ 2 per share
Price
₹ 499 to ₹524 per share
Issue Size
14,122,137 shares
(aggregating up to ₹ 740 Cr)
(aggregating up to ₹ 740 Cr)
Allotment Date
26 Dec 2023
Listing at
NSE
Issue type
Book Building
Sector
Objectives of Azad Engineering Ltd IPO
Initial public offer of 14,122,108 equity shares of face value of Rs. 2 each ("Equity Shares") of Azad Engineering Limited ("Company") for cash at a price of Rs. 524 per equity share (including a securities premium of Rs. 522 per equity share) ("Offer Price") aggregating up to Rs. 740.00 crores* (the "Offer") comprising a fresh issue of 4,580,151* equity shares aggregating up to Rs. 240.00 crores* by the company ("Fresh Issue") and an offer for sale of 9,541,957* equity shares aggregating up to Rs. 500.00 crores* (the "Offer for Sale"), comprising of 3,911,545* equity shares aggregating up to
Rs. 204.97 crores* by Rakesh Chopdar, 4,978,062* equity shares aggregating up to Rs. 260.85 crores* by Piramal Structured Credit Opportunities Fund and 652,350* equity shares aggregating up to Rs. 34.18 crores* by DMI Finance Private Limited (collectively the "Selling Shareholders") (such equity shares offered by the selling shareholders, the "Offered Shares"). The offer includes a reservation of up to 76,335* equity shares, aggregating up to
Rs. 4.00 crores (constituting 0.13% of the post offer paid-up equity share capital of the company) for subscription by eligible employees (the "Employee Reservation Portion"). The offer less the employee reservation portion is hereinafter referred to as the "Net Offer". The offer and the net offer constitute 23.89% and 23.76%, respectively, of the post-offer paid-up equity share capital of the company.
The face value of equity shares is Rs. 2 each. The offer price is 262 times the face value of the equity shares.
*Subject to finalisation of basis of allotment
Azad Engineering Ltd IPO Strategy
- Leverage its industry-leading capabilities by continuing to diversify its customer base and increase penetration and wallet share with existing customers by entering into new component lines.
- Augment its manufacturing capabilities, including by way of inorganic acquisitions, to better serve its customers and to build scale, while delivering state of the art execution.
- Strengthening its core capabilities across its focus industries.
- Further reduce operating costs, improve operating efficiencies and deploy new technologies.
About Azad Engineering Ltd
Azad Engineering Ltd was originally incorporated as Azad Engineering Private Limited' at Hyderabad, Telangana, as a Private Company, pursuant to the Certificate of Incorporation dated September 14, 1983, issued by Registrar of Company, Telangana at Hyderabad. The name of Company changed to Azad Engineering Limited' and a fresh Certificate of Incorporation dated September 5, 2023, was issued by the RoC.
Azad Engineering are one of the key manufacturers of qualified product lines supplying to global original equipment manufacturers
(OEMs) in the aerospace and defence, energy, and oil and gas industries, manufacturing highly engineered, complex and mission and life-critical components. The Company manufacture complex and highly engineered precision forged and machined components that are mission and life-critical and hence some of the products have a 'zero parts per million' defects requirement.
Their aerospace and defence products include airfoils/ blades and components for engines, auxiliary power units (APUs), hydraulics, actuating systems, flight controls, fuel and inerting sections of commercial and defence aircrafts and spacecrafts, among other defence systems and various critical components for missiles. They have supplied critical components to major commercial aircraft manufacturers such as B737, B737 Max, B747, B777, B777X, A320, A350, A355, A350 XWB, Gulfstream G550.
In the energy industry, Company produces high-precision rotating and stationary 3D airfoils/ blades, special machined parts and combustion component assemblies for land-based turbines with applications in industrial and energy plants using different fuel types such as nuclear, hydrogen, natural gas and thermal. For the oil and gas industry, it manufacture components of drilling rigs such as drill bits and other critical components that are used in drilling equipment and are part of exploration and production phase.
