Jyoti CNC Automation IPO subscribed 3.92 times

Published on Jan 10, 2024 17:22

The initial public offer (IPO) of Jyoti CNC Automation received bids for 6,87,09,015 shares as against 1,75,39,681 shares on offer, according to stock exchange data at 17:00 IST on Wednesday (10 January 2024). The issue was subscribed 3.92 times.

The issue opened for bidding on Tuesday (9 January 2024) and it will close on Thursday (11 Thursday 2024). The price band of the IPO is fixed at Rs 315-331 per share. An investor can bid for a minimum of 45 equity shares and in multiples thereof.

The offer comprises only of fresh issue of equity shares aggregating to Rs 1,000 crore.

Of the net proceeds from the fresh issue, the company intends to use Rs 475 crore towards repayment and prepayment in part or full of certain borrowings availed of; Rs 360 crore towards funding long-term working capital requirements and balance towards general corporate purposes.

As on 30 September 2023, total borrowings stood at Rs 821.40 crore.

Ahead of the IPO, Jyoti CNC Automation on Monday, 8 January 2024 raised Rs 447.74 crore from anchor investors. The board allotted 1.35 crore shares at Rs 331 each to 37 anchor investors.

Jyoti CNC Automation is one of the world�s leading manufacturers of metal cutting computer numerical control (CNC) machines. It is the 3rd largest player in India with a market share of about 10% in fiscal 2023 and 12th largest player globally accounting for about 0.4% of the market share in calendar year 2022.

The company supplies a diverse portfolios of CNC machines including CNC Turning Centers, CNC Turn Mill Centers, CNC Vertical Machining Centers (VMCs) and CNC Horizontal Machining Centers (HMCs) to both domestic and international customers across the world operating in various end-user industries.

The firm reported a net profit of Rs 3.35 crore and sales of Rs 509.82 crore for the six months ended on 30 September 2023.