Gala Precision Engineering IPO to open on Sep 2; price band set at ₹503-529/share

Gala Precision Engineering Ltd on Tuesday said it has fixed a price band of Rs 503-529 per share for its Rs 168-crore initial public offering (IPO). The initial share sale will open on September 2 and conclude on September 4, the company announced.

The IPO is a combination of a fresh issue of 25.58 lakh equity shares worth Rs 135.34 crore and an offer for sale (OFS) of 6.16 lakh equity shares valued at Rs 32.58 crore by promoter group entities and individual shareholders. This aggregates the transaction size to Rs 168 crore at the upper end of the price band of Rs 529.

Proceeds from the fresh issue will be used for setting up a new facility at Vallam-Vadagal, SIPCOT, Sriperumbudur in Tamil Nadu for manufacturing high tensile fasteners and hex bolts; purchase of equipment, plant and machinery at Wada, Palghar in Maharashtra; payment of debt and general corporate purposes.

Gala Precision Engineering is a precision component manufacturer of technical springs like disc & strip springs (DSS); coil & spiral springs (CSS) and special fastening solution (SFS).

The company supplies its products to original equipment manufacturers (OEMs), Tier 1 and channel partners; used in sectors like renewable energy, including wind turbine and hydropower plants, various industrial sectors such as electrical, off highway equipment, infrastructure and general engineering, mobility segments such as automotive and railways.

The company's revenue from operations was Rs 202.54 crore in fiscal 2023-24 and profit after tax stood at Rs 22.33 crore.

Investors can bid for a minimum of 28 equity shares and in multiples of 28 equity shares thereafter.

PL Capital Markets Pvt Ltd is the sole book-running lead manager to the issue. The equity shares are proposed to be listed on BSE and NSE.

SEE ALSO:

Apple iPhone 16 to be launched on September 9 – here’s everything we know so far

Delhi firm with just 8 employees seeks ₹12 crore via IPO, gets ₹4,700 crore worth of investor applications!

Telegram comes under the scanner in India for extortion and gambling – will it be banned in India?