In 2008, the Company established CNC machine shop; acquired delivery of moving airfoils/ blades to a large government-owned power generation equipment manufacturer. In 2012, it constructed a forge shop and a heat treatment facility for production; opened critical gas/ thermal turbines parts production in 2017 and in 2021-22 acquired land to construct a new plant for Phase 1 and Phase 2 for production.
The Company is proposing Initial Public Offer of aggregating Rs 740 Crores Equity Shares comprising Rs 240 Crore by raising capital through Fresh Issue and Rs 500 Crore Equity Shares through Offer for Sale.
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T&C*
Strengths vs Risks of Azad Engineering Ltd
Know the pros & cons
Strengths
Engineered for success and a preferred name in the manufacturing of highly engineered, complex, and mission and life- critical high precision components for global OEMs growing competition from China and Eastern Europe.
- Supplying to OEMs with high global market penetration.
- Long-standing and deep customer relationships.
- Advanced manufacturing facilities with a diverse range of products and solutions with focus on innovation and cost competitiveness.
- Consistent track record of financial performance.
Risks
- Its business is dependent on the sale of its products to key customers. The loss of any of the company key customers or loss of revenue from sales to its customers could have a material adverse effect on its business, results of operations, financial condition, cash flows and future prospects.
- The company is highly dependent on its Hyderabad facilities for the entire portion of the company revenue from operations. Any disruption, breakdown or shutdown of its Hyderabad facility may adversely affect the company's business, results of operations, financial condition, cash flows and future prospects.
- Any failure to compete effectively in the highly competitive global industry of high precision and mission critical components manufacturing could have a material adverse effect on its business, results of operations, financial condition, cash flows and future prospects.
- Its contracts/ purchase orders may not be indicative of the company future growth rate or new business orders its will receive in the future. Further, the company may not realize all of the revenue expected from its contracts/ purchase orders.
- The global nature of its operations exposes it to numerous risks that could materially adversely affect its business, results of operations, financial condition, cash flows and future prospects.
- The markets in which its customers compete are characterized by sectors specific to the industries which the company cater to, and their rapidly changing preferences and other related factors including lower manufacturing costs. Accordingly, its may be affected by any disruptions in the industry which can adversely impact its business, financial condition, results of operations, cash flows and prospects.
- There may be problems with the products its manufacture that could result in liability claims against it, reduced demand for our products and damage to its reputation.
- The company is highly dependent on its Promoter and its management team, senior management personnel and key managerial personnel and the loss of any key team member may adversely affect its business performance.
- The company depends on third party suppliers for raw materials, plant, machinery and components, which are on a purchase order basis. Such suppliers may not perform, or be able to perform their obligations in a timely manner, or at all
and any delay, shortage, interruption, reduction in the supply of or volatility in the prices of raw materials, plant, machinery and components on which its relies may have a material adverse effect on the company's business, results of operations, financial condition, cash flows and future prospects.
- The company is subject to strict compliance of quality requirements which results in incurring significant expenses to maintain its product quality. Any failure in maintaining the company quality accreditations and certifications may negatively impact its brand and reputation which may adversely affect the company's business, results of operations, financial condition, cash flows and future prospects.
- Any defaults or delays in payment by a significant portion of its customers, may have an adverse effect on business, results of operations, financial condition, cash flows and future prospects.
- Some of its manufacturing facilities and offices including the company Registered and Corporate Office are located on land parcels that are not owned by it and are held by the company on a leasehold basis. In the event its lose or are unable to renew such leasehold rights, its business, results of operations, financial condition, cash flows and prospects may be adversely affected.
- Its funding requirements and proposed deployment of the Net Proceeds are based on management estimates and the company has not entered into any definitive arrangements to utilize certain portions of the Net Proceeds of the Offer.
the company has relied on the quotations received from third parties for estimation of the cost for its capital expenditure requirements and have not been independently appraised by a bank or a financial institution.
