Kross Ltd filed draft papers with SEBI for Rs 500 crore IPO; here are the details
Kross Ltd has filed a draft red herring prospectus with the Securities and Exchange Board of India (SEBI) to raise funds through an initial public offering (IPO) of shares.
The Rs 500 crore worth IPO comprises fresh issue worth up to Rs 250 crore, and an offer for sale aggregating upto Rs 250 crore by the promoters – Sudhir Rai and Anita Rai.
The promoters of the company are Sudhir Rai, Chairman and Managing Director; Anita Rai, Whole -Time Director; Sumeet Rai, Whole -Time Director, and Kunal Rai, Chief Financial Officer.
The company may consider pre-IPO placement of shares to anchor investors worth upto Rs 50 crore.
Kross is a diversified player, focused on manufacturing and supply of trailer axle and suspension assembly and a wide range of forged and precision machined high performance safety critical parts for medium and heavy commercial vehicles and farm equipment segments.
It manufactures a wide range of high performance and safety critical components for the commercial vehicle and tractor segment and operates out of its 5 manufacturing facilities in Jamshedpur, Jharkhand.
The company counts Ashok Leyland and Tata International DLT Pvt Ltd as its key clients. However, it supplies its products to a diversified client base which includes large original equipment manufacturers of M&HCVs and tractors, tier one suppliers to the OEMs in the M&HCV segment, domestic dealers and fabricators for its trailer axle and suspension business.
It has also attracted new customers such as Leax Falun AB, a Sweden-based company, manufacturing propeller shafts for commercial vehicle OEMs and a Japan-based OEM manufacturing commercial vehicles.
Of the total net proceeds from the fresh issue, the company plans to utilize Rs 70
