Jalandhar-based GNA Axles is going to hit capital markets on September 14 through initial public offerings (IPO) comprises of an issue of up to 6,300,000 equity shares. The net public issue comprises up to 6,100,000 equity shares and an eligible employee reservation portion of up to 200,000 equity shares. The issue will close on September 16. The company has fixed a price band of Rs 205-207 per equity share of face value of Rs 10 for the issue.
GNA Axles has proposed to utilise the net proceeds of the issue for the purchase of plant and machinery, meeting working capital requirements and for general corporate purposes. Shares of the company are proposed to be listed on NSE and BSE.
The company is a manufacturer of rear axle shafts used in on-highway and off-highway vehicular segments in India. GNA Axles also manufacture solid and hollow spindles used in the axle assembly for various vehicles and equipments in the on-highway segment which it supply to export customers.
Ambit Private Ltd and PNB Investment Services are the book running lead managers to the Issue. The registrar to the issue is Link Intime India Private Limited.
For the financial year ended March 31, 2016, the company registered net profit of Rs 25.96 crore, up 20.24 per cent, against Rs 21.59 crore last year. GNA Axles posted net profit of Rs 13.27 crore and 4.81 crore in FY14 and FY13, respectively. It had reported a net profit of Rs 16.93 crore in FY12.