- The company is required to comply with certain restrictive covenants under its financing agreements. Any non-compliance may lead to, amongst others, suspension of further drawdowns, which may adversely affect its business, results of operations, financial condition, cash flows and future prospects.
- The company has had negative cash flows in prior periods and may continue to have negative cash flows in the future.
- Unplanned slowdowns or shutdowns of its manufacturing operations could have an adverse effect on its business, results of operations, financial condition, cash flows and future prospects.
- Its Promoter will continue to retain significant shareholding in the Company after the Offer, which will allow it to exercise control over it.
- This Draft Red Herring Prospectus contains information from an industry report which the company has paid for and commissioned from EY LLP, appointed by the Company pursuant to an engagement letter dated July 18, 2023. There can be no assurance that such third-party statistical, financial and other industry information is either complete or accurate.
- If the company is unable to sustain or manage its growth, its business, results of operations, financial condition, cash flows and future prospects may be materially adversely affected.
- Its proposed capacity expansion plans via the company new manufacturing facilities are subject to the risk of unanticipated delays in implementation and cost overruns.
- While the company has placed some purchase orders in relation to some of the capital expenditure and infrastructure expenses for its new manufacturing facilitiy at Tuniki Bollaram village in Siddipet district, Telangana, its in the process of placing firm orders for the rest of the capital expenditure to be incurred at that facility and capital expenditure to be incurred at the Mangampet village, Sangareddy district, Telangana. In the event of any delay in placing the orders, or in the event the vendors are not able to provide the equipment in a timely manner, or at all, may result in time and cost over-runs and its business, prospects and results of operations may be adversely affected.
- Some of its historical corporate records, including those relating to allotments of its Equity Shares in the past, are not traceable.
- Its insurance coverage may not be adequate to protect it against all potential losses or to satisfy potential claims, which may have an adverse effect on its business, results of operations, financial condition, cash flows and future prospects.
- The company is dependent on third parties for the transportation and timely delivery of its products to customers.
- There are outstanding legal proceedings involving the Company and adverse outcomes in such proceedings may negatively affect its business, results of operations, financial condition, cash flows and future prospects.
- If the company is unable to obtain, protect or use its intellectual property rights, its business may be adversely affected.
- The activities carried out at its manufacturing facilities, including any hazardous activity, can cause injury to people or property in certain circumstances.
- Its may be affected by strikes, work stoppages or increased wage demands by its employees that could interfere with its operations.
- Non-compliance with and changes in, safety, health, factories, import export, environmental and labour laws and other applicable regulations, may adversely affect its business, results of operations, financial condition, cash flows and future prospects.
- Cyber risk and the failure to maintain the integrity of its operational or security systems or infrastructure, or those of its customers or other third parties with which the company conduct business, could have a material adverse effect on its business, results of operations, financial condition, cash flows and future prospects.
- The company has in the past entered into related party transactions and may continue to do so in the future, which may potentially involve conflicts of interest.
- Its failure to keep its technical knowledge confidential could erode its competitive advantage.
- COVID-19 has had, and could continue to have, an adverse effect on its business, results of operations, financial condition, cash flows and future prospects.
- A downgrade in its credit rating could adversely affect its ability to raise capital in the future.
- The company has working capital requirements and may requires additional financing to meet those requirements, which could have an adverse effect on its business, results of operations, financial condition, cash flows and future prospects.
- The company has, in the preceding one year, issued Equity Shares at a price which could be lower than the Offer Price. The price at which its have issued Equity Shares during the last one year from the date of this Draft Red Herring Prospectus may not be indicative of the Offer Price.
- The company depends on its brand recognition. Negative publicity, failure to maintain and enhance awareness of its brand or any damage to its reputation could have a material adverse effect on the company's business.
- The company has contingent liabilities in its balance sheet, as stated in its Restated Financial Information, as on June 30, 2023. The realization of its contingent liabilities may adversely impact its profitability and may have a material adverse effect on its results of operations and financial condition.
