Tolins Tyres to launch IPO on September 9. Check details
Tolins Tyres will open for subscription on September 9. The issue will be available for investors to bid till September 11.
The offer comprises a fresh equity sale of Rs 200 crore and an offer for sale (OFS) of Rs 30 crore. Under the OFS, promoters Kalamparambil Varkey Tolin and Jerin Tolin will offload part stakes in the company.
The price band for the issue will be announced soon.
Of the Rs 200 crore IPO proceeds, Rs 75 crore will be used to augment long-term working capital requirements, Rs 62 crore for repayment of debut. Further, about Rs 24 crore will be used for investment in the company's subsidiary Tolin Rubbers for repaying its debt and support its working capital requirements.
Tolins Tyres is present in both verticals – manufacturing of new tyres and tread rubber. It is primarily engaged in manufacturing of bias tyres for vehicles (including LCV, agricultural and two/three-wheeler vehicles) and precured tread rubber.
The company also makes ancillary products like bonding gum, vulcanising solution, tyre flaps and tubes.
Tolins Tyres' competitive strengths lie in its operational efficiency, ensuring timely delivery, stringent quality control, and
product innovations.
«We believe in a customer-centric business model and endeavour to supply customised products to meet our customer’s demands,» the company said.
For FY24, the company generated revenues of Rs 51 crore from sales of new tyres, which accounted for 24% of the total sales. Meanwhile, revenue from tread rubber made up for the remaining 76% of
