Thaai Casting, a prominent player in the automotive ancillary industry, is gearing up for its much-anticipated initial public offering (IPO), set to hit the market next week. The SME IPO is scheduled for subscription from February 15 to February 19, 2024, offering investors a chance to partake in the growth story of this innovative company.

The price band for Thaai Casting’s IPO has been set at ₹73 to ₹77 per share, reflecting the company’s confidence in its valuation and growth prospects. Investors keen on participating in the IPO can bid for a minimum of 1600 shares and in multiples thereof, with a minimum investment requirement of ₹123,200 for retail investors and ₹246,400 for High Net Worth Individuals (HNI).

Thaai Casting’s IPO is a book-built issue with a total size of ₹47.20 crores, comprising entirely of fresh issue shares amounting to 61.3 lakh shares. The company aims to utilize the proceeds from the IPO to fuel its expansion plans, enhance its manufacturing capabilities, and strengthen its market presence in the automotive ancillary segment.

Leading the IPO process, GYR Capital Advisors Private Limited serves as the book running lead manager, ensuring a seamless and efficient subscription process. Meanwhile, Purva Sharegistry India Pvt Ltd has been appointed as the registrar for the issue, facilitating the smooth handling of shareholder queries and concerns. Additionally, Giriraj Stock Broking assumes the role of the market maker for Thaai Casting’s IPO, ensuring liquidity and market stability.

The IPO allocation structure reserves not more than 50 percent of the issue for Qualified Institutional Buyers (QIBs), while allocating a significant portion—no less than 35 percent—for retail investors. Moreover, not less than 15 percent of the net issue is reserved for Non-Institutional Investors (NIIs), ensuring equitable participation across investor categories.

The driving force behind Thaai Casting’s success is its visionary leadership and dedicated team of promoters—Sriramulu Anandan, Anandan Shevaani, and Chinraj Venkatesan. Their strategic acumen and industry expertise have propelled the company’s growth trajectory, positioning it as a formidable player in the automotive ancillary sector.

Thaai Casting’s financial performance underscores its robust growth trajectory, with revenue witnessing a commendable increase of 27.84% and profit after tax (PAT) surging by an impressive 336.49% between the financial years ending March 31, 2023, and March 31, 2022. This stellar performance reflects the company’s operational efficiency, strategic focus, and ability to capitalize on market opportunities.

Established as a specialist in High-Pressure Die Casting and precision machining of Ferrous and Non-Ferrous materials, Thaai Casting has carved a niche for itself in the industry. Its expertise extends to Induction heating and quenching, further enhancing its capabilities and value proposition to customers.

In conclusion, Thaai Casting’s IPO represents a compelling investment opportunity for investors seeking exposure to the automotive ancillary sector. With a robust business model, strong financial performance, and a clear growth strategy, the company is well-positioned to capitalize on emerging opportunities and deliver sustainable value to its stakeholders in the years to come.

By Admin

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