- The company had unspent CSR amounts in Fiscal 2021 which were utilised in Fiscal 2023. Its cannot assure you that the company will utilise CSR amounts in the future in a timely manner which could result in penalties.
- Its Statutory Auditors have indicated certain matters in their report on the audited financial statements of the Company for Financial Years 2023, 2022 and 2021 in accordance with the Companies (Auditor's Report) Order, 2003 ("CARO").
- The company engage contract workers for carrying out certain functions of its business operations. In the event of nonavailability of such contract workers at reasonable cost, any adverse regulatory orders or any default on payments to them by the agencies could lead to disruption of the manufacturing facilities and its business operations.
- Its ability to pay dividends in the future will depends on a number of factors, including but not limited to its earnings, financial condition, profit after tax available for distribution, cash flow, cash balance, debt-raising capacity, working capital requirements, liquidity and return ratios and restrictive covenants of its financing
arrangements.
- A portion of the Net Proceeds may be utilized for repayment or pre-payment of a loan availed by the Company from ICICI Bank Limited, which is an affiliate of ICICI Securities Limited, one of the BRLMs.
- Some of its Directors, the company Promoter, Senior Management and Key Managerial Personnel have interests other than reimbursement of expenses incurred and normal remuneration or benefits in the Company.
- Its Directors or Promoter may enter into ventures that may lead to real or potential conflicts of interest with its business.
- Certain Non-GAAP financial measures and other statistical information relating to its operations and financial performance have been included in this Draft Red Herring Prospectus. These Non-GAAP financial measures are not measures of operating performance or liquidity defined by Ind AS and may not be comparable with those presented by other companies.
Azad Engineering Ltd Peer Comparison
Understand the company’s industry standing
Azad Engineering Ltd
MTAR Technologies Ltd
Paras Defence and Space Technologies Ltd
Face Value
2
10
10
Standalone / Consolidated
Consolidated
Consolidated
Consolidated
Total Income Rs. Cr.
261.52
593.23
230.65
EPS-Basis
1.79
33.62
9.25
EPS-Diluted
1.79
33.62
9.25
NAV Per Share
42.3
201.13
10.6
P/E-Basic EPS
---
67.85
77.50
P/E-Diluted EPS
---
---
---
RONW(%)
4.23
16.72
8.69
Latest NAV Period
---
---
---
Latest NAV
---
---
---
How to check the allotment status of Azad Engineering Ltd IPO?
Follow the steps
Open link to the registrar using this URL (https://evault.kfintech.com/ipostatus/).
Select company from dropdown menu.
Enter details- PAN, Application number or DP client ID
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The IPO opens on 20 Dec 2023 & closes on 22 Dec 2023.
Azad Engineering Ltd was originally incorporated as Azad Engineering Private Limited' at Hyderabad, Telangana, as a Private Company, pursuant to the Certificate of Incorporation dated September 14, 1983, issued by Registrar of Company, Telangana at Hyderabad. The name of Company changed to Azad Engineering Limited' and a fresh Certificate of Incorporation dated September 5, 2023, was issued by the RoC.
Azad Engineering are one of the key manufacturers of qualified product lines supplying to global original equipment manufacturers
(OEMs) in the aerospace and defence, energy, and oil and gas industries, manufacturing highly engineered, complex and mission and life-critical components. The Company manufacture complex and highly engineered precision forged and machined components that are mission and life-critical and hence some of the products have a 'zero parts per million' defects requirement.
Their aerospace and defence products include airfoils/ blades and components for engines, auxiliary power units (APUs), hydraulics, actuating systems, flight controls, fuel and inerting sections of commercial and defence aircrafts and spacecrafts, among other defence systems and various critical components for missiles. They have supplied critical components to major commercial aircraft manufacturers such as B737, B737 Max, B747, B777, B777X, A320, A350, A355, A350 XWB, Gulfstream G550.
