Mumbai: Avalon Technologies Limited is opening its ‘Initial Public Offering’ (IPO) of equity shares — aggregating to Rs 865 crores with price fixed at Rs 415 to Rs 436 per share — which will open on April 3, 2023 and close on April 6, 2023.
The company proposes to use the issue’s net proceeds towards: prepayment or repayment of all or portion of certain outstanding borrowings by the Company and one of its Material Subsidiaries (Avalon Technology and Services Private Limited) estimated to be Rs 145 crores; funding the Company’s working capital requirements of Rs 90 crores; and balance amount towards general corporate purposes.
JM Financial limited, DAM Capital Advisors Limited, IIFL Securities Limited and Nomura Financial Advisory and Securities (India) Private Limited are Book Running Lead Managers to the Offer.
Kunhamed Bicha, Chairman and Managing Director, while announcing the IPO, told media here recently that the Company is one of the leading fully-integrated Electronic Manufacturing Services (EMS) companies with end-to-end operations in delivering +Box Build Solutions+ in India with focus on high-value, precision-engineered products including: printed circuit boards (PCBs) design and assembly to manufacture of complete electronic systems to certain global origin equipment manufacturers (OEMs) in the USA, China, Netherlands and Japan.
The end-use industries that it caters to include a mix of established and long product lifecycle industries like: industrial, mobility and medical devices and high-growth “Sunrise” industries like solar, electric vehicles and hydrogen in the clean energy sector, and digital infrastructure in the communications sector.
Describing Clean Energy as the “Sunrise Industry” whose space is important to Avalon Technologies, he said the Company’s orderbook has never so robust as today over its 22-year journey. “The orderbook from the USA stands at Rs 1,190 crores and we are well diversified so that even during COVID-19, our medical business did very well,” he said.
