MTAR Technologies, a precision engineering solutions company, has filed a draft red herring prospectus (DRHP) with the market regulator Securities and Exchange Board of India (SEBI) to launch an initial public offering (IPO).
The Hyderabad-based company's IPO will comprise a fresh issue of up to 40 lakh shares equity shares, with a face value of Rs 10 each, and an offer for sale of a little over 82.24 lakh shares by the promoter, as per the prospectus filed with SEBI.
MTAR Technologies will use net proceeds from the primary market offering to repay its borrowings, fund long-term working capital requirements and for general corporate purposes.
MTAR Technologies manufactures mission critical precision components for the nuclear, space, defence and clean energy sectors. Its clients include ISRO, DRDO, Nuclear Power Corporation of India, Bharat Dynamics, Hindustan Aeronautics and the US-based Bloom Energy.
JM Financial and IIFL Securities are the book running lead managers to the public issue.