In the energy industry, Company produces high-precision rotating and stationary 3D airfoils/ blades, special machined parts and combustion component assemblies for land-based turbines with applications in industrial and energy plants using different fuel types such as nuclear, hydrogen, natural gas and thermal. For the oil and gas industry, it manufacture components of drilling rigs such as drill bits and other critical components that are used in drilling equipment and are part of exploration and production phase.
In 2008, the Company established CNC machine shop; acquired delivery of moving airfoils/ blades to a large government-owned power generation equipment manufacturer. In 2012, it constructed a forge shop and a heat treatment facility for production; opened critical gas/ thermal turbines parts production in 2017 and in 2021-22 acquired land to construct a new plant for Phase 1 and Phase 2 for production.
The Company is proposing Initial Public Offer of aggregating Rs 740 Crores Equity Shares comprising Rs 240 Crore by raising capital through Fresh Issue and Rs 500 Crore Equity Shares through Offer for Sale.
Azad Engineering Ltd IPO will close on 22 Dec 2023.
- Engineered for success and a preferred name in the manufacturing of highly engineered, complex, and mission and life- critical high precision components for global OEMs growing competition from China and Eastern Europe.
- Supplying to OEMs with high global market penetration.
- Long-standing and deep customer relationships.
- Advanced manufacturing facilities with a diverse range of products and solutions with focus on innovation and cost competitiveness.
- Consistent track record of financial performance.
| S.No | Promoters Name | Pre Issue Shares | Pre Issue Percentage | Post Issue Shares | Post Issue Percentage |
|---|---|---|---|---|---|
| 1 | Rakesh Chopdar | 42241800 | 77.46 | 38330255 | 64.84 |
- Its business is dependent on the sale of its products to key customers. The loss of any of the company key customers or loss of revenue from sales to its customers could have a material adverse effect on its business, results of operations, financial condition, cash flows and future prospects.
- The company is highly dependent on its Hyderabad facilities for the entire portion of the company revenue from operations. Any disruption, breakdown or shutdown of its Hyderabad facility may adversely affect the company's business, results of operations, financial condition, cash flows and future prospects.
- Any failure to compete effectively in the highly competitive global industry of high precision and mission critical components manufacturing could have a material adverse effect on its business, results of operations, financial condition, cash flows and future prospects.
- Its contracts/ purchase orders may not be indicative of the company future growth rate or new business orders its will receive in the future. Further, the company may not realize all of the revenue expected from its contracts/ purchase orders.
- The global nature of its operations exposes it to numerous risks that could materially adversely affect its business, results of operations, financial condition, cash flows and future prospects.
- The markets in which its customers compete are characterized by sectors specific to the industries which the company cater to, and their rapidly changing preferences and other related factors including lower manufacturing costs. Accordingly, its may be affected by any disruptions in the industry which can adversely impact its business, financial condition, results of operations, cash flows and prospects.
- There may be problems with the products its manufacture that could result in liability claims against it, reduced demand for our products and damage to its reputation.
- The company is highly dependent on its Promoter and its management team, senior management personnel and key managerial personnel and the loss of any key team member may adversely affect its business performance.
- The company depends on third party suppliers for raw materials, plant, machinery and components, which are on a purchase order basis. Such suppliers may not perform, or be able to perform their obligations in a timely manner, or at all and any delay, shortage, interruption, reduction in the supply of or volatility in the prices of raw materials, plant, machinery and components on which its relies may have a material adverse effect on the company's business, results of operations, financial condition, cash flows and future prospects.
- The company is subject to strict compliance of quality requirements which results in incurring significant expenses to maintain its product quality. Any failure in maintaining the company quality accreditations and certifications may negatively impact its brand and reputation which may adversely affect the company's business, results of operations, financial condition, cash flows and future prospects.
- Any defaults or delays in payment by a significant portion of its customers, may have an adverse effect on business, results of operations, financial condition, cash flows and future prospects.
