Coimbatore-headquartered diversified engineering company Craftsman Automation has priced its initial public offering (IPO) at Rs 1,488 to Rs 1,490 per equity share and the share sale will be open between March 15-17, 2021.

The company says it proposes to utilise the funds towards ‘repayment/pre-payment, in full or part, of certain borrowings availed of by the company to the extent of INR 120 crore and for the general corporate purpose for the balance portion.’

The share sale comprises of fresh equity of Rs 150 crore and an offer for sale of up to 4,521,450 equity shares. The IPO is said to be the first among auto companies in the last three years. Speaking at the announcement, Srinivasan Ravi – MD and chairman said, Craftsman Automation was well placed to attain growth. He mentioned that the company has been witnessing a healthy growth of 14% CAGR over the years.

Furthermore, the company sees new opportunities from the automotive sector on the back of lightweighting. When queried about plans for partnerships and acquisitions, Ravi said, that over the years Craftsman Automation has built upon its strength, and if need maybe they may acquire technology but are not looking at JVs that may end up diverting capital.