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Greaves Electric Mobility IPO: The company may raise Rs 200 crore through a pre-IPO placement.
Greaves Electric Mobility IPO: Motilal Oswal Investment Advisors, IIFL Capital Services and JM Financial are the book running lead managers for the IPO.
Greaves Electric Mobility IPO: The electric vehicle manufacturer, has submitted draft papers to the capital markets regulator Sebi to raise funds through an initial public offering.
Greaves Electric Mobility IPO DRHP Sebi
The upcoming IPO of Greaves Electric Mobility Limited (GEML) includes a combination of a fresh issue of equity shares worth Rs 1,000 crore and an Offer for Sale (OFS) of 18.9 crore shares by selling shareholders, according to the draft papers filed on Monday.
OFS Breakdown
As part of the OFS, the promoter Greaves Cotton will divest 5.1 crore equity shares, while investor Abdul Latif Jameel Green Mobility Solutions DMCC will offload 13.8 crore shares.
Pre-IPO Placement Option
The company may raise Rs 200 crore through a pre-IPO placement. If this placement occurs, the fresh issue size will be reduced accordingly.
Utilisation of IPO Proceeds
The proceeds from the fresh issue will be allocated to various strategic initiatives:
- Rs 375.2 crore for product and technology development at the Bengaluru Technology Centre
- Rs 82.9 crore for developing in-house battery assembly capabilities
- Rs 19.8 crore for expanding the manufacturing capacity of Bestway Agencies Private Limited
- Rs 38.2 crore to expand MLR Auto Limited’s manufacturing capacity
- Rs 73.6 crore to increase the company’s stake in MLR through acquisitions
- Rs 27.8 crore for enhancing digitisation and IT infrastructure
- Funds for inorganic growth through acquisitions and general corporate purposes
Manufacturing Footprint
As of September 30, 2024, GEML operates three manufacturing facilities in strategic locations: Ranipet (Tamil Nadu), Greater Noida (Uttar Pradesh), and Toopran (Telangana).
About Greaves Electric Mobility
Greaves Electric Mobility is known for its ‘Ampere’ brand of electric scooters and also manufactures three-wheelers under a separate brand. The company offers a range of electric vehicles in the two-wheeler (E-2W) and three-wheeler (3W) segments, catering to both B2C and B2B customers for personal and commercial use.
Financial Performance
For fiscal 2024, the company reported a revenue from operations of Rs 611.8 crore. For the six months ended September 30, 2024, the revenue stood at Rs 302.2 crore.
IPO Book Running Lead Managers
Motilal Oswal Investment Advisors, IIFL Capital Services, and JM Financial are the book running lead managers for the IPO.