- Some of its manufacturing facilities and offices including the company Registered and Corporate Office are located on land parcels that are not owned by it and are held by the company on a leasehold basis. In the event its lose or are unable to renew such leasehold rights, its business, results of operations, financial condition, cash flows and prospects may be adversely affected.
- Its funding requirements and proposed deployment of the Net Proceeds are based on management estimates and the company has not entered into any definitive arrangements to utilize certain portions of the Net Proceeds of the Offer. the company has relied on the quotations received from third parties for estimation of the cost for its capital expenditure requirements and have not been independently appraised by a bank or a financial institution.
- The company is required to comply with certain restrictive covenants under its financing agreements. Any non-compliance may lead to, amongst others, suspension of further drawdowns, which may adversely affect its business, results of operations, financial condition, cash flows and future prospects.
- The company has had negative cash flows in prior periods and may continue to have negative cash flows in the future.
- Unplanned slowdowns or shutdowns of its manufacturing operations could have an adverse effect on its business, results of operations, financial condition, cash flows and future prospects.
- Its Promoter will continue to retain significant shareholding in the Company after the Offer, which will allow it to exercise control over it.
- This Draft Red Herring Prospectus contains information from an industry report which the company has paid for and commissioned from EY LLP, appointed by the Company pursuant to an engagement letter dated July 18, 2023. There can be no assurance that such third-party statistical, financial and other industry information is either complete or accurate.
- If the company is unable to sustain or manage its growth, its business, results of operations, financial condition, cash flows and future prospects may be materially adversely affected.
- Its proposed capacity expansion plans via the company new manufacturing facilities are subject to the risk of unanticipated delays in implementation and cost overruns.
- While the company has placed some purchase orders in relation to some of the capital expenditure and infrastructure expenses for its new manufacturing facilitiy at Tuniki Bollaram village in Siddipet district, Telangana, its in the process of placing firm orders for the rest of the capital expenditure to be incurred at that facility and capital expenditure to be incurred at the Mangampet village, Sangareddy district, Telangana. In the event of any delay in placing the orders, or in the event the vendors are not able to provide the equipment in a timely manner, or at all, may result in time and cost over-runs and its business, prospects and results of operations may be adversely affected.
- Some of its historical corporate records, including those relating to allotments of its Equity Shares in the past, are not traceable.
- Its insurance coverage may not be adequate to protect it against all potential losses or to satisfy potential claims, which may have an adverse effect on its business, results of operations, financial condition, cash flows and future prospects.
- The company is dependent on third parties for the transportation and timely delivery of its products to customers.
- There are outstanding legal proceedings involving the Company and adverse outcomes in such proceedings may negatively affect its business, results of operations, financial condition, cash flows and future prospects.
- If the company is unable to obtain, protect or use its intellectual property rights, its business may be adversely affected.
- The activities carried out at its manufacturing facilities, including any hazardous activity, can cause injury to people or property in certain circumstances.
- Its may be affected by strikes, work stoppages or increased wage demands by its employees that could interfere with its operations.
- Non-compliance with and changes in, safety, health, factories, import export, environmental and labour laws and other applicable regulations, may adversely affect its business, results of operations, financial condition, cash flows and future prospects.
- Cyber risk and the failure to maintain the integrity of its operational or security systems or infrastructure, or those of its customers or other third parties with which the company conduct business, could have a material adverse effect on its business, results of operations, financial condition, cash flows and future prospects.
- The company has in the past entered into related party transactions and may continue to do so in the future, which may potentially involve conflicts of interest.
- Its failure to keep its technical knowledge confidential could erode its competitive advantage.
- COVID-19 has had, and could continue to have, an adverse effect on its business, results of operations, financial condition, cash flows and future prospects.
- A downgrade in its credit rating could adversely affect its ability to raise capital in the future.
- The company has working capital requirements and may requires additional financing to meet those requirements, which could have an adverse effect on its business, results of operations, financial condition, cash flows and future prospects.
