Jyoti CNC Automation gets SEBI nod to raise ₹1,000 crore via IPO

livemint.com:

Jyoti CNC Automation said on Wednesday that it has received markets regulator Securities and Exchange Board of India (SEBI) approval to raise funds through initial public offering (IPO). The company had filed its Draft Red Herring Prospectus (DRHP) with market regulator in September 2023. The company’s IPO will comprise a fresh issue of ₹1000 crore.

Of the net fresh issue proceeds, ₹450 crore will be utilised by the company for repaying its debts and ₹300 crore for long-term working capital requirements. The remaining funds will be kept for general corporate purposes. The company proposes to utilize the net proceeds towards repayment and/ or pre-payment, in full or part, of certain borrowings availed by the Company, funding long-term working capital requirements of our Company and general corporate purposes.

Equirus Capital Private Limited, ICICI Securities Limited, and SBI Capital Markets Limited are the Book Running Lead Managers to the issue (BRLMs). The equity shares of the company will be listed on BSE and NSE. Jyoti CNC Automation claims to be the second-largest CNC machine manufacturer in India and accounted for approximately 8% of the market share in fiscal 2022.