Tolins Tyres Ltd has set the price range for its upcoming initial public offering (IPO) at Rs 215 to Rs 226 per share, with the subscription period opening on September 9. The Kerala-based company’s IPO, targeting to raise Rs 230 crore, will close on September 11. The bidding for anchor investors will begin on September 6, according to the company’s announcement.
The IPO consists of a fresh issue of equity shares worth Rs 200 crore and an offer-for-sale (OFS) of shares totaling Rs 30 crore. Promoters KalamparambilVarkeyTolin and JerinTolin will each sell shares valued at Rs 15 crore through the OFS, reducing their current 83.31% stake in the company.
The funds raised from the IPO will be allocated as follows: Rs 75 crore to boost the company’s long-term working capital, Rs 62.55 crore to repay debt, and Rs 24.36 crore for investment in its subsidiary, Tolin Rubbers, to address its debt and working capital needs.
Investors can place bids for a minimum of 66 equity shares, with additional bids in multiples of 66 shares. Tolins Tyres, a prominent player in the tyre and treads industry, exports its products to 40 countries, including regions like the Middle East, East Africa, Jordan, Kenya, and Egypt.
Saffron Capital Advisors Pvt Ltd is acting as the sole lead merchant banker for this public issue. Tolins Tyres Ltd, a prominent player in the tyre and treads industry, is based in Kerala and has established a strong presence both domestically and internationally. Known for its high-quality products, the company exports to over 40 countries, including key markets in the Middle East, East Africa, Jordan, Kenya, and Egypt.
With a diverse product range, Tolins Tyres serves various segments, providing durable and reliable solutions for different terrains and climates. The company is also committed to innovation and expansion, as evidenced by its upcoming IPO, which aims to bolster its financial stability and support its growth strategies, including enhancing working capital and reducing debt.