- The company has, in the preceding one year, issued Equity Shares at a price which could be lower than the Offer Price. The price at which its have issued Equity Shares during the last one year from the date of this Draft Red Herring Prospectus may not be indicative of the Offer Price.
- The company depends on its brand recognition. Negative publicity, failure to maintain and enhance awareness of its brand or any damage to its reputation could have a material adverse effect on the company's business.
- The company has contingent liabilities in its balance sheet, as stated in its Restated Financial Information, as on June 30, 2023. The realization of its contingent liabilities may adversely impact its profitability and may have a material adverse effect on its results of operations and financial condition.
- The company had unspent CSR amounts in Fiscal 2021 which were utilised in Fiscal 2023. Its cannot assure you that the company will utilise CSR amounts in the future in a timely manner which could result in penalties.
- Its Statutory Auditors have indicated certain matters in their report on the audited financial statements of the Company for Financial Years 2023, 2022 and 2021 in accordance with the Companies (Auditor's Report) Order, 2003 ("CARO").
- The company engage contract workers for carrying out certain functions of its business operations. In the event of nonavailability of such contract workers at reasonable cost, any adverse regulatory orders or any default on payments to them by the agencies could lead to disruption of the manufacturing facilities and its business operations.
- Its ability to pay dividends in the future will depends on a number of factors, including but not limited to its earnings, financial condition, profit after tax available for distribution, cash flow, cash balance, debt-raising capacity, working capital requirements, liquidity and return ratios and restrictive covenants of its financing arrangements.
- A portion of the Net Proceeds may be utilized for repayment or pre-payment of a loan availed by the Company from ICICI Bank Limited, which is an affiliate of ICICI Securities Limited, one of the BRLMs.
- Some of its Directors, the company Promoter, Senior Management and Key Managerial Personnel have interests other than reimbursement of expenses incurred and normal remuneration or benefits in the Company.
- Its Directors or Promoter may enter into ventures that may lead to real or potential conflicts of interest with its business.
- Certain Non-GAAP financial measures and other statistical information relating to its operations and financial performance have been included in this Draft Red Herring Prospectus. These Non-GAAP financial measures are not measures of operating performance or liquidity defined by Ind AS and may not be comparable with those presented by other companies.
The Issue type of Azad Engineering Ltd is Book Building.
The minimum application for shares of Azad Engineering Ltd is 28.
The total shares issue of Azad Engineering Ltd is 14122137.
Initial public offer of 14,122,108 equity shares of face value of Rs. 2 each ("Equity Shares") of Azad Engineering Limited ("Company") for cash at a price of Rs. 524 per equity share (including a securities premium of Rs. 522 per equity share) ("Offer Price") aggregating up to Rs. 740.00 crores* (the "Offer") comprising a fresh issue of 4,580,151* equity shares aggregating up to Rs. 240.00 crores* by the company ("Fresh Issue") and an offer for sale of 9,541,957* equity shares aggregating up to Rs. 500.00 crores* (the "Offer for Sale"), comprising of 3,911,545* equity shares aggregating up to
Rs. 204.97 crores* by Rakesh Chopdar, 4,978,062* equity shares aggregating up to Rs. 260.85 crores* by Piramal Structured Credit Opportunities Fund and 652,350* equity shares aggregating up to Rs. 34.18 crores* by DMI Finance Private Limited (collectively the "Selling Shareholders") (such equity shares offered by the selling shareholders, the "Offered Shares"). The offer includes a reservation of up to 76,335* equity shares, aggregating up to
Rs. 4.00 crores (constituting 0.13% of the post offer paid-up equity share capital of the company) for subscription by eligible employees (the "Employee Reservation Portion"). The offer less the employee reservation portion is hereinafter referred to as the "Net Offer". The offer and the net offer constitute 23.89% and 23.76%, respectively, of the post-offer paid-up equity share capital of the company.
The face value of equity shares is Rs. 2 each. The offer price is 262 times the face value of the equity shares.
*Subject to finalisation of basis of allotment