Divgi Torqtransfer files draft papers to raise funds through IPO

Divgi Torqtransfer files draft papers to raise funds through IPO

The company is the one of the leading players supplying transfer case systems to OEMs in India. It is also the largest supplier of transfer case systems to major passenger vehicle manufacturers.





September 22, 2022 / 08:20 PM IST





Representative Image



Auto component maker Divgi Torqtransfer Systems has filed a draft red herring prospectus with the Securities and Exchange Board of India (SEBI) to raise funds through an initial public offering.

The IPO consists of a fresh issue of Rs 200 crore and an offer for sale (OFS) of up to 3.15 million shares by its existing shareholders and promoters.

The OFS comprises up to 1.75 million shares by Oman India Joint Investment Fund II, up to 1.15 million shares by NRJN Family Trust, and up to 49,430 shares by Bharat Bhalchandra Divgi.

Inga Ventures and Equirus Capital are the lead managers of the issue.

The firm is one of the leading players supplying transfer case systems to OEMs in India and the largest supplier of transfer case systems to passenger vehicle manufacturers in the country.

The proceeds from the fresh issue will be used for funding capital expenditure. The firm plans to buy equipment and machinery for manufacturing gears and components required